#bitcoin#crypto#DeFi
The Growth DeFi ecosystem features its native token called WHEAT that is used to provide liquidity and to stake native tokens, giving the users the opportunity to receive a yield on their GRO, MOR, etc. As a result, the GRO token itself does not suffer from inflation caused by liquidity mining/farming purposes. 277k GRO is currently in circulation, while the total number of the supply of the tokens is 581k GRO. Tokens out of circulation are kept in the treasury and used for the project’s development. The tokens supply is limited, and new GRO tokens can’t be mined. Besides, some tokens are burned, making GRO deflationary. The burning mechanisms cover the following systems:
– Crosschain Bridge Fee. 5% of all GRO bridged are burned with the goal to receive arbitrage profits that are generated by different trading pairs in each chain and reduce supply coming from those users who bring to stake and farm WHEAT on a new chain due to the high APY.
– System Surplus Buybacks. It is the profit gained by the protocol through several income sources such as liquidation penalties, stability and borrow fees, and fees received from swaps applied to the Peg-Stability Module (PSM).
– GRO treasury buybacks. The GRO treasury can use its excess funds to buy back and burn GRO.
Website: https://growthdefi.com