What is Acala Coin? Learn about the project Acala Network & Acala Coin

Polkadot is increasingly proving to be a formidable competitor to Ethereum. Especially when it can be supported on the Acala cross-chain platform, the Polkadot network becomes even more superior. In 2021, Acala is known as one of the most desirable decentralized finance projects. That’s it, the crypto community also started to know Acala Coin.

About Acala cross-chain platform

Acala acts as a large, modular, scalable decentralized finance platform for Web 3.0. This platform in close association with the Polkadot network formulas to users staking, token swapping, borrowing and lending services with extremely low gas fees.

Acala is compatible with Ethereum smart contracts and many other crosschain protocolsAcala is compatible with Ethereum smart contracts and many other crosschain protocols
Acala is compatible with Ethereum smart contracts and many other crosschain protocols

Acala is fully compatible with the smart contract of Ethereum and many other crosschain protocols. The project’s development team is currently focusing on building the operating mechanism, the parachain economic governance model.

Acala Network’s main areas of activity are related to stablecoin valued asset services, derivatives betting staking and create a market AMM. Also participate in supporting financial applications developed on cross-chains related to Polkadot.

The highlight of Acala is that this protocol is built on Polkadot’s proprietary shared security model. The mechanism is to allow the system to upgrade and expand without having to go through forks that divide the user community.

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Acala Network project development team

Acala Network project development teamAcala Network project development team
Acala Network project development team

Behind the Acala project is a talented development team. The most prominent are 3 members Ruitao Su, Fuyao Jiang and Bryan Chen.

  • Ruitao Su: Holding the role of project founder and CEO of Laminar – a professional escrow service provider protocol. He is also the person who initiated and molded the new economic model with a focus on the Sovesign fund supporting startups.
  • Fuyao Jiang: Founder of wallet app Polkawallet, an important part of blockchain ecosystem.
  • Bryan Chen: Co-founder and chief technology officer of Laminar. Besides, Bryan also holds the position of lecturer for the Substrate / Polkadot course.

Special features of the Acala . platform

It’s not natural that Acala is one of those DeFi project The most awaited right now. It is expected that when officially completed, it will form an extremely professional cross-chain DeFi infrastructure.

  • Forming a professional cross-chain DeFi infrastructure

Currently, DeFi projects and users are still entangled in barriers on the active blockchain itself that cannot be broken out. For example, the person who used to be unable to use SOL as collateral for a loan at a lending protocol that works on Ethereum. In addition, projects operating on several blockchains are also difficult to interact with.

Acala helps form professional cross-chain DeFi infrastructure Acala helps form professional cross-chain DeFi infrastructure
Acala helps form professional cross-chain DeFi infrastructure

Among them, Ethereum, Binance Smart Chain nice Algorand and many other blockchains are still very difficult to interact with. So it was announced that the ERC20 standard only works on Ethereum and is nearly impossible to port to another blockchain.

However, since Polkadot was born, it has solved the problem of cross-blockchain interaction quite well. When moving to Polkadot, all previous communication that could not communicate with each other can easily interact with each other.

Taking advantage of the above, Acala will freely provide services to users associated with Polkadot. For example, if a customer wants to borrow money via the Acala protocol, they can collateralize assets at many other blockchains.

  • Creating a stablecoin platform for Polkadot

The Polkadot network possesses excellent cross-chain interoperability. Therefore, Acala also soon created a stablecoin platform for this blockchain. Accordingly, Acala’s new stablecoin platform works thanks to the support of Honzon. This is a protocol dedicated to minting stablecoins.

Acala Synthesizes Stablecoin Platform for PolkadotAcala Synthesizes Stablecoin Platform for Polkadot
Acala Synthesizes Stablecoin Platform for Polkadot

If Honzon goes live, the protocol will also support more collateral. For example ETH, BTC and a few other cryptocurrencies.

The working mechanism of the stablecoin platform for Polkadot is relatively simple. When the customer deposits the collateral, aUSD is instantly minted. Also open a collateralized debt position (CDP).

  • Create liquidity for staked assets

Polkadot focuses on affiliate assets. In general, the linking process here is similar to staking. The smart contract will lock the user’s token and start calculating interest.

When DeFi decentralized finance did not exist, the concept of staking assets did not exist. But now, they have become extremely popular, an integral part of liquidity operations. Along with that is the introduction of several types of derivative assets for staking activities.

The Acala protocol has taken staking to another level. From here, DOT holders will provide L – DOT at Homa protocol. Here, you need to understand that L – DOT is a token that represents the liquidity of DOT that was staking before.

Acala gives investors and developers a new tool to pool capital without necessarily pushing DOT to the market. The Homa protocol has done a good job of increasing liquidity for staked tokens.

  • Setting up a cross-chain decentralized exchange

Like Uniswap, Acala’s DEX exchange also offers swap functionality, although it’s only in beta, but it’s still worth looking forward to. This feature allows Acala’s decentralized exchange to generate fast liquidity.

What makes Acala’s DEX trading platform special is its support for users to cross-trade cryptocurrencies across multiple blockchains linked to Polkadot. There are hardly any significant barriers between blockchains.

  • There is compatibility with Ethereum

Currently, Ethereum still holds the leading position in the global DeFi market. So if you have implemented the DeFi protocol in a multi-chain direction, the developer needs to design it to be compatible with Ethereum.

With Acala, the protocol is fully compatible with the Ethereum blockchain. It helps other DeFi projects on-chain to seamlessly switch to Ethereum and several other blockchains.

What is Acala Coin?

Acala Coin or Acala token is the currency of the Acala platformAcala Coin or Acala token is the currency of the Acala platform
Acala Coin or Acala token is the currency of the Acala platform

Acala Coin or Acala token is like a unit of Acala platform currency, its maximum supply is 1 billion ACA. This cryptocurrency is used for 3 main purposes. Specifically:

  • System management: ACA owners have the right to vote on important decisions that affect the development of the system.
  • Pay transaction fees: When needing to pay fees to use smart contracts, staking, swap,.. User needs to use ACA token.
  • Bonus for parachain: If you want to hold a parachain position, you must rent it with the ACA token itself.

Basic information of ACA Token

  • Name: Acala Network
  • Stickers: ACA
  • Blockchain: Polkadot
  • Standard Tokens: ERC20
  • Contract Address: Updating
  • Token types: Utility, Governance
  • Supply of circulation: 69,304,481 ACA
  • Total supply: 1,000,000,000 ACA

Allocation ACA Token

  • Early backers: 18.33%
  • Backers: 11.56%
  • Founding Team: 20.25%
  • Community: 49.76%
Allocation ACA Token Allocation ACA Token
Allocation ACA Token

ACA Token Sale

ACA tokens will be rewarded to those who participated in the Parachain auction by supporting DOT via Crowdloan. At maturity, part of this ACA will be unlocked and transferred to the user’s wallet, the rest will be paid in installments according to the duration of the Parachain slot rental. Details are as follows:

ACA Token SaleACA Token Sale
ACA Token Sale
  • Vesting: 80% of the ACA from the Parachain auction will be vested linearly for the duration of the slot lease.
  • Total Rewards: The final 17% of the token will be used to reward those who have supported the project in the auction.
  • ACA Rewards: The average conversion rate is DOT 1:3 ACA. This number is subject to change based on the level of contribution.
  • Liquidity: 20% of ACA from the initial Parachain price will be unlocked and usable within Acala’s DeFi ecosystem.

ACA Token Use Case

ACA holders can use the token for the following:

  • Governance: Users can propose and vote on issues such as: network fees, council membership, updates, etc.
  • Utility: Users can pay transaction fees with ACA, receive rewards when staking,..
ACA Token Use CaseACA Token Use Case
ACA Token Use Case

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Roadmap – Acala Coin’s 2022 project development roadmap

January – 2022

  • Hedgeboard Beta Released
  • Launch of Advanced Crypto Dex Swap Platform
  • Launch of Hedgeboard Social Prediction platform
  • Solana Wrapping for ACA
  • Solana DEX trading list
  • Launch of Advance Crypto Pool – ACA’s newest mining and investment platform

February – 2022

  • Launch of Advance Crypto NFT Marketplace for Digital Commodity Exchange

September – 2022

  • Launch of ACA Crypto Debit Visa card

October – 2022

  • Launch of NFT Battle Wars – use NFT to battle others in the game and earn rewards and bonuses

How to own Acala Coin?

Currently, Acala Coin is not officially available on any exchange. As expected, on August 15, Acala held the first round of community sale. In the near future, Acala may open a number of additional offerings. Beat Investment will continue to monitor and update readers.

Above, Beat Invest just compiled some information related to Acala Coin. This coin represents the cross-chain platform Acala, which was recently launched. In the future when Acala grows stronger, ACA will definitely be a potential cryptocurrency to invest in.

Keyword: What is Acala Coin? Learn about the project Acala Network & Acala Coin

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