Summary

What is the numa protocol?

Running on the Arbitrum L2 platform, numa is an Ethereum-based protocol that brings real-world assets onto the blockchain. The protocol provides decentralized, on-chain mechanisms for minting synthetics that are transparently collateralized on the blockchain. Through burn-and-mint tokenomics, the numa protocol removes custodial risk and provides for free market exchanges and transactions.

Synthetic assets are minted by burning the native token of the numa protocol—$NUMA. $NUMA will be burnt at a 1:1, dollar-for-dollar ratio to mint the equivalent amount of a synthetic asset—viz., nuMoney. The initial synthetic assets (nuMoney) to be offered on the numa protocol will be $nuUSD and $nuBTC and $nuGOLD—corresponding with USD and Bitcoin and Gold. Additional fiats, commodities, blockchain assets, bonds, and equities are possible as nuMoney in the future—such as GBP, EUR, ZAR, GOLD, SILVER, and OIL.

The numa protocol is backed by liquid-staked ETH—in the form of rETH—which allows users to earn sustainable, real yield on their real-world assets. Users deposit rETH into the numa vault to mint $NUMA, which can then be burnt to mint any of the available synthetics (nuMoney). Users can then single-stake their nuMoney to earn yield on these assets or they can trade between synthetics with zero-slippage.

Two of the biggest obstacles in blockchain adoption are real-world use cases and bringing off-chain liquidity onto the blockchain. numa solves adoption by providing yield-bearing everyday assets to the blockchain and by partnering with institutions who bring users from outside the crypto ecosystem onto the protocol.