TIME is a cryptocurrency that was released by the Wonderland platform, the first DeFi reserve currency protocol on the Avalanche network. Wonderland is a fork of OlympusDAO, which is a popular platform on the Ethereum blockchain. The two platforms act independently from each other, though, as Wonderland is not supported by OlympusDAO.
Wonderland tries to modify the definition of stablecoin introducing a new notion into it. Thus, non-pegged TIME tokens are supported by a bunch of assets that enter the Wonderland treasury. The token holders can also resort to staking and bonding to get revenue from the project.
The main objective of the project is to create a cryptocurrency-backed stablecoin that is protected by its own treasury. The token is designed for an environment where the cryptocurrency industry doesn’t rely on fiat currencies to drive growth.
Based on the Avalanche blockchain, TIME is supported by the treasury to maintain its usability within the Wonderland protocol. The founders of the platform have decided to reject pegging to avoid dependence on particular fiat currencies controlled by governments. Instead, a set of assets was created to mitigate the risks and create the value of the token. The treasury includes several types of tokens that back up the value of the Wonderland token.
In contrast to other stablecoins represented on the market, the developers try to create the cryptocurrency pegged to a set of digital coins instead of fiat. With that, developers aim to remove any connection to the traditional financial industry. In the opinion of the platform’s founders, the cryptocurrency industry can act separately from the world of real money when it achieves the price flatness for a representative basket of goods without using fiat currency. The goal has been partially achieved as TIME functions effectively thanks to the treasury that manages to back the value of the token.
Wonderland is the first decentralized reserve currency protocol based on the Avalanche Network. As mentioned above, it borrowed the framework from OlympusDAO and established its own project on the basis of the Avalanche blockchain. The token OHM that was created to fuel OlympusDAO also uses the treasury of its ecosystem to maintain its value. Despite these similarities in both platforms, different assets are employed to form a treasury while the projects operate on different blockchains. OlympusDAO is an Ethereum-based platform, while Wonderland used Avalanche to take advantage of its lower fees and faster transaction confirmation time.
The platform provides the members of its community with a dynamic economy that is achievable thanks to the staking and minting of the token. TIME offers high APY to stakers to make the asset alluring for new customers. With that, it contributes to the growth of the customer base and the development of the ecosystem.
Bonding strengthens the community as it affects the size of the treasury and backs the value of the token that fuels the ecosystem. The size of the treasury increases when the members of the community acquire bonds. Those who want to purchase the assets with a discount should buy tokens on the platform.
The team standing behind the project chose DAO as a form of an organization hoping to solve the arising questions by means of voting. The community has a right to decide on such questions as the amount of reward given to stakers, the ratio of assets included in the treasury, and some more. The protocol requires upgrades, so the scheme is designed to work in a similar way for them to be implemented. As far as the community is concerned, TIME is still gaining traction at the time of writing as this is a relatively new asset on the market.
The PCV (price controlled value) is a very important parameter that guarantees the backing of TIME through a protocol. TIME can be only minted or burned with the help of a protocol. The availability of funds in the treasury gives users confidence that the staking APY can be sustained on a long-term basis.
When protocol mints new tokens, a large part of them goes to stakers. The protocol employs the rebase mechanism to increase the balance of the staked balance to make 1 staked TIME redeemable for 1 TIME.
At the time of writing, the developers still control the treasury and liquidity. They are also responsible for the process of minting, generation of profits that are further used in the protocol. However, the protocol remains safe thanks to the LP bond and accumulation of liquidity.
At the same time, the platform actively works to implement the DAO scheme. In December 2021, the team released the Wonderland Governance network that empowers the community with tools and guidance to make proposals and take decisions on specific subjects. According to the platform’s policy, all stakeholders are allowed to vote regardless of the size of their stake. The majority of votes belongs to the community responsible for moving the project forward.
Wonderland is a platform that is fueled by two cryptocurrency assets, TIME and MEMO tokens. TIME was launched in September 2021. Three activities are available for the TIME token holders as they can stake, mint or bond, and sell their tokens to get profit.
The protocol considers it beneficiary when users stake or mint tokens, while the selling is considered detrimental. The price moves usually occur as a result of staking and selling, while minting does affect the price policy. Actors moving the price get half of the benefit.
The team of Wonderland remains mostly anonymous. Reddit users mention the name of Daniel Sesta who also worked over abracadabra.money, a lending platform that provides isolated lending markets. He is a serious developer who participated in the development of Popsicle Finance, a multichain yield optimization platform for Liquidity Providers. He seems to be a reputable personality trusted by the members of the community in contrast to the anonymous founders of the project with no track record.