What is EM-Synthetix pool?
User Alice wants to earn in sUSD. She places sUSD in the EM-Synthetix pool, and our Elastic Module places these funds in the Balancer (sUSD/sETH 75/25) pool. Alice's funds start generating profits in the form of swap fees and BAL token rewards. In case of sETH falling, Alice's drawdown will be compensated to the specified range from the Reserve Pool (if there are funds there), for covering the drawdown the Elastic Module takes a part of the profit and gives it to liquidity providers of the Volatile pool.
What is a Volatile Pool?
Bob wants to gain +50% of his funds in sUSD, and he is ready to take risks. He places funds in sUSD in the Volatile pool, and our Elastic Module places them in the Reserve Pool to cover drawdowns in the EM-Synthetix pool and mints Bob VPT tokens at 1:1.5 ratio. Bob gets part of EM-Synthetix pool profit for providing liquidity to the Reserve Pool. The profit intended for Bob goes to Storage, where he can exchange his VPT tokens to sUSD at a 1:1 ratio.
This pool is designed to cover Alice's drawdown when the sETH price falls. All sUSD staked in the Volatile pool by Bob go here.
This pool is designed to reward Bob for providing liquidity to the Reserve Pool. 20% of Alice's profit and 100% of BAL rewards go to this pool.
What is EPT?
If during withdrawal Alice receives fewer sUSD than she has put in the pool, she will be minted with EPT tokens, up to a certain value specified when creating a contract.
In this contract, it is equal to: 50%.
After that, Alice can exchange them for sUSD, if they are present in the Reserve Pool.
What is VPT?
When staking sUSD, Bob gets a certain amount of VPT, depending on the ratio specified when creating a contract.
In this contract it is equal to: 150%.
Bob can change his VPT back to sUSD in the Storage, if they are available.
All exchange requests have a hold period of 1 day starting from the first exchange request. In case the amount of sUSD in the Storage is smaller, they will be proportionally distributed among the participants who submitted the exchange request.
Further iterations will be repeated when new exchange requests are received.
The time during which Alice cannot withdraw sUSD from the pool. It is necessary to accumulate certain income from swap fees and Balancer pool rewards. When adding funds, the Hold period begins all over again for the full amount.
Hold period: 90 days.