UMA to USD Price Chart

UMA Statistics

Market Rank	#318
Market Cap	$ 215.3M
Volume 24h	$ 24.0M
Circ. Supply	83.8M
Total Supply	122.6M
Max Supply	?

Has the price of UMA changed recently?

The price of UMA decreased today, aligning with the typical volatility seen in cryptocurrency markets. Currently, UMA is priced at $ 2.57, with a -6.61% change over the last 24 hours.

What Is UMA?

UMA is a cutting-edge platform in the world of decentralized finance (DeFi). It stands for Universal Market Access, a concept that lives at the heart of UMA's mission—to democratize and open the financial markets to everyone, everywhere. The platform focuses on the creation of "priceless" financial contracts, which are DeFi contracts specifically designed to minimize reliance on oracles for price information. This approach aims to tackle the prevalent security and scalability issues faced by many DeFi projects.

What Are Priceless Financial Contracts?

Priceless financial contracts on UMA are a novel approach to creating synthetic assets. These are ERC20 tokens that represent the value of any arbitrary asset and are crafted to reduce the need for on-chain price feeds. As the name suggests, the priceless framework allows users to create derivatives that track the price of an underlying asset without the need to continuously reference an on-chain price.

Who Created UMA?

While the specific founders of UMA are not outlined here, the concept stems from a team of blockchain enthusiasts and financial technology innovators who identified the need for more secure and accessible financial contracts within the DeFi space. The creators of UMA aimed to solve these needs through robust governance and an innovative dispute resolution mechanism.

How Does UMA Work?

UMA works by providing the infrastructure for DeFi applications to create self-enforcing, self-executing financial contracts secured by economic incentives rather than on-chain price feeds. Central to UMA's operation is the Data Verification Mechanism (DVM), an oracle service that steps in only when a contract is disputed. This drastically reduces the frequency and, by extension, the risks associated with oracle usage.

What is the Data Verification Mechanism (DVM) in UMA?

The Data Verification Mechanism, or DVM, is a pivotal component of UMA's system. It is an oracle mechanism designed to handle price requests when contract participants challenge the proposed settlement of a contract. UMA token holders fulfill these price requests by voting on the accurate price of an asset at a specified timestamp, ensuring that the process is decentralized and governed by community consensus.

How Do UMA Tokens Function Within the Platform?

UMA tokens serve two primary functions in the platform's ecosystem:

Governance: UMA token holders are empowered to make crucial decisions about the platform. This includes determining which types of contracts are permissible, specifying supported asset types, and making decisions on system parameters and upgrades.
Price Requests: While UMA's "priceless" contracts are designed to operate without frequent price checks, there will be situations that require intervention. In such cases, UMA token holders are responsible for resolving disputes and providing price information through the DVM.

UMA tokens are not presented as investment opportunities but rather as utility tokens that enable holders to take part in the governance and maintenance of the ecosystem.

How Is the UMA Network Secured?

The security of the UMA network relies not only on the Ethereum blockchain, which itself offers robust protection through its consensus mechanism but also on the economic incentives that underpin the "priceless" contract model. Disincentives are in place to discourage improper reporting within the Data Verification Mechanism, and the governance process is designed to be tamper-resistant and community-driven.

How Much UMA Is in Circulation?

As of now, UMA has a circulating supply of 83.8M tokens. The total supply, which is the maximum number of tokens that will ever exist, is set at 122.6M UMA tokens.

What Is UMA's Market Capitalization?

UMA's market capitalization is a reflection of its total value in the cryptocurrency market, which currently stands at $ 215.3M. UMA ranks at number #319 on the list of cryptocurrencies by market cap.

Where Can You Buy UMA?

UMA tokens are widely available for purchase across various cryptocurrency exchanges. Some of the primary Tokenize, Gemini, Bitstamp, Bitci, BTCTurk hosting UMA tokens include key market platforms, allowing users to buy, sell, and trade UMA tokens with ease.

UMA Links