Tokens
Last updated
Last updated
RAV token is designed to be used as a medium of exchange. The built-in stability mechanism in the protocol aims to maintain RAV's peg to 1 milkADA token in the long run.
Note that RAV actively pegs via the algorithm, it does not mean it will be valued at 1 milkADA all times as it is not collaterized . RAV is not to be confused for a crypto or fiat-backed stablecoin.
Ravcube Shares (RSHARE) are one of the ways to measure the value of the RAV Protocol and shareholder trust in its ability to maintain RAV close to peg. During epoch expansions the protocol mints RAV and distributes it proportionally to all RSHARE holders who have staked their tokens in the Boardroom.
RSHARE holders have voting rights (governance) on proposals to improve the protocol and future use cases within the Ravcube Finance ecosystem.
RSHARE has a maximum total supply of 111,001 tokens distributed as follows:
RAV/mADA: 55,000 RSHARE/mADA: 45,000 DAO: 6,000 DEV Funds: 5,000
Ravcube Bonds (RBOND) main job is to help incentivize changes in RAV supply during an epoch contraction period. When the TWAP (Time Weighted Average Price) of RAV falls below 1 ADA, RBONDs are issued and can be bought with RAV at the current price. Exchanging RAV for RBOND burns RAV tokens, taking them out of circulation (deflation) and helping to get the price back up to 1 ADA. These RBOND can be redeemed for RAV when the price is above peg in the future, plus an extra incentive for the longer they are held above peg. This amounts to inflation and sell pressure for RAV when it is above peg, helping to push it back toward 1 ADA.
Contrary to early algorithmic protocols, RBONDs do not have expiration dates.
All holders are able to redeem their RBOND for RAV tokens as long as the Treasury has a positive RAV balance, which typically happens when the protocol is in epoch expansion periods.
