Liquidity Pool / Buyback / Staking / Burning
Liquidity Pool
Creation of a Liquidity Pool to maintain the token price
Starting from the 9th funding round, MaxData.app collects funds from subscriptions for the Liquidity Pool on PancakeSwap and UniSwap. Once the pool value exceeds the total value of all MXD tokens in circulation, the pool will be launched.
Buyback
Token buyback and burning using subscription revenues in USD
After launching the liquidity pool, part of the revenue will be allocated to token buyback. The buyback increases with the number of tokens in circulation, encouraging long-term holding. However, the token should not be treated as an investment but as a means of accessing the platform.
Advantages:
Supply Reduction: Buyback and burning decrease the number of tokens in circulation.
Risks:
Uncertainty: The planned strategy may change before the smart contract finalization.
Burning
Burning tokens used by users to pay on the MaxData.app platform
The number of lifetime accesses to the MaxData.app platform decreases because it depends on the number of MXD tokens systematically burned. The increase in the number of tokens in circulation leads to an increase in the scale of burning.
Advantages:
Supply Reduction: Deflation can support an increase in token value.
Risks:
Reduced Availability: Burning may lead to a decrease in the number of lifetime accesses.
Staking
Rewards for holding tokens from those locked for lifetime access
Up to 30% of MXD fees are allocated as staking rewards, and the fewer tokens in circulation, the higher the rewards.
Advantages:
Favorable Staking: Higher staking rewards with fewer tokens in circulation.
Risks:
Dependence on the Number of Tokens in Circulation: The value of buyback and staking rewards depends on the number of tokens.
How do staking rewards work?
Example:
You have 110,000 MXD, of which 106,000 MXD is locked for lifetime Tier 3 access, and the remaining 4,000 MXD is not locked and is used for additional payments on MaxData.app.
Assume there are XXX people who also have lifetime accesses (Tier 1, 2, and 3), and the total sum of tokens locked by these people for lifetime accesses is 10,600,000 MXD.
Your share is therefore 1% = 106,000 MXD / 10,600,000 MXD.
Now imagine MaxData.app users make token purchases through the site and then use these tokens to pay for additional services. Assume that in a given period, users used a total of 100,000 MXD for payments.
Additionally, assume that the number of tokens in circulation is 16,500,000 MXD, which means we are at stage 9, where burning is 70% and staking is 30%. This means that of those 100,000 MXD: 70% will be permanently burned, and 30% will be distributed among users with lifetime accesses.
Therefore: 100,000 MXD 30% = 30,000 MXD. Your share will be 1%, which means 30,000 MXD 1% = 300 MXD.
The tokens you receive can be used immediately for additional payments on MaxData.app.
Table
The number of tokens in circulation determines the percentage that MaxData.app can allocate for the liquidity pool, burning, and buyback.
| Round | Buyback | Required circulating supply | Burning | Staking |
|---|---|---|---|---|
| 1 | 2.00% | 0 MXD | - | - |
| 2 | 2.67% | 960 000 MXD | - | - |
| 3 | 3.56% | 2 126 722 MXD | - | - |
| 4 | 4.75% | 3 769 543 MXD | - | - |
| 5 | 6.33% | 5 777 654 MXD | - | - |
| 6 | 8.44% | 8 339 295 MXD | - | - |
| 7 | 11.25% | 11 286 267 MXD | - | - |
| 8 | 15.00% | 14 254 782 MXD | - | - |
| 9 | 20.00% | 16 417 021 MXD | 70.00% | 30.00% |
| 10 | 20.02% | 17 824 088 MXD | 71.60% | 28.40% |
| 11 | 20.07% | 19 200 396 MXD | 73.13% | 26.87% |
| 12 | 20.14% | 20 541 581 MXD | 74.60% | 25.40% |
| 13 | 20.23% | 21 850 598 MXD | 76.00% | 24.00% |
| 14 | 20.35% | 23 114 398 MXD | 77.34% | 22.66% |
| 15 | 20.49% | 24 327 284 MXD | 78.62% | 21.38% |
| 16 | 20.65% | 25 483 197 MXD | 79.84% | 20.16% |
| 17 | 20.84% | 26 575 810 MXD | 81.01% | 18.99% |
| 18 | 21.05% | 27 598 682 MXD | 82.13% | 17.87% |
| 19 | 21.28% | 28 545 462 MXD | 83.20% | 16.80% |
| 20 | 21.54% | 29 410 167 MXD | 84.22% | 15.78% |
| 21 | 21.82% | 30 187 529 MXD | 85.19% | 14.81% |
| 22 | 22.12% | 30 873 407 MXD | 86.12% | 13.88% |
| 23 | 22.44% | 31 465 246 MXD | 87.01% | 12.99% |
| 24 | 22.79% | 31 962 557 MXD | 87.86% | 12.14% |
| 25 | 23.16% | 32 367 341 MXD | 88.66% | 11.34% |
| 26 | 23.56% | 32 684 400 MXD | 89.43% | 10.57% |
| 27 | 23.98% | 32 921 422 MXD | 90.17% | 9.83% |
| 28 | 24.42% | 33 088 756 MXD | 90.87% | 9.13% |
| 29 | 24.88% | 33 198 787 MXD | 91.53% | 8.47% |
| 30 | 25.62% | 33 264 933 MXD | 92.17% | 7.83% |
| 31 | 26.95% | 33 300 355 MXD | 92.77% | 7.23% |
| 32 | 28.92% | 33 316 614 MXD | 93.35% | 6.65% |
| 33 | 31.64% | 33 322 629 MXD | 93.90% | 6.10% |
| 34 | 35.26% | 33 324 231 MXD | 94.42% | 5.58% |
| 35 | 40.00% | 33 324 464 MXD | 94.91% | 5.09% |
Updated on: 27/06/2024
Thank you!