image description

Umbrella Network AMA on 68 Trading Telegram channel

Umbrella is a scalable, community-owned oracle that securely brings external data on-chain. It provides the first decentralized oracle service, giving the community the scale and security needed for modern DeFi applications.

image description

This text is almost entirely in the original AMA format, with minor edits for punctuation and readability.

secondary title

first part:

first part:

Q1. Let's start with the first part: First, can you briefly introduce yourself and Umbrella Network?

OK My name is John Chen and I'm the Head of Marketing at Umbrella Network. I am currently living in Singapore with my wife and 2 children and I have lived there for the past 6 years. Originally I grew up in New York City.

Umbrella Network is a community-owned, decentralized, layer2 data oracle. It is the bridge that brings real-world data into the blockchain. We are the lowest cost and largest oracle on the market today.

secondary title

the second part

the second part

We're moving into Part 2 with 5 pre-selected questions from our community!

Q1. First question from @Daniel_rew: Umbrella Network is one of many projects that suffered severe losses of user funds due to the previous Chainswap hack. Do you have any comments or insights on this from a marketing perspective?

We certainly learned a lot from the Chainswap hack. Fortunately, none of our smart contracts were hacked or affected, but our third-party cross-chain partner Chainswap was hacked or affected. Some of the important lessons we learned from hackers are:

1) Respond quickly and decisively

2) Communicate openly and be transparent with our community, whether the news is good or bad

3) Try to stand in the perspective of community members and think from their perspective

By doing this, we are fortunate to be able to minimize the negative impact of the hack and quickly take appropriate measures and responses to the situation to ensure that our community is minimally impacted and that we can emerge from the hack, hopefully Stronger and more resilient.

I wish Umbrella Network all the best after the inevitable.

Yes, dealing with hacking has been a hectic month or so. We're still working through some final issues, but glad to have it resolved.

Q2. Next question from @lucianQ19: How will Umbrella Network compensate users/holders for lost assets after the Chainswap hack, and what solutions will you implement to prevent similar mishaps in the future?

So after the hack, we had several plans in place to reduce the impact:

1) We set up an internal fund (110 ETH) to buy back from the public the same amount of tokens that the hacker dumped into the market

2) We set up a reward program on ETH and BSC to give back to the community so that they can get more rewards by holding our tokens.

3) We froze our UMB tokens on BSC to prevent hackers from selling extra tokens they minted on BSC and subsequently replacing everyone's tokens 1:1 with a new token contract

4) We stopped using any third-party token bridges and will release our own fully audited token bridges in early September to minimize future external circumstances that may be beyond our control.

I bet your team has worked hard to figure this out.

Yep, definitely a special shout out to our team for handling the hack as best they can. Thanks also to our community for their understanding and solidarity during this time.

Q3. The next one is from @tuanbeo1505. How do you see the future potential of the oracle sector? What are the salient features of Umbrella that could be the best oracle solution for every blockchain project?

I think the future of DeFi is dizzying. We are still in the early days of blockchain and oracles are an important part of the ecosystem. Without oracles, a blockchain is like a cell phone without a data plan. You can calculate and process things, but without any connection to the outside world, your utility is extremely limited. What good is an Uber, your mobile banking app, or maybe 90% of the apps on your phone if you don't have a data connection?

As I mentioned before, one of our main differentiators is our ability to aggregate thousands of pieces of data into a single transaction. This brings several major benefits. First, this allows us to obtain the lowest data cost on the on-chain data market.

Not only is the difference very small, but it is also hundreds to thousands of times cheaper. Recently, we have seen on Ethereum that the cost of a single transaction is about $50+, so the cost of getting a single piece of data on-chain is also the same. In comparison, our price per piece of data is about $0.30, a figure that will continue to decrease steadily as we scale.

Second, this gives us the added advantage of having more data options available than our competitors. Other oracles may have anywhere from 100s to hundreds of data pairs available. We currently offer approximately 1,200 pairs, including the entire S&P 500, and hope to provide close to 5,000 pairs soon, and approximately 10,000 pairs by the end of the year. Unlike most other oracles, we have almost no upfront investment cost of bringing new data on-chain, so we will be able to conveniently continue to grow our data pair offerings at a consistent pace.

We also offer the widest selection of data, not just raw volume, so this means not only major crypto pairs like BTC, ETH, but also small and mid-cap crypto data, stock prices, commodities, more complex calculated metrics such as TWAP, IVOL and various yields, and more. Ultimately, we want to reduce the cost of data as close to zero as possible, because we believe that's the only way applications can really thrive and innovate.

Q4. This is the fourth question for today. What are the main achievements of Umbrella Network? Any upcoming product features or milestones that excite you?

We're still a fairly new project, with IDO coming back in February this year, but overall I think we've been lucky to have made some serious progress in the past 5-6 months. We launched on the BSC mainnet in May and will launch on the Ethereum mainnet at the end of September. We are currently launching our Community Validator Program, which will allow us to offer almost anyone in the community the opportunity to operate a validator node and help validate data on our network in a decentralized and secure manner.

As of the upcoming milestone, we have an incredibly complete pipeline planned for the near future. Our plans range from expanding to other blockchains such as Solana, Polkadot, Avalanche, etc., to rolling out new product features such as advanced options data and pricing model feeds, verifiable random number generators, etc., among other major developments in our The work will help propel Umbrella into new market segments and verticals. So stay tuned for a lot of exciting content we have to offer!

Q5. One last question before our main event tonight: As an individual user, in what ways can I contribute to the development of the Umbrella network? Do you have an ambassador program? what is the benefit?

Those who are interested can apply here -> https://forms.gle/bJqZiHhoAZukfn4A9

secondary title

PART 3 Live Q&A

Q1. Which companies are you cooperating with or looking for in the future?

So far, we have established about 40 partnerships with several projects, many of which are in the DeFi space. As we add more support for other chains, we will continue to forge more partnerships across the various blockchain ecosystems. But beyond DeFi, we also see a broader need for oracles as a bridge between real-world data and enterprises and the blockchain ecosystem, so we will seek to expand our potential cooperation opportunities and look forward to other cross-enterprise /Enterprise Opportunities and Market Segments for Encryption Applications.

Q2. Many projects are just projects that make deceitful promises by cloning existing projects and are similar to existing projects. Do you have your own unique features that you developed that set you apart?

We are not a fork or copy of another project. Our platform was built on another company's technology, and our founders also built it from the ground up called Lucidity. It's also designed and built from the ground up, and we've spent years testing and refining it. Some of the core engineering teams that built the core platform are with us today at Umbrella as we continue to build the technology.

Q3. What is your global expansion plan? Is Umbrella currently focused on the market or is it focused on building and developing or acquiring customers and users, or partnerships?

We have several plans for global expansion. One is our continued focus on product and platform development, including more product/feature enhancements, continuing to add more data sources and improving security, and increasing the number of data sources, including customizations and novelties that may not be available elsewhere data source. The other is a continued focus on market adoption, specifically adding more meaningful partnerships and expanding into more industry categories and verticals, including crypto application support as well as the broader enterprise market.

Q4. Revenue is an important aspect for all projects to survive and keep the project/company running. What is your method of generating profit/revenue? What is a revenue model?

We're still in the early stages of the project, so for now we're making all data available for free. However, as we start to gain wider adoption, we will charge for our data on a SaaS-based model based on the volume of data consumed, and it will cost significantly less than other leading oracles.

Q5. At present, most investors only care about profits and ignore long-term gains. So can you give them some reason why they should buy and hold your token long term?