Mechanism Breakdown

Breaking down the mechanism of the project's goals and our approach towards achieving them.

Olympus was designed with two goals in mind: Increasing and stabilizing the price of the Apollo token. In this page we will delve deep into explaining how the Olympus project strives to achieve these goals. Let's begin by understanding the Liquidity Reserve and Buyback Reserve. As the name suggests, Liquidity Reserve focuses on overpowering portion of swap sells through its reserved liquidity, while Buyback Reserve aims to intensify the price increment as we approach day 366 through buybacks. In the following section, we will discuss in detail the exact roles and underlying logic of them.

• Liquidity Reserve,

  This pool has the purpose of maintaining the price of the Apollo token and preventing it from going down as much as possible. It achieves this by constantly monitoring the swap. Whenever a sell transaction occurs, the reserve pool will execute a buyback in the swap. The buyback amount will be equal to 85% (by default) of the value of sold tokens, using funds from a pool with a maximum amount set at 80% of the previous Lobby's Solana entries. The bought tokens are then either transferred to the Vault contract or used for creating pairs, depending on which feature needs them the most. NOTE: The mentioned 85% could and will decrease as the project approaches day 366.

  The Solana coins in this reserve pool are active for 3 days, matching the duration of the Lobby. At the end of each Lobby:

  1. All the Solana balance in the pool is moved to the Buyback Reserve pool.

  2. 80% of the entries from the completed Lobby are transferred to the short-term pool.

  Although it is not directly related to the success of this mechanism, it can be predicted that only a portion of the Lobby participants, likely less than half of them, will choose to sell their distributed tokens immediately after receiving them from the Lobby. The remaining participants are expected to utilize their tokens to engage in other features like Vault.

• Buyback Reserve,

  This reserve pool serves the purpose of gradually increasing the price of the Apollo Tokens over a 366-day period. It achieves this by making continues daily buybacks in the swap and It was designed with the aim of intensifying the rate of price increment as we approach day 366. Let's take a closer look at how it works: To calculate daily share of buybacks from this pool, The contract simply divides the pool balance by the number of days remaining until day 366: [Solana Amount / (366- Current contract day)]. The result represents the share of Solana buyback allocated for the current day. At each day, the long-term reserve pool executes a buyback in swap with Solana share allocated for that specific day to fulfill its ultimate goal of increasing the price of Apollo Token.

The bought tokens through Buyback reserve pools are either transferred directly to the Vault contract or used for , depending on which feature needs them the most.

Why intensify the rate of price increment?

This concept is designed to have an intensifying price increment by implementing a strategy of gradually increasing the daily Solana buyback share as we approach day 366.

While this protocol could have been designed to provide an equal swap buyback, it instead focuses on intensifying the price increment. This design choice has a deliberate purpose. Considering that the majority of investors would invest in the Vault and features after receiving their share of tokens from Lobby token distribution or buying them from swap, we can anticipate a greater selling pressure as we get closer to the end of the lobbies at day 366, compared to the early days of the platform. By implementing an intensifying daily buyback amount, we aim to minimize any potential price reduction as much as possible. However, there are additional reasons behind this mechanism. It serves to create incentives for attracting new investors, as the platform can showcase its potential and strength through increasing price charts and liquidity in the buy back pools.

Now, let's take a closer look at the second goal, which is to ensure price stability for the Apollo token.

The way to achieve this is by ! Olympus project consistently focuses on creating Apollo-Solana pairs within the swap. To make this possible, Olympus uses funds of Apollo and Solana tokens which are kept in a pool called the pair creation pool. The project collects these funds from new investors, features and when existing investors leave the project which are called Taxes. These funds are then transferred to the pair creation pool ready to create and add Apollo-Solana pairs to the Internal Swap providing project-owned liquidity in the swap that can never be removed.

The function that calls pair creation functionality is a public function that can be called by anyone from the swap contract.

As you may be aware, when you provide liquidity, the swap mints liquidity tokens as a reward and an indicator of your share from the total provided liquidity which can be staked in Yield Farming for additional rewards or be removed from liquidity to get back the provided liquidity at anytime. To ensure that this liquidity providing becomes an irreversible action and cannot be reversed, the Olympus project simulates burning the tokens by transferring them to the universal zero address.

Read more about .

Since tokens cannot be retrieved from the address 0x0000...0000, we can assure investors that the provided liquidity cannot be removed.

Conclusion

As the project progresses towards day 366, the intensifying daily buyback amounts and the resulting price charts and liquidity in the buyback pools act as additional incentives for new investors. The project's strategy of gradually increasing the buyback share as the end of the Lobbies approaches helps minimize potential price reductions. This mechanism not only supports price stability but also creates a positive perception of the project, making it more attractive to investors.

By maintaining a token that is stable and shows a promising price trajectory, the Olympus project aims to generate confidence and interest among investors. This, in turn, can help drive further adoption and participation in the project, ultimately contributing to Olympus and CryptoSphere success.

What happens after day 366?

To get a better understanding of what lies ahead for the project and our roadmap beyond day 366, please proceed with reading Day 366 and CryptoSphere.