📜 Introduction

What is PunkDao?

PunkDao is a decentralized reserve currency protocol on Binance Smart Blockchain based on the PUNKD token. Each PUNKD token is backed by a basket of assets such as BUSD, USDT & wBNB in the PunkDao treasury, giving it an intrinsic value that it cannot fall below.

How does PunkDao work?

It is a currency backed by multi-asset stablecoins. It is a currency of which the treasury and reserve are protocol controlled. It is a currency driven by a community-governed protocol.

PUNKDAO is based on the 50/50 stablecoin reward system, whereby the reward for each rebase is paid 50% in PUNKD and 50% in stablecoin.

The percentage paid in stablecoin will be paid from the stablecoin treasury, which will obtain its funds from the purchase of bonds.

The percentage that is paid in PUNKD goes directly to your main balance in sPUNKD, while your balance in BUSD will be stored on the platform, with a vesting time, which ensures that you are not affected by strong market variations.

The system for releasing your stablecoin is as follows: initially you will have the option to release 10% of your accumulated coins, the rest will be unlocked over a period of 30 days, at a rate of 3% daily.

The stable-coin reward is calculated at the time of rebasing, for example if you have 50 PUNKD with a market price of $50 each, and we assume 100,000% APY at the time of rebasing, you will get 0.5 PUNKD and $25 BUSD.

Note: The vesting period for your stablecoins will restart when you make a new deposit.

At a high level, PunkDao consists of its protocol managed treasury, protocol owned liquidity, bond mechanism, and high staking rewards that are designed to control supply expansion.

Bond generates profit for the protocol, and the treasury uses the profit to mint PUNKD and distribute them to stakers. With LP bond, the protocol is able to accumulate liquidity to ensure the system stability.

PunkDao will present a control over deposits in which your minimum deposits must remain on the 32 Epoch platform, but don't worry, you can use the emergency withdrawal button to withdraw your investment, if you use this option, you are waiving interest generated in the time you kept your deposit.