Economics
Value Capture Mechanisms
Token-related interactions
Unified Modeling Language (UML) was used to design the system to create sequence diagrams and visualize the interactions. For prototyping the nucleus, digital twin technology (i.e. virtual representation of Plenny components) has been applied. To simulate and predict potential token flow and turnover, the following token-related interactions were simulated:
- Capacity market transactions by Makers and Takers.
- Bailment of PoS, LORCAs lock a minimum balance (validator threshold).
- Treasury HODL rewards standard Lightning Nodes, LORCAs, and LMs.
- LPs allocate cryptocurrency on decentralized markets to stake LP-token in the liquidity staking contract on Plenny and earn PL2.
- Reward HODL rewards liquidity staking (Fish Farming) and governance actions related to Plenny Governors, Delegators, and Voters who stake PL2.
- RePLENishment Trigger performs minting, fee collection, distribution, burning, and buybacks by interacting with the Treasury HODL and the liquidity contract on the Sushi V2 DEX using Arbitrum One (Ethereum L2).
- RePLENishment Trigger incentivizes trigger users.
- Oracle Election Trigger incentivizes trigger users.
