Cross-chain Implementation for UNBNK on Ethereum and Stellar

UNBNK Ethereum Stellar

Every blockchain offers unique features such as smart contracts on Ethereum or low-cost and nearly instant transactions on Stellar.  Recently, cross-chain functionality has become a required feature of cryptocurrencies so users have the freedom to move assets to their blockchain of choice.  Historically, many platforms have “wrapped” versions of the native token (such as wETH when moving from Ethereum to Avalanche or Fantom) in order to facilitate this bridge.

Furthermore, initiating Crypto transactions from a wallet requires the user to own blockchain-specific tokens, such as XLM or ETH in order to send one or another type of digital asset like UNBNK. This can be challenging for users who are new to the world of digital assets because they need to research and purchase different tokens in order to complete transactions on separate blockchains. 

The Unbanked team is mindful of this and has always looked for solutions that introduce cross-chain functionality between different types of blockchains that enable users to send different types of tokens directly between chains with minimal friction.  Our mission has always been to offer products that make the use of cryptocurrencies like UNBNK as seamless and easy as possible. 

UNBNK on Ethereum and Stellar

Today, UNBNK is available natively on both Ethereum and Stellar, but they are not 1:1 linked, which has caused confusion amongst users.   This is the result of a legacy split, prior to the TERN to UNBNK swap.

In order to improve access and remove confusion for UNBNK holders, we will be making UNBNK available natively on both Stellar and Ethereum on a 1:1 basis.   

This means that all UNBNK holders will be able to easily move their UNBNK from Stellar to Ethereum or vice versa within the dashboard.  This will be made possible by a centralized withdrawal mechanism our team has developed within the Unbanked Dashboard. 

Cross-Chain Withdrawals in Unbanked

Deposit functionality will remain the same within the dashboard and ERC-20 UNBNK will be introduced as a new depositing asset to fund your account.  All users will continue to hold and spend UNBNK based on the Stellar network. The Unbanked Card program will continue to use the price and liquidity based on the UNBNK/USDD order book which is native to Stellar.   The only change with deposits will be the introduction of ERC-20 UNBNK which will be converted to Stellar-based UNBNK when inside the dashboard. 

When a user decides to withdraw from the Unbanked dashboard they will now be given the option to withdraw on either Stellar or Ethereum.  The user will need to pay the fees to cover gas prices on Ethereum and minimal fees on Stellar.  More on that is below.

UNBNK Price Disparity

The price disparity between UNBNK on Stellar and UNBNK on Ethereum is significant.  This is a result of different total circulating supplies as well as functionality. If we were to make an immediate 1:1 swap available it would mean that UNBNK holders on Ethereum would lose value.  To prevent this we have taken a snapshot of UNBNK holders and will airdrop additional ERC-20 UNBNK to holders at a swap rate of 745.66:1 to reflect today’s USD denominated prices of approximately Stellar UNBNK $0.0026767 and ERC-20 UNBNK $1.99589.

This means that ERC-20 UNBNK holders will now hold more UNBNK than before in order to offset the natural price parity that will occur once the cross-chain withdrawal functionality is implemented.  This is the fairest way to ensure that no holders lose value and that ultimately the total supply of UNBNK remains the same (1 billion UNBNK total). 

Introduction 2% Burn on Withdrawals

We are introducing a 2% burn fee on UNBNK withdrawals from the dashboard. 

This will create a deflationary environment for UNBNK over time.  Every time someone withdraws UNBNK from the dashboard 2% of the UNBNK withdrawal amount will be stored and will routinely be burned by sending the UNBNK to the contract origination address.  This process will occur approximately every 30 days. 

For those that aren’t familiar with the term – deflation is when consumer prices for goods and services decrease over time, and purchasing power increases. In short, you can buy more goods or services tomorrow with the same amount of money you have today.  This means that over time, the supply of UNBNK will become less and less. 

USD PriceAmount of UNBNKUSD Total Value2% Burn Fee

You can monitor the burning from the contract wallets here:

Stellar UNBNK: 

Ethereum UNBNK: 

Total Supply of UNBNK

The total supply of UNBNK today is 1,000,000,000 (1 billion) with 900,000,000 (900 million) on Stellar and 100,000,000 (100 million) on Ethereum.  After airdropping UNBNK to existing ERC-20 UNBNK holders, the USD price parity will be close across both Stellar and Ethereum chains.  

However, there will still be a large disparity between the circulating supplies on each native chain.  This means a minting and burning mechanism will be required in order to adapt to the chain that is in the most demand for UNBNK when a user withdraws. Over time this would change the supply per chain based on demand – meaning there might be 500M UNBNK or more available on Ethereum and the remaining 500M or less UNBNK on Stellar, however, the total supply across both chains remains unchanged. 


Not everyone wants to read the above, but we think you should.  Here are the key things to know:

  1. UNBNK will become available natively on Stellar and Ethereum at 1:1 value.
  2. Both Stellar and Ethereum-based UNBNK will become deposit & withdraw assets on
  3. Minting and Burning will be used in case UNBNK demand exceeds current supply on either Ethereum or Stellar – the total supply across chains stays the same.
  4. A 2% burn fee will be implemented to create a deflationary environment for UNBNK. 
  5. The above should not be confused with “wrapped” assets.  You can still withdraw UNBNK on Ethereum then use to wrap UNBNK and move it to another chain.