Bruce Pon, Founder at Ocean Protocol expressed that they are working to give people power in a new data economy. Ocean$ are now moving towards data as collateral. A stablecoin can be collateralized by many Ocean data tokens as assets. Providers can take loans against their data assets. Enterprises and institutions that have put “data on the books” can loan against these assets.
It is now possible for users to provide $OceanO liquidity into AMMs like Uniswap or Balancer to earn fees, with lower risk of impermanent loss.
Ocean are now teaming up with opendaoprotocol to bring the $OceanO stablecoin to the market – providing interoperability between our respective protocols and giving Ocean token holders more flexibility.
Lend against and borrow other stablecoins by putting $OceanO as collateral in lending platforms has become easier than before.
What is $OCEAN? The OCEAN utility token is used to stake on data, govern community funding, and buy & sell data. Its supply is disbursed over time to drive near-term growth and long-term sustainability. OCEAN price is designed to increase with a rise in usage volume. It is used for staking, as a governance token, and as a Unit of Exchange. It is an ERC-20 token.
What is $OceanO? OceanO is the stable coin formed by Ocean x OpenDAO. It is created to function as a flexible financial instrument creating interoperability between protocols.
Bruce Pon, Founder of Ocean Protocol stated, “The creation of synthetic $OceanO gives people full control of their assets while extending the potential use cases of the Ocean token. We applaud OpenDAO for initiating this and using the innovative technology developed by UMA Protocol.”
Also, the process for using OCEAN as collateral to mint a dollar-pegged stablecoin ($OCEANO) with OpenDAO is underway!
OceanO stable coin is very useful for investors who are looking to free up some of their investments from their OCEAN tokens.
The soon-to-come OceanO/USDC pool will be used to quickly convert quickly convert OCEAN to $USDC for deployment elsewhere.
OCEAN Price Fluctuations with OceanO
Users can Hedge against fluctuations in $OCEAN prices for example by using $OceanO to borrow USDC and short/long OCEAN.
Large numbers of OCEAN reportedly are locked, thus creating supply scarcity creating a positive impact on the OCEAN price. Also, the OCEAN supply is taken out of supply when OCENO gets used in DeFi.
In summary, users who buy OCEAN will be investing their value to see the price of the token grow with time. However, in the meantime if the users need to use a part of their investments to make more money, they can convert it to OCEANO and invest in DeFi.
