Unknown Speaker 0:01
Welcome to the New To Crypto podcast designed to guide you through the crypto landscape with pinpoint accuracy created for the new and intermediate crypto investor. Join your host Crypto Travels Michael as he takes you through the different facets of getting started and succeeding in your crypto journey. New to crypto podcast brings you new episodes daily Monday through Friday with surprise bonus episodes sometimes on the weekend. Let me ask you, are you new to crypto don’t know where to start? Are you more experienced but have questions? Then you’re in the right place. This podcast is designed for you, coming at you from the training center in the lifestyle design studio. Here’s your host Crypto Travels Michael.
Michael 0:52
Hey, welcome to today’s show. Well, I’ll tell you, we broke 800 cities. So people have chimed in and listened to this podcast now in over 800 cities around the world. So I truly thank you. And I’m excited to be here. And I’m working on a lot of content right now. And some really good things to share with you here in the future. So without further to do, let’s dive into today’s episode. It’s a really exciting project, which I’m happy to share with you today. And it’s all about mir protocol. What is Mirror protocol, and it’s powered by Terra network. And everyone’s talking about it right now. So let’s dive into today’s episode. Powered by Terra network, Mirror protocol enables synthetic assets that they call mAssets that mimic the behavior of real world assets, such as stocks. So what is Mirror protocol, they also have their own token. It’s called MIR.
And it’s an Ethereum token that governs the Mirror protocol which allows the creation of fungible assets that track the price of real world assets. So the project aims to enable 24/7 equities trading by minting synthetic versions of the real thing, so MIR tokens can be used to propose and vote on important changes to the protocol. The Mirror protocol is a unique project that enables the creation of synthetics to gain on chain price exposure to real world assets. Through the use of advanced smart contracts, the platform allows anyone to issue and trade synthetic assets that monitor and track the price of arbitrary real world assets. The mere protocol accomplishes this task via collateralized smart contracts that remain stabilized via the algorithm on the blockchain. This next part is taken from the… sorry. I think it sums it up perfectly.
Mirror protocol is a Defi protocol, built on the Terra blockchain to create synthetic assets called mere assets, or mAssets. mAssets mimic the price behavior of traditional and digital financial assets to trade with no intermediaries to gain price exposure without purchasing the underlying assets. mAssets are designed to be composable and portable across the Terra, Ethereum and Binance smart chain networks. Users can mint mAssets in exchange for Terra stablecoins and mAssets deposited into collateralized debt positions, or CDP’s. The protocol maintains CDP’s to stabilize mAsset value under community management. So I’m aware I just shared with you several different definitions, if you will, about near protocol. It’s a little complicated just to break it down verbally so I wanted to kind of share with you to help paint a better picture for you. So now let’s break down how it works. Mirror protocol allows the creation of fungible assets, synthetics that track the price of real world assets.
Mere synthetics are intended to be used as key building blocks in smart contracts and to bring the world’s assets to the blockchain. I like how kriptomat describes the following: Mirror protocol is a decentralized blockchain based protocol, for synthetic assets that operates in the sector of decentralized finance or Defi. Mirror protocol provides tools and features that allow users to create their own synthetic assets, which are tokenized versions of real world assets like stocks or commodities. The synthetic assets that are created with mirror protocol are known as mirrored assets or mAssets. Mirrored assets reflect the price of the real life financial assets that they represent. Hence the name of the project. Mirror protocol is hosted on the Terra blockchain, which allows it to perform cross chain and multi chain operations. That is how users can access Binance smart chain, and the Ethereum network with Mirror protocol, the protocols powered by smart contracts.
So I really liked how they worded that. So I just wanted to unpack and kind of share that with you. So what’s the history of Mirror protocol, Mirror was developed by Terraform labs. And this is the group behind the Terra blockchain, that’s dedicated to building out the Terra tooling and application ecosystem. So Terraform labs launched a Mirror protocol in December of 2020, to create price stable liquid derivative assets on the Terra network. So let’s break down what problems does Mirror protocol solve? There are many problems that the developers behind the Mirror protocol have set out to fix. Primarily the goal of the project is to speed up the integration of traditional assets entering the blockchain sector by providing exposure to these assets via synthetics, anyone can participate in the market.
So let’s break down there in MIR token, okay, the following is taken from Coinmarketcap. MIR is the governance token of near protocol as synthetic assets protocol built by Terraform labs on the Terra of blockchain. Mirror protocol is decentralized from day one with the on chain treasury, and code changes governed by holders of the MIR token. TfL has no intention of keeping or selling MIR tokens, and there are no admin keys or special access privileges granted. The intent for this is to be fully and completely decentralized, community driven project. Mirrored assets are blockchain tokens that behave like mirrored versions of real world assets by reflecting the exchange prices on chain. They give traders the price exposure to real assets while enabling fractional ownership, open access and censorship resistant as any other cryptocurrency. Unlike traditional tokens, which serve to represent a real underlying asset, mAssets are purely synthetic and only capture the price movement of the corresponding asset.
Mirrored assets provide the following advantages, global accessibility in most markets outside of Europe and North America, access to foreign equities and forex markets is highly limited. Number two is fractional orders. In traditional finance to execute a fractional order multiple fractional orders are bundled together to execute one transaction by utilizing the blockchain orders volume in simply represented as a number on the blockchain, so there is no need for the intermediary bundling process. Number three is nearly instantaneous order execution. Mirror relies on liquidity providing by each individual asset pool in orders can be executed as fast as the block time of the network, which is said to be like six seconds. So let’s break down some info about the MIR tokens now.
Currently, the circulating supply is just over 77 million tokens. And the market cap is just over $236 million. The Mar token is currently trading at just over $3. And I have to say that Mirror protocol is an exciting project. This is one that I’ll definitely continue to follow. I am intrigued by what they are doing and how they are bridging real world assets via synthetics into Defi. I trust that this has been informative for you today. Be sure to like and subscribe to the podcast if you like today’s episode, I have a special bonus coming up for our loyal listeners. I’m currently designing my first NFT collection and I’m going to give away some NFTs to some of the community here when the NFT collection is dropped. So stay tuned here for details on how to win your very own crypto travel cyberpunk themed NFT. I’ll meet you here tomorrow for another awesome episode. Until then, make it a great day.
Unknown Speaker 9:38
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