FAQ
Last updated
Last updated
The cryptocurrency market operates 24/7, allowing users to trade at any time.
Take Profit (TP): This type of order is used to close a position once it reaches a predetermined price. Its purpose is to secure a specified amount of profit, making it a useful tool in situations where a trader cannot actively monitor their positions.
Stop Loss (SL): This type of order is used to close a position once it reaches a predetermined price. Its primary purpose is to restrict potential losses incurred, making it a critical tool for effective risk management.
The management fee acts as an inflationary mechanism, gradually increasing the total supply of tokens over time.
Initial Scenario:
At day 0, 100 tokens are minted.
After 10 years (3650 days), there are approximately 110 tokens due to the management fee.
Example:
Minting at Day 0:
User A invests 1000 USDC.
The index price is $50.
Result -> User A receives 20 tokens.
Minting at Year 10 with 2000 USDC (index price remains at $50):
It's been 10 years since the inception, so 3650 days have passed.
The daily inflation ratio is 1% (or 1.00002615 when compounded daily).
Result -> User B receives ~44 tokens.
Management Fee:
The smart contract identifies that the last minting was 10 years ago.
The last supply was 20 tokens.
As a management fee, 2 tokens (10% of the last supply) are minted.
These 2 tokens can be seen as a fee for asset management over the 10-year period.
This fee is applied with each smart contract call, in this example, after User B mints.
Using the formula for 10 years: