Technical Documentation

Oracle Mechanism

The UVAz Oracle is a critical component that provides accurate UVA index data to the protocol:

Key Features:

  • UVA Price Feed: Delivers the current UVA value in USDT terms with 18 decimals of precision

  • Admin-Controlled Updates: Currently uses a trusted admin for updates, with plans to implement a decentralized system in the future

  • Multiple Validators: Design allows for future expansion to multiple validators for increased security

  • Transparent Operation: All price updates are logged on-chain and can be publicly verified

The oracle contract exposes a getUvaPrice() function that returns the current price, which is used by the UVA Manager for minting and redemption calculations.

UVA Manager

The UVA Manager is the central contract that coordinates all protocol operations:

Core Functions:

  1. mintUva(uint256 _usdtAmount): Converts USDT to UVA tokens at the current rate

  2. redeemUva(uint256 _uvaAmount): Burns UVA tokens and returns USDT minus fees

  3. setWhitelist(address _user, bool _status): Controls access to protocol functions

  4. withdrawUsdt(uint256 _amount): Allows the owner to withdraw USDT, respecting pending redemptions

  5. setMaxUsdtReserve(uint256 _newMax): Sets the maximum USDT that can be held in the contract

  6. setRedeemFeePercent(uint256 _newFeePercent): Configures the redemption fee percentage

  7. updatePriceOracle(address _newOracle): Updates the oracle contract address

The UVA Manager implements security features including reentrancy protection, access control, and reserve management to ensure safe operation.

Fee Structure

UVAz implements a simple fee structure designed to support ongoing protocol operations:

  • Minting Fee: 0% (no fee for converting USDT to UVAz)

  • Redemption Fee: 3% of the redeemed amount

  • Fee Distribution: All fees remain in the contract as additional backing

  • Fee Configuration: The fee percentage can be adjusted by governance, up to a maximum of 20%

This fee structure is designed to be minimal while ensuring the protocol's sustainability and continued development.

Whitelist System

To ensure regulatory compliance and control access during the initial rollout, UVAz implements a whitelist system:

  • Admin Control: Contract owner can add or remove addresses from the whitelist

  • Access Restriction: Only whitelisted addresses can mint or redeem UVAz tokens

  • Transparent Management: All whitelist changes are logged via events

  • Future Evolution: Plans to transition to more decentralized access control over time

This whitelist approach helps ensure that UVAz can comply with relevant regulations while protecting the protocol during its early stages.

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