Solidus Cash: Basis Cash on Binance Smart Chain
Solidus Cash is deployed on the BSC (Binance Smart Chain).
Solidus Cash has two farmable tokens. One is Solidus Cash, a stable coin that seeks to be valued at $1. The other is Solidus Share, an ownership token which receives inflationary rewards from Solidus Cash, deriving value from the increased adoption of Solidus Cash.
This guide will give you a step-by-step overview of the distribution process’s mechanism.
How the Solidus Cash mechanism works
The protocol consists of three tokens (Solidus Cash, Solidus Share, Solidus Bond), with Solidus Share and Solidus Bond designed to move Solidus Cash towards the price of $1. The following scenarios describe how Solidus Share and Solidus Bond work, with the first scenario assuming that the price of Solidus Cash is above $1 and below $1 in the second.
When Solidus Cash is below $1
When Solidus Cash is traded below $1, users will be able to purchase Solidus Bonds at a certain discount to establish the price stability of Solidus Cash, with the expectation of future profits upon redemption.
Each bond promises the holder exactly 1 Solidus at some point in the future under certain conditions. Whenever a user purchases Solidus Cash, it is burned, causing a decrease in the circulating cash supply. Bonds do not have interest payouts, nor do they have maturity or expiration dates. Rather, they can be redeemed on a 1:1 ratio with Solidus Cash when the price rises above $1.
Purchased bonds can be redeemed on a 1:1 ratio with cash only when the oracle price of cash is above $1. This prevents bondholders from cutting their losses on redemptions and creating unnecessary increases in supply.
When Solidus Cash exceeds $1
When the price of Solidus Cash exceeds $1, the contract primarily allows bond redemptions to bond redeemers. Even after the bonds are redeemed, if the price of Solidus Cash is traded above the price of $1, an increase in the demand of Solidus Cash results in new Solidus Cash tokens being minted and distributed to Solidus Share holders.
For instance, let’s assume that the price of Solidus Cash exceeds $1 even after bond redemption. In this case, the Treasury contract mints new Solidus Cash seigniorage into existence. This seigniorage is given to the Boardroom, where users can stake Solidus Shares and earn daily seigniorage based on the price of Solidus Cash.
Distribution Overview
Zero supply minted / purely via community distribution.
The initial distribution of Solidus Cash prioritizes those who deposit WBNB, BUSD, DAI, USDC, USDT to the distribution contract. A total of 50,000 Solidus Cash tokens are distributed to depositors, with 10,000 Cash tokens distributed per pool. An equal amount of tokens is assigned to each coin pool, with the amount of stablecoin deposits limited to 20,000 tokens and amount of BNB deposits limited to 1,000 BNB per pool.
Afterward, Solidus Shares is distributed to those that provide liquidity to the Solidus Cash(SOC)-BUSD PancakeSwap pair, where users can deposit LP tokens to the distribution contract and earn Solidus Shares. The SOS pool 1 will distribute 750,000 Solidus Shares, starting with 6250 Solidus Shares and decreases 75% after every 30 days.
A further amount of Solidus Shares is given to liquidity providers of the Solidus Share (SOS)-BUSD PancakeSwap pair, distributing a total of 250,000 Solidus Share which lasts for 1 year (365 days), and an equal amount of tokens is distributed per day.
Follow Us
- Twitter: https://twitter.com/SolidusCash
- Telegram: https://t.me/SolidusCash
