Anti-whale Bonding System

Due to the nature of atomic blocks within the blockchains, there is a known issue with the way participants with large amounts of capital are able to exploit the bonding system of reserve currency protocol to acquire very large holdings of tokens without experiencing any repercussions and passing the heavy loss of premium on to the next users who bond. We will not go into the methods which participants can achieve this, but we have built SecureDAO to be resistant to these attacks.

Our Fix:

We will be implementing a system where the maxPayout variable, which controls the amount a user can deposit into the bond contract in one transaction, is kept variable as a function of total $SCR supply and objective protocol health. The team will initially control this variable early in the life of SecureDAO before transitioning control over to the DAO in the future.

The objective metrics which the team will monitor to use to determine an optimum maxPayout variable are:

  • $SCR Price

  • $SCR Supply

  • $SCR Liquidity as a function of Market Cap

  • Investor Sentiment

The initial launch maxPayout will be set at 0.41% of total supply.

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