Melon (MLN) is an Ethereum-based protocol for decentralized on-chain asset management. It is a protocol for people or organizations to manage their assets or the assets of others in a secure and customizable environment. Melon empowers anyone to set up, manage, and invest in custom on-chain investment vehicles.
Melon aims to decentralize traditional wealth management, an area formerly occupied by companies and professional financial advisors. The idea is that the Melon cryptocurrency can lower the barriers to entry for asset management, opening up access to more global consumers.
Melon aims to create an alternative system. Using the project’s web portal, users can invest in funds, portfolios provided by other users, and other users can invest in their initiative. The Melon protocol uses the crypto MLN to perform various operations on the platform.
Melon updates users on the status of its development roadmap through its official website and blog.
How does Melon work?
The Melon protocol is a computational set of smart contracts executed by the Ethereum blockchain.
By having this design, transaction fees are paid in ether. These fees cover the cost of using Ethereum’s computing power and Melon’s software.
The fund layer is where the user launches and controls the funds that other users can invest. Each fund class consists of two parts:
“The Hub” is considered the core of the fund class, as it provides all the necessary tools to set up a fund and keep track of the components that make up the fund.
“The Spokes” uses smart contracts to identify the funds created by each fund manager and contribute specific services to the fund. Examples include Vault – a component used to store tokens on behalf of funds and stocks, a component that tracks fund ownership.
The infrastructure layers are controlled by Melon Council – DAO (decentralized autonomous organization) of Melon.
Some examples of infrastructure contracts include: “adapter” contracts – contracts that link certain assets to a price feed for transactions.
Contract “engine” – buy MLN for ETH to help pay for certain computations.
Contract “source of price” – provides general information necessary for actions in the fund.
The security of the Melon protocol is of paramount importance to the Melon Council. Melonport has had several audits done by reputable auditors (Least Authority, Deja vu, Solidured, ChainSecurity). As such, the Melon Council encourages anyone willing to use Melon with a substantial amount of AUM to conduct their own audit.
Additionally, they incentivize and reward confidential reports from the community with an ongoing bug bounty program.
Melon’s Bug Bounty Program
To test the security of their smart contracts and to uncover possible vulnerabilities in the code, they invite and challenge people outside to find security attack vectors/vulnerabilities. in the Melon protocol. The total reward is 247,989 DAI available to pay the bonus. Bounty will be paid for all valid security vulnerabilities found and disclosed to Melon Council.
The Melon Council is a DAO that manages the protocol and is responsible for its future maintenance. All decisions made by the Melon Council can be referenced in real time on the Melon Council aragonOS interface.
Melon Council DAO operations are powered by aragonOS. A custom Aragon DAO for Melon Council has been deployed and can interact natively with the Melon protocol.
The long-term mission of the Melon Council is to:
- Maintain network integrity
- Maximize User Acceptance
- Drive innovation and increase network attractiveness
In practice, the Melon Council is responsible for the following:
- Protocol upgrade
- Resource allocation
- Network parameters
Melon is a completely decentralized asset management protocol that enables anyone to set up, securely manage and/or invest in digital asset funds in a powerful and permissionless manner. It allows asset managers to create their own customizable investment vehicles on Ethereum in minutes and without the need for back offices or financial intermediaries.
In short, Melon provides a platform for fund managers and investors to operate in a safe, transparent, efficient, less expensive way. Ultimately, this will benefit end users as well as investors.
You can see MLN prices here.
According to AZCoin News
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