Deep Dive into $ARA

$ARA is a fully decentralized reserve currency designed for wealth storage within the DeFi economy, striking a balance between venture capital and stability.

ARA is a fully decentralized reserve currency designed for wealth storage within the DeFi economy, striking a balance between venture capital and stability.

To ensure an ultra-stable currency system, Array employs a dual model of a floor price and market price (with an initial price of $1) and creates a more equitable and community-friendly environment.

More specifically, the official will acquire 90% of the funds into the liquidity pool and wait for the smart repurchase; the remaining 10% will form the initial trading pair of USDT and ARA with ARA (from the incremental issue) to form the initial market trading price of ARA.

In addition, Array has officially set up an AI-powered algorithm to control the number of additional issuance and buy-backs of ARA. When the AI-powered algorithm smart contract finds that the pledge amount of ARA is much larger than its number in the LP pool, the ratio must be kept in balance (the number of ARA in the pledge / the amount of ARA in the LP), and the smart contract will inject liquidity into it, that is, issuing additional ARA. ARA after the additional issuance is immediately sold in the secondary swap market, of which 10% USDT is officially owned and the remaining 90% USDT is transferred to a buy-back contract to prepare to do the process of repurchasing. On the contrary, the smart contract will be repurchased to avoid ARA's inflation.

When the AI-powered algorithm smart contract finds that the price of ARA is close to the lowest price, this situation will trigger the buy-backaction. The algorithm will give the buy-back price and quantity of ARA. The smart contract will transfer the USDT in the locking contract to swap to buy ARA, and these repurchased ARA will be transferred to the black hole contract for destruction. Buy-back will reduce ARA's market liquidity and the price will rise.

The above mechanism can ensure the orderly circulation of Array assets and promote the overall ecological balance and the overall economic system balance.

Why can $ARA maintain stable growth? Why can its market price never fall below the floor price?

$ARA has two prices, the market price, and the floor price. 90% of deposits (usually in $USDT) are directly injected into ArrayGo's Safe Box to maintain the floor price, while the remaining 10% is used to inject LP to discover the market price.

1.When new investors come in with a large demand for $ARA, ArrayGo will issue more $ARA to prevent the market price from rapidly rising, while the Safe Box will accumulate more funds.

2.When the market is stable, the staking rate of $ARA will continue to increase, and the price will steadily rise accordingly. 3.When whales sell $ARA, ArrayGo will buy back and destroy the existing $ARA in the market to stabilize its market price. 4.When the market experiences a sell-off or even a temporary drop below the floor price, the price of $USDR will continue to rise, creating arbitrage opportunities in the secondary market. At the same time, the Safe Box will intelligently recycle all dumped $ARA to maintain the price.

By achieving a balance between these factors, the stable growth and floor protection mechanism of $ARA are realized.