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  1. ShareFi Ecosystem

Epoch Pruning Events

Generating liquidity through mathematical extraction methods.

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Last updated 1 year ago

Epoch Pruning Model

The EpochPruning model has been meticulously crafted by ShareFi's developers, utilizing the allocation designated for the Reserve (Community Fund) as a liquidity generator for the community's benefit.

This mathematical framework is founded on these key principles:

To Counteract Selling Pressure: The model primarily prevents uncontrolled selling pressure in the liquidity pool while simultaneously injecting supply, enabling demanders to enhance their positions.

Amplifying Community Allocation: Almost 90% of the total supply is designated for the community's benefit, encompassing the initial liquidity pool injection and the Reserve allocation.

Promoting Organic Liquidity Growth: The model is structured to nurture exponential and organic growth within the liquidity of the Community Fund.

Maintaining Market Cap Ratio: Safeguarding the market cap of $TRADER during each event prevents capitalization devaluation.

Implementing Deflationary Mechanisms: A deflationary model is introduced to bolster the token's value through strategic scarcity.

Simplicity: The model is intentionally designed to be straightforward in execution and easy for the community to comprehend.

Maths Behind the Model

Mathematical formula that links the linear subsequent value percent on each #EpochPruning event. Let's assume the initial value is 0.05% and the subsequent increase is 0.005% per step (iteration).

Aspect
Formula

Burn Supply Percent (B)

B(n) = B(initial) + n * B(increment)

Supply Sold on Liquidity Pool (S)

S(n) = S(initial) - n * S(decrement)

Liquidity Extraction from Liquidity Pool (E)

E(n) = E(initial) - n * E(decrement)

Max Supply Reduction (R)

R(n) = R(initial) - n * R(decrement)

Where:

  • n: Number of iterations (steps)

  • B(initial): Initial burn supply percent (0.05%)

  • B(increment): Increment in burn supply percent (0.005%)

  • S(initial): Initial sold supply amount

  • S(decrement): Decrease in sold supply amount

  • E(initial): Initial extracted liquidity amount

  • E(decrement): Decrease in extracted liquidity amount

  • R(initial): Initial max supply reduction

  • R(decrement): Decrease in max supply reduction

These formulas are based on a linear progression with each iteration.

https://docs.google.com/spreadsheets/d/e/2PACX-1vTHTDHiJBfth6iwtdNfbcpzu7C-U-Lv9z5xTPuoDym3giVG-I4ER_H-Gl4z7Bgk1MBOH0nrTum3UAe4/pubhtml?gid=1793206737&single=true