About Logic Modules

Logic modules implement the specific system logic or set the issuance conditions.

These might include token utility mechanisms, conditional issuance and payment orders, or performing any other tasks they are designed to do. There are no imposed limits on what a logic module can do.

We can imagine conditioning the issuance of a token beyond just market mechanisms, such as dynamic rewards that are issued based on key protocol metrics, just like how Bitcoin rewards miners per block production. KPI Rewarder is one type of such a module, which allows dynamically rewarding participants based on preset on- or off-chain KPIs that are validated by UMA’s Optimistic Oracle. Other logic modules include conditional payment flow methods such as milestone based funding or bounty payments, rewarding/slashing logics for staking, DeFi integrations such as lending on Morpho.