AIIA Finance docs
  • Introduction
  • AIIA Platform
    • Decentralized & Trustless Attributes
    • Transparency & Independent Audits
    • PnL Index represents the Trading Fund’s Performance
    • Total Trading Value
  • AIIA Tokenomics & Fundamental Mechanism
    • AIIA Tokenomics
    • The PnL Index
    • Investment Position Mechanism
    • Investment Mechanism Based on the PnL Index
    • Risk Management Mechanism
    • Economic Model & Benefits
    • NFT Dynamic
    • Multi-level Refferal
    • Official Links
    • ROADMAP
    • Technical Infrastructure
Powered by GitBook
On this page
  1. AIIA Tokenomics & Fundamental Mechanism

Economic Model & Benefits

The AIIA Finance economic model is designed to create a mutually beneficial relationship between investors, AIIA token holders, and the overall ecosystem. Here's a breakdown:

  1. For Investors:

    • Privileged Purchase Options: Investors enjoy preferential terms when depositing while staking AIIA tokens. Investors maintain X AIIA staking amount enjoy discounted profit sharing fee, increasing returns.

    • Staking Rewards: Locking in the investment position (for 3, 6, or 12 months) earns APY rewards, creating a passive income stream and incentivizing long-term holding.

    • Indirect Benefit from AIIA Price Appreciation: Even though the investment position is fixed in size, investors can still indirectly benefit from any increase in the price of the AIIA token. If the value of the staked AIIA portion (in the 95-5 method) increases, the holder's overall investment also appreciates.

  2. For AIIA Token Holders:

    • Deflationary Supply: The buy-and-burn mechanism, driven by fund profits and fees, reduces the circulating supply of AIIA tokens over time. This scarcity can potentially increase the value of the remaining tokens.

    • Indirect Benefit from Ecosystem Growth: As the AIIA Finance platform grows and the trading fund performs well, the demand for AIIA tokens is likely to increase, further supporting its value.

  3. For the Ecosystem:

    • Capital Flow Supports AIIA: The inflow of capital into the trading fund supports the AIIA token in several ways. The funds raised provide liquidity for the trading activities, and a portion of the profits and fees are used to buy and burn AIIA tokens.

    • Increased Liquidity and Confidence: The active trading and the buy-and-burn mechanism contribute to increased liquidity for the AIIA token. Furthermore, the transparent operation of the platform and the successful execution of the trading strategies build confidence in both the token and the platform as a whole.

    • Sustainable Growth: The economic model is designed for sustainable growth. The success of the trading fund fuels the buy-and-burn mechanism, which in turn benefits AIIA token holders. This creates a positive feedback loop that encourages participation and investment in the AIIA Finance ecosystem

PreviousRisk Management MechanismNextNFT Dynamic

Last updated 1 month ago