The foundation is the entity making sure all operations on the central side of the Hodl Finance ecosystem run smoothly. It manages the manual conversions, buy-backs with profits, and last but certainly not least the Foundation Trading Algorithms (FTA), which serve as the core engine of the total ecosystem.
As with the reflection and with the liquidity pool, the foundation also automatically receives BNB from a part of the network fee that has been converted in the smart contract. Periodically this BNB will be manually converted to BTC, which combined represent the Inflow Base (IB) and increases the Total Value Locked (TVL) within the Foundation Trading Algorithms (FTA)
The higher the TVL grows the stronger the HFT token becomes. That is because Hodl Finance is not only supported by its own ecosystem but also by all other tokens/coins that are actively being traded on in the FTA. The FTA is designed in such a way that sustainable profits are being made, no big peaks and no big drops, just sustainable growth by always accumulating more of the fundamentally strongest tokens/coins in crypto.
Once the BTC value in the FTA outpaces the IB, a Surplus is performed which actually represents the profits that have been made for that week. The Surplus will then be converted to BNB so the buyback of HFT will occur, deflationary (!) All HFT that has been bought back will be put in the Treasury and used for future innovation voted on by the community.
The TVL, Treasury, Conversions, and the FTA live performance and monitoring can be found in the Hodl Finance dashboard. Also, each week the FTA trading result is communicated to the community through our social accounts.
Why do we show all of this online 24/7 and to be monitored by our community and public? Because:
- 1.We are certain that transparancy is key;
- 2.It will strengthen our community, its collective intelligence and grow our already robust and future proof ecosystem.