🔥 Emissions & Burn
Last updated
Last updated
MyS has fixed emissions where myXXX LPs can mint the token.
Bitcoin’s halving model inspired this emission structure - the main difference with ours is that the halving stops after 6 years, leveling off at 3.125% of the initial emission amount ⚟
Assuming the volume is 1% per day, 365% of the total supply is transferred in 1 year (meaning a transaction burn of 3.65%). However, DAO fees for myXXX & minting myINK will both cause the burning amount to exceed the emission rate until the supply becomes too low, where the emission will be higher.
A 1.5% transaction fee is a part of the fixed and endless emission. 1.0% will get burned. At a particular stage, the token supply will be so high that the transaction fee burns more than what’s emitted - this will change when the token amount becomes lower until fewer MyS exist (a lower token amount will be transferred) than those that are burned, meaning emissions will rise again 📈
0.5% will be added to the NFT rewards.
Emission Model
As long as a liquidity pool with MyS exists, the above model stands (except in a situation where no transactions occur, which is unrealistic because of arbitrage).
The buyback and burn function is where myXXX tokens collect a fee (from the DAO) that’s used to swap back to MyS and immediately burn 48% of it and add 52% to the NFT rewards♻️
These numbers can change over time.
The MyS transaction fee is 50% if a user swaps MyEx for MyS, meaning swapping:
MyS (or BUSD) for MyEx has a “normal” price
MyEx for MyS (or BUSD) is twice as expensive (without the collateral burn mechanism)
The resulting effect of the collateral burn is that MyS correlates with the demand for MyEx, which is needed to farm with the myXXX pools 👩🌾
Because the total supply of MyEx is fixed, at the beginning stages, users will only be able to receive MyEx to participate in the MyEx/myXXX pool - other pools will be available. However, the conversion process will be more complex. Due to this economic model, arbitrage trades between myXXX tokens will be more efficient than those between myXXX & MyS.
