7% of each shot buys the buy token and burns it, every hour.
How it burns
The keeper runs the Bonfire hourly. It quotes two routes, takes the better one and sends what it buys to the burn address.
- Per call
- Up to 250 USDG
- Gap
- At least 50 minutes per ledger
- Daily cap
- 3,000 USDG per ledger per UTC day
- Burn address
- 0x000000000000000000000000000000000000dEaD0x0000…dEaD
Anything over the cap waits for the next run. Nothing is lost.
Price guard
Each buy must get at least 95% of a reference rate, the anchor. The anchor rises only on a better fill and decays 1% an hour, to no less than 70% of itself, so the floor never drops below 66.5%. If the price rises too far, buys pause and USDG waits. The Safe can reset the anchor.
Fees
Pool fees of about 1% per hop apply on the way. Burns reduce supply. They don’t guarantee any price.