The Vault and Token Layer has the authority to mint and burn Asdra Stable Tokens and utility tokens from Asdra Protocol.
Mint Asdra Stable Tokens
The Vault and Token Layer has the authority to mint and burn Asdra Stable Tokens and utility tokens from Asdra Protocol. The Asdra Utility Token differs from other tokens on the market in that the maximum supply is 1 billion tokens, so minting cannot exceed this number.
Unlike other stable tokens, there is no limited supply of Asdra Stable Tokens as they are algorithmically derived from real assets. Despite the automated nature of Burns and Mints, governance is responsible for control and monitoring. Asdra Stable Tokens can be defined as Algorithmic Semi - FIAT Stable Tokens FIAT : Pegged.
Furthermore, new Asdra Stable Tokens can only be minted if FIAT is delivered as collateral and if Asdra Utility Token is exchanged for Asdra Stable Token. On the other hand, if FIAT is redeemed or Asdra Utility Tokens is exchanged for Asdra Stable Tokens, the tier will retire the tokens with a subsequent burn.
Maintain Liquidity of Tokens
Maintaining the balance and liquidity of individual tokens within the Asdra Stable Tokens ecosystem.
Asdra's overall service framework includes the exchange of FIAT currencies for stable tokens, exchange and remittance services, the vault and tokens ensure that each layer of the ecosystem has sufficient liquidity, Asdra's stable tokens are always available.
Liquidity is constantly analyzed and parameters are set according to governance and algorithmic processes.
Algorithms are run to ensure that a certain level of liquidity and reserve is available at all times.
Throughout the protocol, it reflects the total supply of each currency. This inventory is completely automated and cannot be manipulated by anyone, including the Asdra team. The parameters can only be configured by the governance.
To speed up the minting process and save gas fees, the inventory replenishment mechanism is used twice, once for the Ledger Layer and the other for the Asdra Stable Tokens, which have not yet been sold on the market.
Provide Liquidity Data To Ledger Layer
The "Vault and Token Layer" interact directly with the "Ledger Layer" to provide liquidity and analytics related to user metadata, transaction execution, and the potential burning of existing tokens.
Manage Stability of Fiat and Stable Token
This layer manages the stability of Asdra Stable Tokens based on FIAT, where FIAT can be transferred to Stable Token in either direction at a 1:1 ratio. For example, 1 USD is converted to 1 AsdraUSD.
Asdra Stable Tokens is only exchangeable to FIAT if FIAT is given in return. This protocol ensures the security and transparency of all transactions.
Manage Stability with Asdra Token
In addition to the algorithmic exchange of Asdra Stable Tokens for Asdra Utility Tokens, Asdra Utility Tokens can also be exchanged for Asdra Stable Tokens without the need for collateral.
Individuals and businesses can swap Asdra Utility Tokens for Asdra Stable Tokens for a variety of reasons. Individuals can exchange Asdra Utility Tokens at a low price and make a profit if they exchange it for Asdra Utility Tokens at a high price. Nonetheless, Stable Tokens often represents a form of arbitrage that allows users to profit from both directions.
Provide Cost Average Information To Exchange Layer
By collecting historical exchange rates, the layer allows for an analysis of "cost averaging". Specifically, it examines the foreign exchange market to determine whether it is advantageous to exchange an amount of one currency for another, resulting in a large profit on the purchase of stable tokens.
In addition to executing swaps simultaneously, it maintains a constant set of Asdra Stable Tokens for all currency pairs supported by Asdra Protocol and executes swaps for currencies where our liquidity exceeds certain thresholds.