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Auto Liquidity Engine
Auto Liquidity Engine, is a carefully designed mechanism that ensures a minimal slippage rate for buying and selling services by injecting liquidity into the market. Through strategic taxation, smart contract mechanisms, and optimized resource allocation, we create a liquidity-rich environment that fosters seamless trading experiences. The Auto Liquidity Engine is an integral part of our commitment to building a sustainable and user-centric ecosystem.
Auto Liquidity Engine: Enhancing Market Efficiency
The Auto Liquidity Engine is a cornerstone of our platform, addressing the challenge of slippage and providing a seamless experience for users engaging in transactions. Through meticulous planning and development, we have created a mechanism that optimizes liquidity and improves market efficiency.
Optimizing Resources for Long-Term Sustainability
In addition to its immediate impact, the Auto Liquidity Engine also optimizes resources for the long-term sustainability of our platform. At the beginning of each month, the engine utilizes 10% to 15% of its accumulations. If the additional tokens are not needed for the projected rewards, they are systematically burned. If they are needed, they are sent to treasury reserves. This process helps maintain a healthy token supply and contributes to the overall stability of our ecosystem. Meanwhile, the utilized BNBs are allocated either for refilling the NMS LP Reward Pool or for conducting buybacks & burning additional tokens from the market pair.
An example of this could be:
Sending BNB holdings to -> NMS LP Reward Pool (by converting them to BUSD)
and an equivalent amount of HELENA V2 tokens to -> Reverse Auctions
Consequently, Auto Liquidity Engine's utilized holdings can be only used for either topping up Reward Pools and/or Buyback and Burns.
Leveraging the Power of Taxation
To facilitate the functionality of the Auto-Liquidity Engine, we have implemented a 4% tax on sell transactions. This tax amount is directed to the Multi-Sig LP Holder Wallet, where it is securely stored. By imposing this tax, we ensure a steady flow of liquidity to the market, which helps mitigate slippage concerns during buying and selling activities.
Smart Contract Mechanism for Optimal Liquidity
Our platform's smart contract incorporates a sophisticated mechanism that maximizes the utilization of the accumulated $HELENA2 tokens in the Multi-Sig LP Holder Wallet. Specifically, 50% of these tokens are automatically utilized to purchase BNB at the prevailing market price. This strategic allocation ensures the constant injection of liquidity, bolstering the market pair and reducing slippage.
Balanced Token Side of Liquidity
The remaining 50% of the $HELENA2 tokens is dedicated to the token side of liquidity, with the aim of achieving a balanced 50/50 ratio of HELENA2/BNB. This portion is seamlessly added to the market pair, further enhancing liquidity and minimizing market slippage. By maintaining this equilibrium, we create a more stable and efficient trading environment for our users.