Quote:
Originally Posted by TheVoy
Please explain
|
I'm not sure what part of that you want explained. Price for anything is determined by buyers and sellers; this isn't a magic money printer.
If there is no economic activity then price would be stagnant. If there are no buyers but people are making claims/sells then price would drop. Bearing in mind this project has ~$14M BNB and ~$10M BUSD in the liquidity pools. The top holder only has ~0.82% of ELEPHANT so if the biggest holder were to sell that would remove ~$950k from the LP's and cause a slight price drop. The next biggest holder has ~1/2 as many tokens and the holding rank drops rapidly after that. The biggest holders by far are treasuries and LPs which can be viewed
https://bscscan.com/token/0xe283d0e3...688#balance s
The basic premise of this is that so long as people keep feeding BUSD into Futures for 0.5% rewards, that will feed the treasury which buys up ELEPHANT token and causes price appreciation of the ELEPHANT token. Since ELEPHANT is rising over the long term, that inevitably generates FOMO and more investment in the ELEPHANT token directly, ensuring the Futures program remains solvent.
Obviously if everyone stops feeding it funds, it's not going to work after it runs out of money. However by playing the desire for investors to FOMO into a rising asset against the desire for 0.5% daily rewards on a stablecoin, it plays long term investors off of medium term investors and takes taxes from the short term investors to pay for it all.
LMK if you have any other questions.