🪙7. Value Preservation Strategy
Inflation poses a significant challenge to virtual economies, eroding the value of tokens and diminishing user assets over time. Recognizing this issue, Xandar has implemented a robust deflationary mechanism to safeguard the value of its native token and promote stability within the ecosystem.
Single Token Issuance
Xandar issues a single token to manage monetary flow efficiently and mitigate inflationary pressures. By adhering to standards established on the Blockchain Network, Xandar ensures that token issuance remains controlled and aligned with market demand, thereby preventing excessive supply and value dilution.
Treasury and Buyback Mechanism
To further bolster value stability, Xandar has established a Treasury dedicated to managing the ecosystem's financial resources. A portion of the revenues generated by Xandar is allocated to the Treasury, enabling the implementation of a buyback and burn mechanism. Through strategic token buybacks and subsequent burning, Xandar reduces token supply, thereby counteracting inflationary pressures and enhancing overall liquidity within the system.
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