FUTURE Auto-Liquidity Engine (CALE)
Last updated
Last updated
Market Liquidity is an important element that plays a vital role in allowing the buy & sell of $FUTR tokens on PancakeSwap.
In simple terms, think of Liquidity as a big pool of money that is split into half (50/50) between $FUTR tokens & $BNB tokens. There is a conversion ratio is set that determinesto the amount of $FUTR you can get with BNB, for example: 1 BNB = 18.1 FUTURE.
When someone buys FUTURE, the price per FUTURE appreciates and the ratio above will also change accordingly to account for this. The same is applicable in the opposite direction for sells.
Liquidity allows everyone to buy & sell their FUTURE/BNB at anytime, however, if there is a liquidity constraint in the pool, you might get bad prices. To counter this, what our FUTURE Auto-Liquidity Engine (SALE) does is, to add more liquidity to that pool by itself and eventually solving that issue.
Here is how the FUTURE Auto-Liquidity Engine (CALE) works:
After every 24 hours our FUTURE Auto-Liquidity Engine (CALE) will inject automatic liquidity into the market. On each buy or sell order there is a 2.5% tax fee that will automatically gets stored into an Auto-LP wallet and built into our protocol's smart contract, the is the mechanism which smartly takes the 50% of the amount of FUTURE stored in the wallet, and will automatically buy BNB at the current market price.
The remaining 50% of FUTURE in the Auto-LP wallet will be used for the FUTURE side of liquidity, therefore giving equal an 50/50 weighting of FUTURE/BNB which will then be automatically added as new, additional liquidity into the market pair and raising the amount of liquidity in the pool.
The CALE will do this every 24 hours; by constantly adding liquidity to the pool which will, in turn, allow $FUTURE token holders to sell their tokens easily, at anytime with minimum to no market slippage. It will also aid in maintaining protocol stability to make sure the APY is sustained for the entire life of FUTURE.