sBDO - Boardroom Staking & Stabilisation Mechanism
bDollar Shares loosely represent the value of the bDollar Protocol and trust in its systemic ability to maintain BDO to peg. During epoch expansions (when TWAP - time-weighted average price of BDO is above the 1 $BUSD peg), the protocol mints BDO and distributes it proportionally to all sBDO holders who have staked their tokens in the boardroom.
Additionally, sBDO are used to achieved a completely decentralized on-chain governance where sBDO holders have voting rights and the ability to create proposals to improve the protocol.
sBDO has a maximum total supply of 100,000 tokens. 15,000 sBDO are allocated to the team and DAO (7,500 each) and vested linearly over 12 months. The remaining 85,000 sBDO are allocated for incentivizing Liquidity Providers in 2 shares pools.
Boardroom Staking in a Nutshell
- (Boardroom) Epoch duration: 6-10 hours – the protocol reacts faster to stabilise BDO price to peg as compared to other protocols with longer epoch durations
- Epoch Expansion: Capped at +50% of current expansion cap if there are bonds to be redeemed and follows the expansion cap if treasury is sufficiently full to meet bond redemption (See table below for detailed information)
- bBDO tokens do not expire and this greatly reduces the risk for bond buyers
- Price feed oracle for TWAP is based on the average of 3 liquidity pool pairs (i.e. BDO/BUSD and BDO/BNB) which makes it more difficult to manipulate。
- BDO/BUSD Cake LP
- BDO/BNB Cake LP
- BDO-BUSD 80/20 Valuedefi vLP
- No discount for bond purchase, but premium bonus for bond redemptions if users were to wait for BDO to increase even more than the 1 $BUSD peg. (Refer to our bDollar Bond System Upgrade)
Table Of Rates During Expansion - Subject to changes to match development of project
Scenario Example :
when TWAP is at 1001 : Expansion happens at 0.1% 1.004 : Expansion 0.4% 1.010: Expansion 1% and so on... Expansion Caps as per the table seen above.
Epoch number refers to the current epoch in which bDollar protocol is in.
- 1.Next Seigniorage indicates a countdown timer to the next epoch. (Each epoch duration lasts for 6 hours)
- 2.APR refers to the simple returns in USD value relative to the amount of sBDO staked (USD value). Note: APR fluctuates from time to time and is dependent on certain factors such as: - Price of BDO - Price of sBDO - Amount of sBDO staked in Boardroom (Locked Value)
(((BDO Total supply x Expansion rate)/ Staked sBDO) x My staked sBDO ) - minus 20% Allocated for Dao Fund, bVaults & Marketing Activities.
Debt Phase describes the early stages of expansion that starts from contraction where there's Bonds to be Redeemed.
Expansion during Debt Phase is increased by 50% on top of the rate following the predetermined rate of expansion as compared to a out of debt phase expansion.
50% of Expansion during Debt Phase are allocated to the Treasury Fund to prepare for the Bonds Redemption whether or not BOND holders will redeem their bonds at any point in time.
Once BDOs in treasury is sufficiently full to meet all circulating bond redemption, expansion rates will resume to normal.
- Upgrade to dynamic epoch length (6 - 8 - 10 hours): An expansion epoch should last longer to delay the minting of new tokens, while any contraction epoch should be shorter for participants to act swiftly to move the protocol out of debt:
- In contraction: 6h epoch length
- In expansion:
- TWAP <= 1.0125: 6h epoch length
- 1.0125 < TWAP <= 1.025: 8h epoch length
- TWAP > 1.025: 10h epoch length
- To encourage stakers stay in the Boardroom During Contraction, we will implement a new mechanism to incentivise them even during contraction. When a buyer burns his BDO for Bonds, 5% of the burned BDO goes instead to the Boardroom. This mechanism is an improvement from the original design of Bonds.
- During contraction, sBDO stakers will have 15 minutes at the beginning of each epoch to purchase bonds using their Boardroom pending rewards, no lockup and no tax applied if they choose to convert BDO reward to Bond.
Since the beginning, we have formed an idea about creating a Seigniorage protocol that is able to give out Multi-Rewards for Boardroom stakers, and this is where the state-of-the-art Multi-Pegs concept comes from.
We consider this concept ready to be brought forward and implemented, which will mainly help give BDO but also bBDO, sBDO, BFI, (sBFI) some newly added innovative use cases and increase the incentives to those loyal bDollar Community members.
Building further on the existing Seigniorage concept, we will create new Algorithmic assets never seen before on the Binance Smart Chain network and the first we are very excited to introduce is bpDOT — the next Algorithmic token running under bDollar Protocol, which will use sBDO and current Boardroom for its Seigniorage mechanism, effectively making boardroom give out “Multi-Rewards” (Up to 20+ rewards).