Burning: Difference between revisions
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the faster CNR is burned out of circulation. | the faster CNR is burned out of circulation. | ||
The burning can be tracked at the [https://explorer. | The burning can be tracked at the [https://explorer.centric.com/ front page] and the [https://explorer.centric.com/burn burn page] of the [[Centric Explorer]]. | ||
==Centric Cash (CNS)== | ==Centric Cash (CNS)== | ||
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==Centric Rise (CNR) Quarantine== | ==Centric Rise (CNR) Quarantine== | ||
When [[Centric Rise (CNR)|CNR]] is exchanged for [[Centric Cash (CNS)|CNS]], it is held in quarantine on the [https://explorer. | When [[Centric Rise (CNR)|CNR]] is exchanged for [[Centric Cash (CNS)|CNS]], it is held in quarantine on the [https://explorer.centric.com/contract/TYLrbh1pVcx95bop33XQ1iYdh7r3ogEQ8Q Centric Rise smart contract]. Conversely, when | ||
CNS is exchanged for CNR, CNR is released from quarantine. | CNS is exchanged for CNR, CNR is released from quarantine. | ||
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==Notes== | ==Notes== | ||
Centric Whitepaper, ''[https:// | Centric Whitepaper, ''[https://centric.com/docs/Centric_Whitepaper.pdf PDF]'' | ||
Latest revision as of 07:25, 11 April 2021
Centric Rise tokens, hereafter CNR, are designed to increase in value over time. The value increase is performed consistently through a mechanism of burning tokens. The more transactions, conversions, and adoption that take place, the faster CNR is burned out of circulation.
The burning can be tracked at the front page and the burn page of the Centric Explorer.
Centric Cash (CNS)
When CNR is exchanged for CNS, it will be put in quarantine, and CNS will be minted.
If CNS is exchanged for CNR it will burn the CNS and release CNR from quarantine.
Centric Rise (CNR) Quarantine
When CNR is exchanged for CNS, it is held in quarantine on the Centric Rise smart contract. Conversely, when CNS is exchanged for CNR, CNR is released from quarantine.
The immutable protocol dictates:
- The network capitalization of quarantined CNR (CNR price* CNR quarantined) must equal the network capitalization of CNS ($1* CNS supply)
Every hour the price of CNR increases to its next predetermined price, resulting in the network capitalization of CNR held in quarantine to increase. This creates a mismatch breaking the rules of the protocol. Subsequently CNR is burnt from the smart contract equal to the mismatch to balance the network.
b = (q * pCNR - c * pCNR)/pCNR
b is the amount of CNR to burn
q is the amount of quarantined CNR
pCNR is the current CNR price
C is the current supply of CNS
pCNS is the CNS to CNR peg price ($1)
Partners
To provide more burning, the Centric Team aims to cooperate with partners that will burn CNR.
Moolah was the first partner that provided extra CNR burning.
Notes
Centric Whitepaper, PDF