What is UNC? Understanding Unicrypt's governance token in the Decentralized Finance ecosystem.

With the continuous maturation of decentralized finance (DeFi), the demand for transparent, community-driven tools has reached an unprecedented level. Unicrypt emerged in 2020 as one of the early participants, focusing on addressing core DeFi vulnerabilities, particularly in liquidity locking, token vesting, and project launches. The core of the protocol is UNC, the original governance and utility token, which helps establish Unicrypt as a trusted decentralized ecosystem.

What is UNC?

UNC is the native token of the Unicrypt platform, launched in June 2020. It is designed to serve governance and incentivization functions within Unicrypt's growing suite of decentralized finance services. These services include liquidity locking, farming, token allocation, and decentralized launch platform. With the rise of decentralized finance, Unicrypt positions itself as a platform where developers can demonstrate commitment to investors by locking liquidity and using a fair token allocation mechanism—all managed by smart contracts and supported by the UNC token. At launch, the total supply was 1 billion tokens, and UNC was introduced without any initial circulating supply—creating a model that allows tokens to enter circulation through utility and participation in protocol services.

Transition to Multi-Token Model

At the beginning of 2021, Unicrypt launched a dual-token model to better meet the different needs of its ecosystem. This model introduced UNCX and UNCL, where:

• UNCX has become the deflationary governance token, replacing most of UNC's original decision-making functions.
• UNCL serves as a practical token for inflation, mainly used for the distribution of agricultural and service fees. As a result, the active use of UNC has gradually been phased out, but it remains a historical token that supported the initial growth of the platform. This change has allowed Unicrypt to better adjust its incentive mechanisms: governance is now managed through a scarce, deflationary token (UNCX), while daily services are supported by a liquid, inflationary token (UNCL).

The Legacy Role of UNC in Governance

At launch, UNC holders can participate in governance decisions, such as protocol upgrades, launch parameters, and fee distribution. A staking mechanism is also introduced, allowing users to earn rewards while actively participating in the platform's development. As governance rights are transferred to UNCX, these functions are gradually shifted, and UNC becomes a less utilized but foundational asset. Despite being deprecated in active governance, UNC still symbolizes Unicrypt's early commitment to decentralization. It also highlights the project's adaptability as it transitions to a more robust tokenomics structure while remaining true to its core mission.

The Ecosystem and Use Cases of Unicrypt

Unicrypt's platform is one of the few decentralized financial protocols that offer complete on-chain liquidity locking, reducing the risk of "rug pulls" by requiring project teams to lock liquidity tokens for a set period. Its release service provides smart contract-based token release plans, which are crucial for long-term alignment of teams or investors. The Unicrypt Launchpad is a decentralized environment where new tokens can conduct fair pre-sales and integrate liquidity locking. Through these services, Unicrypt has become a trusted launch platform for dozens of decentralized finance projects. Web3 projects. It is blockchain-agnostic and currently supports major blockchains such as Ethereum, BNB Chain, Polygon, and Avalanche.

Market Status and Token Circulation

According to CoinMarketCap and other sources, the current circulating supply of UNC is zero, which means it is no longer being actively traded or distributed. Instead, current activities and development work are focused on UNCX and UNCL, which serve governance and utility roles, respectively. Although UNC no longer plays an active role in the protocol, it is still listed for historical and archival purposes. Investors should be aware that the Unicrypt ecosystem has evolved, and UNCX is now the main token associated with voting rights and platform governance.

Why UNC is Still Important

Although UNC is no longer at the core of the Unicrypt ecosystem, it marks an important chapter in the evolution of decentralized finance. UNC showcases one of the first working models of community-led governance in decentralized services. The token also demonstrates how decentralized finance platforms can build trust through transparent tools such as liquidity locking and decentralized token distribution. The decision to migrate to a multi-token structure reflects a mature protocol that is willing to adapt to community needs and scalability. Unicrypt's transition to UNCX and UNCL simplifies its ecosystem while still maintaining the security and decentralization principles that UNC originally helped to cultivate.

Conclusion

UNC is the governance token that initially drove the early rise of Unicrypt as a decentralized finance infrastructure provider. Although it is no longer actively used, its role in shaping a secure, transparent, and decentralized decentralized finance experience remains significant. Today, Unicrypt has evolved into a dual-token ecosystem featuring UNCX and UNCL, continuing to drive innovation in decentralized finance, with UNC being remembered as the cornerstone that made it all possible. For users interested in decentralized finance security, token issuance, or long-term ownership mechanisms, Unicrypt remains an important platform. While UNC has stepped out of the spotlight, its legacy continues through the protocol's ongoing commitment to decentralization and user-driven finance.

Author: Blog Team *The content of this article does not constitute any offer, solicitation, or recommendation. You should always seek independent professional advice before making any investment decisions. *Please note that Gate may restrict or prohibit the use of all or part of its services from restricted areas. For more information, please read the user agreement.