Alpaca, a defi project, has a deflationary structure in terms of supply. Although it burned for 169 weeks, it saw the lowest price since its launch. In 2021, 188 million units were released into the market as a total supply. In line with the transaction carried out for 169 weeks due to the defyonolist structure, 18.22% (34,262,072) of the maximum supply has been burned so far, in order not to return to the market. As a defi project, it differs from its counterparts in this sense.
Since its launch, Alpaca Finance has adopted buybacks and burns as a deflationary mechanism to increase the long-term value of the ALPACA token. The portions of platform revenue used for buyback and burn are as follows:
Liquidation Fee - 4% (out of 5%) of all liquidation fees is used to buy back and burn ALPACA tokens in the case of 3rd party liquidation bots. If the liquidation is initiated by Alpaca's internal bot, the entire 5% of the liquidation reward goes to buyback and burn.
AF1.0's Lending Performance Fee - 4% (based on 19%) of borrowing interest fees is used to buy back and burn ALPACA tokens.
Alpies NFT Sales – 20% of sale proceeds used for buybacks and burns.
Alpies NFT Royalty - 2.5% (out of 5%) from sales of Alpies on secondary markets goes to buyback and burn.
AUSD Stability Fee - 50% of the stability fee goes to buyback and burn.
Automated Farming Performance Fee - 5% (out of 9%) goes to buybacks and burns.
Automated Vault Management Fee - 50% of the management fee goes towards buyback and burn.
Automatic Withdrawal Fee - 50% of the withdrawal fee goes towards redemption and burning.
Governance Vault Early Withdrawal Fee - 50% of the withdrawal fee goes to burn.
Permanent Futures Clearing Fee - 6% (out of 30%) goes to buybacks and burns.
AF2.0's Lending Performance Fee - 4% (based on 19%) goes towards buying back and burning the weekly ALPACA token.
He cannot help but question #Alpaca $ALPACA 's situation. How come Alpaca, which differs from other projects whose supply increases every day, cannot attract investors? How is it that $ALPACA , which is a simple market discourse that defines the balance of supply and demand, is at this bottom point? For me, this situation is truly a paradox.
#Binance Although it is listed on other crypto markets such as....
It's a really weird situation. This article is not investment advice. Please do your own market research.
