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Minting new tokens

In Abachi users are allowed to mint more tokens by depositing assets to the protocol treasury when the decentralised staking platform is launched. These assets will include gOHM and DAI to start with. The process of minting new tokens is similar to buying tokens in the market and staking into the system, much like how other proof of stake systems work e.g. ethereum, solana, cardano the Abachi will issue staking rewards until Abachi reaches its inflation target. The difference here is that they can acquire these tokens directly from Abachi instead of the market at a slight discount and are given the tokens over a 5 day vesting period. New tokens can be minted until the entire supply has been used up (this is capped at 10 million). While we will provide estimates on how fast or slow this grows, it is purely based on demands for the token. Doing this allows them to mint the token and stake it back into the system. When use or utility is low, this will mean less tokens will be minted. When utility is high, this means that the tokens can be acquired directly from the treasury via a smart contract. The process of acquiring these tokens is called bonding and issues the tokens linearly back to the buyer in 5 days (this may be changed as we grow the protocol in the future). This technology will be extended in the future to facilitate real-world bonds as Abachi grows and adds them. These tokens when minted can be staked back into the protocol or used for other core services like staking in lending pools or wallet services, our partners as they come onboard will be using this to acquire the ABI they need to stake to be a part of the protocol. Since the supply is inflationary, this allows newer entrants to acquire tokens as needed and the inflation only grows as much as demand via new minting and staking rewards. The minting of new tokens can be in one of two ways:
  1. 1.
    Bond via DAI or gOHM. This is the process where a user will pay the protocol in gOHM or DAI and the protocol will issue them more tokens. They can use these tokens for core services or they can stake it back into the system. The tokens can be bonded on various discounts to ensure the protocol always holds an equal number of dai and gohm (in $ value).
  2. 2.
    A user redeems their pABI token for an ABI token.
The assets in treasury do not guarantee price appreciation for the token, they only provide price support for the protocol to function this price support is always below the total amount held by the treasury in USD value. While we are certain that diversifying our treasury lends it much more stability for the token to function, by no means should this be construed as price appreciation. Price of the token is dependent on the RFV of the treasury and utility of the token. CAUTION: The process of staking and minting token is controlled by a smart contract and although we will try our best to ensure security and proper code audits, users should be aware that all smart contracts carry a risk. Proceed with CAUTION.