🐋 HUMP
The HUMP token is a fork of the Olympus DAO token OHM. It is the currency that powers the Whale Loans ecosystem.
At the time of writing it will power our staking and bond products. In the very near future it will power our Dynamic Hedging Vaults as well as our Flash Minting platform.
HUMP is a free-floating currency backed by our treasury supply of the stablecoin BUSD. HUMP tokens can’t be minted or burned by anyone except the protocol. The protocol only does so in response to price. Each HUMP is backed by at least 1 BUSD. If HUMP ever trades below 1 BUSD, the protocol buys back and burns HUMP, pushing the price back up to 1 BUSD. There is no upper limit imposed by the protocol to the potential trading price of HUMP.
HUMP is backed by BUSD, not pegged to it. This allows the HUMP token to achieve a stable floating value, while never falling below the value of its backed assets. The token price is designed to equal (1 BUSD + Premium), with "premium" reflecting market value.
HUMP also expands its treasury through bonds. Bonds are sold by the protocol for different assets, and in return the buyer receives HUMP at a significantly discounted price. This increases the treasury and enables us to produce incredible yields for our users.
Finally, a portion of the fees from all our products will be used as additional backing, potentially giving our token an infinite runway for staking rewards. The remaining fees will be used to improve the protocol through marketing or anything else deemed necessary.
Last modified 10mo ago