World Cup tokens by UniLend are aimed at boosting the adoption of DeFi, especially in the sense of lending and borrowing tokens within the community. Blockchain technology has been used in the world of FIFA.
The FIFA World Cup fever has gripped everyone, with no sector remaining on the outside edge. UniLend is the most recent venture that has decided to get its hands on the worldwide tournament.
According to the developments announced by the DeFi platform, users can access its borrowing and lending protocol to engage with their favorite teams. There are two ways in which users can express their support for their favorite teams. Users can go long or short, depending on which team they root for. The most basic is a long position.
For instance, Mark is rooting for France to win an event. Mark can hold on to the long position by borrowing tokens from another fan. Assuming France performs as per expectations, which means if France wins the fixture, then the users can sell those tokens for a profit. There is a window before selling the tokens where users can even purchase more tokens. However, this normally happens almost after borrowing tokens from another fan.
Mark makes a profit depending on the number of tokens he holds onto and the number of tokens he sells.
Going short for another team is also a great way to support the favorites. For instance, Lisa is rooting for Argentina. She hopes the opposing team loses and decides to go short on the opposing team. Lisa barrows tokens and sells them in the open market. Similar to going long, if the team (opposing team (in this case) performs as per expectations, Lisa can buy back those tokens at a lower price to repay the borrowed amount.
The difference that comes while buying back the tokens from the open market becomes a profit for Lisa.UniLend aims to bring on board users who follow the sport with all their hearts. DeFi is often seen as something only financial experts want to engage with. The digital world is heading towards adopting DeFi, and it is important to understand that the segment is as easy as it sounds.
No matter the background, everyone can participate in understanding the basic groundwork of lending and borrowing tokens on a protocol.
Users can leverage their long or short positions to express support to their favorite teams while making significant returns throughout the process. The update was shared by UniLend, highlighting that this is a major advancement not just in the world of football but also for the DeFi segment, as it can become very popular among football fans. The protocol allows users to take advantage of the market movement while granting them access to the global football market.