Post
Topic
Board Tokens (Altcoins)
Re: [ANN][ERC20] Glare Token | A DeFi Token backed by Ethereum with built in CD's
by
julerz12
on 06/04/2020, 02:24:42 UTC
Definitely. I have been busy with getting the core product launched and I'm currently working on materials to better communicate how the supply price relationship works and are in turn connected to the CD contracts. It is much easier to explain graphically.
That would be much better. Not everyone can understand the technical details and explaining it in layman's terms would be much easier.
Tokens are only minted by sending the contract Ethereum. Once ETH is sent to the contract it stays there and provides backing for GLX. This backing ETH can only be withdrawn when users sell tokens and those sold tokens are burned. Token price is determined by Price = Supply*10^-6. So as tokens are bought and supply rises price rises. If tokens are sold and therefore burned the price will fall. This in turn works with CD contracts to give users a reason to hold onto the tokens for a longer period of time and (in theory) give the token a more stable value.
So that explains it. But then again, the token's price would only increase or be stable as long as those who buy the tokens have something compelling them to hold the tokens. You mentioned, dividends on those CD contracts; how exactly does that work? All those will come from that "10% tax"?