🎢ArbiTen Finance
Last updated
Last updated
We are currently in the pre-launch phase. Please see our Presale/Launch Info!
Welcome to ArbiTen Finance, the algorithmic stablecoin protocol pegged to 1/10 ETH on Arbitrum Network!
The peg is maintained by two different methods:
Seigniorage, similar to Tomb Finance and its forks, and
Fractional collateralization, with minting and redemption, similar to Frax and Iron Finance
The 10SHARE token is the governance token of both the Tomb fork and Iron Finance parts. ArbiTen is the peg token!
A Delay and Scale-Up system for minting and redemption has been added to prevent them from being used excessively!
To prevent the risk of excessive redemption leading to overminting of 10SHARE, we have newly introduced a Delay and Scale-Up system to ArbiTen Finance. The Minting and Redemption features are strictly limited at the beginning and are introduced gradually in a controlled manner and can be manually reduced.
We have also made specific decisions about Tokenomics, Monetary Policy, Transaction Tax, and Presale allocations to maximize the system's sustainability.
We hope that using both Seigniorage and Fractional Collateralization will shore up the weaknesses of both component systems. In many cases, the bonding mechanism of Tomb forks has not worked well enough to restore the peg. The Iron Finance minting and redemption system should strengthen the Tomb system's ability to regain peg.
The main fundamental weakness of the Iron Finance system was that its governance token had no intrinsic value. Therefore, its price could easily drop to zero when combined with price oracle issues during redemption. However, because the 10SHARE Boardroom pool emits redeemable ArbiTen, it will have an intrinsic source of value and should not drop to zero, as did Titan.
Because the protocol continually mints ArbiTen until the price drops below peg, some modifications to the minting system have been made to increase the collateralization ratio. The redemption value of ArbiTen always totals 0.1 ETH worth of tokens, but the minting price increases when the ArbiTen price is above peg. The minting price increases slightly less than the spot price, which should serve as an incentive to add funds to the treasury when the ArbiTen price is above peg.
As ArbiTen Finance has both the bonding system of Tomb and the Redemption system of Iron Finance, it is a highly experimental, high-risk system. Be careful!
In contrast to the warning above, we thank you for investing an irresponsible amount in ArbiTen Finance. If you would like to read more about ArbiTen Finance, please see our FAQ section and the rest of our Docs. Many cheers!
