SEBI Protocol
A decentralised protocol that enables businesses to issue equity tokens easily to raise capital from the global markets with regulatory features like upper/lower circuits, KYCs, dividends.
Project Description
Despite being such a happening place, DeFi is comparatively much smaller than traditional finance and stock markets. While blockchain has emerged as the technology that enables a permissionless and open internet, the average individual still considers DeFi/crypto as gambling due to speculation and the lack of a governing body to ensure fair practices.
SEBI Protocol is designed to introduce investment rules for businesses similar to those in stock markets, with community-based governance rather than an individual body.
This creates an opportunity for retail investors to join blockchain-based investments and bring in more capital.
How it's Made
The project uses uniswap v4 hooks for regulating exchange transactions and governance system at token level for changing these regulations.
So there are 3 parts:
- Modified ERC-20 contract as the Equity Contract
- Uniswap v4 hook for the Equity Token pools managing circuit breakers & trading
- Governance system to update the constants
