It is crucial to exercise caution when engaging with the services offered by this project. EOS Support does not assume responsibility for any potential problems, damages, or losses that may occur as a result of utilizing the services provided by this project.
What Is Infinity?
Infinity is a decentralized reserve currency protocol based on the IFT token. Assets back each IFT (e.g., USDT, EOS) in the Infinity treasury, giving it an intrinsic value. Through staking and bonding, infinity introduces unique economic and game-theoretic dynamics into the market.
Infinity is the latest Defi protocol platform, which is different from the previous Defi platforms, where liquidity providers lease Liquidity to obtain rewards. Infinity adopts a new model to reward platform tokens to those willing to in the form of bonds. Liquidity is sold to users of the platform. This new Defi model will hold all Liquidity on the Infinity platform, forming a deep currency price moat. When more people get rewards from the platform, the liquidity pool will increase exponentially, generating transactions. The assets will also flow into the protocol treasury, constantly supporting the platform currency IFT to create higher prices and bring higher benefits to platform users.
What Is IFT?
A brand-new asset class allows smart investors to continuously accumulate wealth by staking automatic reinvestment or buying through the bond system. IFT is the governance token of the Infinity platform. It is a currency controlled by the protocol. Each IFT is backed by the protocol treasury, which means that when the protocol treasury assets continue to increase, the backing per IFT will continue to rise. When the market recognizes IFT higher, its price will become higher. The return of stake reinvestment will be higher, so its price can exceed the protocol treasury backing price, providing holders with tremendous upside potential and compounding returns.
Backing Per IFT
Unlike the traditional ecology, the token price is backed by market funds and market expectations.
Protocol treasury assets will back IFT prices.
When a user buys a bond, the funds go into the treasury.
Infinity's protocol vault will be used for Backing Per IFT.
Backing Per IFT = Vault Assets ÷ IFT Circulation
(This means that each IFT will have a minimum buyback guaranteed price)
Investing in IFT at this price is an investment decision with zero risk and high staking returns.
Core Protocol
When IFT <1 Backing per IFT, the protocol buys back and burns IFT
When IFT >1 Backing per IFT, the protocol mints and sells new IFT
All assets held in the treasury can generate rewards and, within certain risk limits, can be used in more complex operations and combinations to achieve superior capital efficiency. The protocol can generate rewards through price adjustments, which, in turn, allows the value of assets held in the treasury to rise steadily. Thus, with treasury assets continuing to appreciate, the reliability of the resulting stablecoin can continue indefinitely.
Treasury-Owned Liquidity
Ensures that there is always ample liquidity for IFT on swap
Continually earns liquidity transaction fees, allowing for continual growth.
Reject liquidity providers' sudden migration and drying-up by currency price fluctuations
Infinity Ecological Investment Advantages
To build Infinity's moat advantage, Infinity will invest in building an entire Defi ecosystem. At present, the investment spans wallets, cross-chain bridges, decentralized exchanges, and NFT platforms. A basket of project investment cooperation allows users to enjoy the flow and investment of funds within the closed loop of Infinity's Defi ecosystem.
In the future, Infinity will continue to invest in chain games, lending, metaverse, public chain, Web3.0, and other tracks. Infinity will establish long-term investment and strategic partnerships with various blockchain leaders or emerging projects. Infinity will distribute ecological projects to the whole chain and all tracks through ecological investment in the future. Infinity's ecological closed loop will allow all investors' funds to have new usage scenarios and attributions in the ecology. After the closed ecological loop is established, Infinity will improve the utilization rate of funds in all ecosystems so that each asset can complete multiple investments and gain numerous returns.
In Infinity's closed-loop of ecological projects, at least 20% of the inestimable business rewards generated by each ecological project will be used to repurchase and destroy IFT, which will give IFT unlimited possibilities in terms of usage scenarios and token prices.
Infinity DAO is accessible here.
Author: Sebastaian Beyer
Editor: Markus Hinrichs, Cristhian Rincon
Translation: -
Sources & References: