Public Mint–which offers a simple but powerful payment system running on a fiat native blockchain enabling retailers to trustlessly access the super benefits of decentralized finance, has announced the MINT Global Earn program accessible via their web portal and mobile application, a statement on Apr 12 reads.
EARN Program is About Yield Maximization
The program’s objective is yield maximization in a confident, secure, and trustless manner. From the platform, participants don’t have to look at their backs, wary of rug-pulls and other exploits denting DeFi’s image.
Public Mint said the EARN Program is launching in Q3 2021.
Through the Public Mint EARN, users can earn equally high yields for their deposits through the program’s easy-to-use interfaces that link retailers to the exciting world of DeFi.
Here, the platform offers to users, DeFi’s above-average rates, effectively exposing the opportunities of decentralized finance solutions.
EARN works like a savings account set to deliver high yields common in crypto circles via synthetic fiats while concurrently introducing flexibility. Although stake, funds can still be moved freely and instantly, just like a checking account.
For safety and confidence, all of Public Mint’s synthetic fiats, deposited by users, are FDIC-insured, regulated, and collateralized.
Fund Distribution: Insurance and Yield Earning Providers
To maximize yields, the program will allocate a majority (90 percent) of funds to approved CeFi partners—like Celsius, Nexo, and Crypto.com, and DeFi providers—examples may include Compound, Curve, and Aave–, for a more diversified and resilient portfolio. This is critical since diversification of funds leads to a more stable portfolio that can easily absorb system risks and other sudden shocks.
The remainder, 10 percent, would be used to cover insurance costs.
Holders of MINT—the platform’s utility and governance token, would actively vote on portfolio allocation and other governance matters.
This way, they would decide the direction the fund takes. Public Mint operates like an investment fund.
However, it works more fluidly with the sole purpose of returning the highest yields to its depositors.
Public Mint Tokens: USD versus Synthetic USD, MINT, and USD+
For every USD or USDC, (at later stages) deposit channeled to the EARN program, a user received an interest-bearing synthetic fiat, USD+.
Unlike Synthetic USD, the USD+ is a liquid asset that can be accepted as a medium of exchange without necessarily being unstaked. This flexibility carries a higher Transfer Fee of $0.10 or 0.01 percent (whichever is higher).
Presently, deposits of USD can be made via Wire and ACH—accessible to U.S. clients only. At later stages, the platform would extend to support more fiat currencies.
With the activation of stablecoins (USDC) deposits, depositors would receive additional MINT governance tokens. Each Synthetic USD can be redeemed for hard cash, USD. On the other hand, USD+ yields depend on their portfolio’s performance and rebasing.
Additionally, holders of MINT tokens can get discounts in fees when transferring and unstaking their interest-bearing USD+. For further incentivization, Public Mint creators designed their platform so that active stakers of MINT receive up to 90 percent of Earning Fees and a share of their revenue.
Beyond Earning fees, Public Mint draws revenue from Withdrawal fees charged on converting from USD+ to Synthetic USD and Transfer fees for users who use USD+ as a medium of exchange.