Mine to hold – Hold to earn – Earn to die
Thoreum Finance is a liquidity mining platform with static rewards aiming to become the next Safemoon. We take a look at the new DeFi platform and dive deeper into its tokenomics.
THOREUM, the native token, is a limited supply coin, hard-capped at 5 billion total supply, with 3 million burned at the start. Unlike other meme tokens where the tokens can be bought on the market, THOREUM is more like BTC and ETH in that it has an initial supply of only 500 million tokens. Interestingly, investors need to mine to reveal more THOREUM.
However, that doesn’t make Thoreum Finance anything like Safemoon yet. We need to dive deeper into things.
Born out of conflict
The creators of Cerberus and Garuda have initiated Thoreum Finance. A move that introduces improved smart contracts. The timing couldn’t be more convenient, because GoCerberus, Garuda, and more protocols all saw their native tokens plummet to $0 recently. The new and improved contracts for Thoreum are supposedly immune for that type of exploit, and the developers ran two audits before launching to ensure the security of the contracts.
The new Thoreum initiative has some mechanics that make it stand out from the crowd. Mainly its approach to token mining and rewards. However, even bigger is the promise of Thoreum Finance to be Safemoon 2.0. They are introducing unique mechanics to reduce the token supply and pump market value.
Thoreum as Safemoon 2.0
When users transfer THOREUM, a 10% tax fee is applied to each transaction. Of which, 2% is redistributed to existing THOREUM holders. In a nutshell, those who decide to hold their THOREUM are rewarded by those who decide to sell. This mechanism is intended to encourage holders and discourage pump-and-dump traders.
The purpose of Thoreum is to be the world’s first true hyper deflationary token, which would be the best coin for simply holding. Those who hold earn 2% rewards on every transaction. Furthermore, 8% of every transaction goes into a Thoreum contract, which then gets used to buy BNB. Every sell of 1,000+ tokens on the market, the stored BNB will be used to buy and burn THOREUM from the market. In addition, every time the transfer tax total exceeds 990,000 THOREUM, the contract will sell the tokens for BNB, and add that BNB to the contract. However, this number can change based on the price of THOREUM. Again, this BNB will be used to buy back THOREUM from the market. This entire process has three effects:
- It reduces the total supply of THOREUM
- It adds BNB to the liquidity pool
- It has an immediate effect on the price of THOREUM
In order to allow users to mine in an environment-friendly way, THOREUM is using a liquidity mining model. Here a user can mine THOREUM by staking other coins such as BNB, BUSD, ETH. Alternatively by staking liquidity pairs such as BNB-BTCB, BNB-ETH. After the 2.5 billion THOREUM is mined, no more coins for liquidity mining will be made available for mining and users will need to buy them.
THOREUM’s double staking rewards or “Thunder Boost” pools place THOREUM in one of the earning pools to earn 3rd-party tokens such as BNB. Interestingly, even though THOREUM will have been transferred to a pool and no longer in the user’s wallet, investors will continue to collect automatic holding rewards as if the coin was still in the wallet on top of staking rewards in the Thunder Boost pools.
Fee-free 3rd party Farming Rewards
Unlike other coins of its type, THOREUM is the first token that you can farm in other yield farms tax-free using the “Thunder Friend” mechanism. Thoreum Finance is partnering with reputable farms, so you can stake THOREUM and earn their tokens without paying a 10% deposit, withdrawal, or harvest tax.
Harvest lockup is a farming reward lockup mechanism that can help limit the frequency of harvest to prevent farming bots from constantly harvesting and dumping. For example, the harvest lockup of the THOREUM-BUSD farm is 6 hours. It means that farmers who stake in the THOREUM-BUSD farm can only claim their rewards from farming every 6 hours. Moreover, the harvest lockup only locks users’ farming rewards. The tokens and LP tokens staked in farms can be withdrawn anytime.
Deposit Fee Redistribution via Thunder Farm
Thunder Farm gets a 6,000 BNB funding (40%) from the presale. A 4% deposit fee will be charged when users enter non-native staking pools on Thoreum. Meaning if users enter a non THOREUM pool they will pay a 4% fee on their deposit. The platform plans to use 50% of the deposit fee to create a ‘Thunder Farm’. Here users can deposit THOREUM to earn BNB and BUSD and other tokens without tax fees. The other 50% will go to project funds for marketing, devs, servers cost, etc.
As with most DeFi applications these days an on-chain referral program has been implemented to incentivize users to invite friends to join. Inviters can earn 3% of their friends’ earnings forever. Inviters will automatically receive THOREUM rewards in their wallet whenever the referred user harvests from the farms or pools.
Timelock and No Migrator Code
The migrator code has been removed from the MasterChef contract and a time lock system with an 8-hour delay has been added to the MasterChef contract before launch.
Connect with Thoreum Finance
- Website: https://Thoreum.Finance/
- Telegram Official Group: https://t.me/ThoreumOfficialGroup
- Twitter: https://twitter.com/GoCerberusFi
- Medium: https://thoreum-finance.medium.com/
- Docs: https://docs.gocerberus.finance/