Introducing Transmuters: A Novel On-Chain Mechanism for Asset Conversion and Value Generation
We are excited to announce the launch of the FBX Transmuter, a new kind of defi product designed to enhance the utility and value of FBX, our cherished governance token. This innovative tool is not just an asset converter; it is a robust ecosystem tailored to bolster the FBX community’s growth and prosperity.
Transforming How We Handle Asset Conversion
Traditionally, mechanisms such as buybacks and burns are used to increase token value and distribute revenues. However, the FBX Transmuter revolutionizes this process by implementing these mechanisms completely on-chain. Operating in a permissionless and unstoppable manner, this innovative approach not only ensures transparency and efficiency but also secures a direct benefit for FBX holders. By leveraging blockchain technology, the Transmuter eliminates the need for intermediaries, offering a seamless and continuous operation that is resistant to external controls and interruptions.
How it works
Transmuters are versatile and can operate with any token pair. A small portion of the deposited asset is regularly collected and directed to a recipient — such as a DAO, another contract, or it is burned. Conversely, the reward asset is allocated among all depositors, generating a novel type of yield for the deposited asset. Both the harvest and claim rates, as well as the types of assets deposited, can be customized. This flexibility supports a wide range of applications including automatic dollar-cost averaging (DCA), swaps for low liquidity assets, automatic revenue distribution, automated buybacks and burns, boosted yields with yield bearing tokens, liquidity provider incentives, and more.
Key Benefits of the FBX Transmuter
On-Chain Efficiency
Similar to traditional buyback and burn models, the Transmuter enhances token value but with a significant upgrade — it’s all executed on-chain. This approach not only simplifies transactions but also increases trust through enhanced transparency.
Direct Revenue Distribution
The Transmuter allows us to seamlessly distribute DAO generated revenue to FBX token holders. This system ensures that the profits from our operations are promptly and fairly shared among our community, fostering a more cohesive and supportive network.
Intrinsic Value Growth
A portion of the FBX deposited into the Transmuter is continuously burned. This reduction in overall supply naturally increases the remaining tokens’ intrinsic value, benefiting all holders by enhancing the scarcity and potential worth of their investments.
Sustainable Passive Revenue
Traditionally, earning passive income from tokens like FBX often required selling those tokens on the market, which could lead to downward price pressure. The FBX Transmuter introduces a game-changing alternative: it enables users to earn passive income without having to sell their tokens. This mechanism not only preserves the token’s market value but also reduces sell pressure, creating a more stable economic environment.
Expanding Horizons: Future Possibilities
Looking ahead, the potential applications of the FBX Transmuter are vast. We envision creating various types of transmuters, such as FBX to BTC, BTC to FBX, FBX to USD, and FBX to LP tokens. Each transmuter will aim to fulfil one or more core objectives: burning FBX, rewarding FBX holders, or acquiring additional assets for the DAO.
This expansion will not only diversify the ways in which our community can utilize their tokens but also strengthen the overall ecosystem by integrating more assets and creating richer value networks.
Join Us on This Exciting Journey
The launch of the FBX Transmuter marks a significant milestone in our continuous effort to innovate and add value for our token holders. We invite all members of the FBX community to explore the benefits of the Transmuter and to join us in shaping a prosperous future.
Stay tuned for more updates, and as always, thank you for your trust and support. Together, we are building something truly special.
As we venture into this new chapter, your feedback and participation are invaluable. Engage with us, explore the Transmuter, and let’s drive the FBX community towards new heights of success and sustainability!
