Tribe
The FEI Protocol stablecoin uses the Bitcoin blockchain, which makes it a freely traded asset that doesn't need a counterparty appetite to use. Price stability is attained by using auctions, seigniorage shares, over-issuance penalties, and reserves. By doing this, the FEI Protocol makes sure that the price of the stablecoin is closely tied to its value on the blockchain.
The governance token for the FEI algorithmic stablecoin is known as TRIBE. FEI seeks to introduce an entirely new decentralized stablecoin option to the market. Existing stablecoins are either backed by crypto, which makes them inefficient at using capital, or by fiat currency, which makes them centralized.
The decentralized stablecoin platform known as FEI was initially developed by Joey Santoro, Brianna Montgomery, and Sebastian Delgado. The FEI protocol was created by Santoro and Delgado, respectively. Santoro is the CEO of FEI Labs, whereas Montgomery is the business lead. The three co-founders are the backbone of TRIBE and FEI Labs, each bringing extensive knowledge and expertise in the cryptocurrency industry.
Tribe and the FEI Protocol try to fix some important problems in the market. One of the primary issues addressed by the network is capital inefficiency. The vast majority of stablecoins in the market are either fiat or crypto-backed. The crypto-backed projects work using a system called "over-collateralization." This approach is needed to guarantee that the protocol runs in a trustless way.
Unfortunately, this strategy makes it harder for these networks to grow because every supply needs a lot of collateral. The need for this over-collateralization comes from the desire to have a buffer to make sure that changes in the underlying asset don't make the project insolvent.
Volatility is another concern that crypto users have to face on a regular basis. The crypto market is notorious for its volatile price fluctuations. Tribe contributes to the stability of FEI transparently through a community treasury pool.
Fiat or commodity-backed stablecoins require the storage and auditing of reserves by a third party to ensure they meet the amount of value issued in tokens. This requirement makes it more expensive to run these projects and brings centralization into the equation. Tribe and the FEI Protocol help make the stablecoin market more efficient by fixing problems.
PCV: Price-controlled value is an essential component of the ecosystem. This method is designed to allocate assets algorithmically in order to offer liquidity and generate a return. Notably, the Uniswap ETH/FEI liquidity pool is a community-owned reserve, and any new FEI comes into circulation through a buy-only bonding curve denominated in ETH. The FEI Protocol allows bonded FEI/TRIBE Uniswap LP tokens to exchange TRIBE for FEI. This strategy is known as a "liquidity-collateralized" model.
FEI: FEI is a separate, decentralized stablecoin that uses a community reserve pool to keep its value pegged to $1. FEI is unique because it can always be exchanged for its underlying asset. This makes it more liquid than other stablecoins on the market. The developers view FEI as a crucial first step towards decoupling the cryptocurrency market from fiat currencies entirely.
TRIBE serves as the governance token while FEI acts as the stablecoin for the FEI Protocol.
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TRIBE serves alone as a governing body. Holders of the TRIBE cryptocurrency can vote on all aspects of how the Protocol works, such as choosing the minter and burner contracts, changing the scale target and allocation rules on bonding curves, and changing the incentive time-weight growth rate.
| DATE | NEWS/EVENTS | IMPACT |
| 20/08/2022 | Following hack repayment, the founder of FEI Protocol recommends ghosting Tribe DAO | +43% Increase |
| 24/08/2021 | Tribe gets listed on Binance platform | +32% Increase |
The TRIBE concept shows how multi-token stablecoins continue to give investors more options. These projects combine stability, security, and community involvement, making them perfect for anyone who wants to have more control over their financial future. As the network continues to spread in 2023, we may anticipate to see a great deal more from FEI Protocol and TRIBE token holders.
