What Makes #GuilderFi Unique?

2 min readMar 21, 2022

What Makes #GuilderFi Unique?

#GuilderFi offers a number of unique safety features that are designed to protect its users from major capital drawdowns. Some of these features include:

Compound Interest + Algorithmic Logic

#GuilderFi uses a compound interest formula combined with algorithmic logic to sustain a high fixed Annual Percentage Yield (APY) of 111,888%. The more compounding periods there are, the more the interest will grow.

In GuilderFi’s case, each compounding period, or epoch, is programmed to last exactly 12 minutes. During the first 12 months, token holders will receive interest at a fixed interest rate of 0.016% every 12 minutes or 1.9235% daily.

Buy-Back Price (BBP)

The Buy-Back Price (BBP) indicates the token’s intrinsic value, fully backed by the Protocol via its reserves (e.g. a BBP of $1.10 and a market price of $1 suggests the Protocol can fully back 110% of tokens at the current price).

Rewards Backed by the Liquidity Relief Fund (LRF)

The LRF is a special treasury fund which derives its income from a portion of the fees generated by token swaps. If the token price falls below the BBP, the LRF will deploy its capital reserves to perform token buy backs on the open market to restore its intrinsic value.

#SafeExit

A first for the DeFi industry, #SafeExit was designed as a self-regulation policy or risk management tool, which allows users to exit the protocol at a pre-determined price. As part of Operation #SafeExit, rather than waiting for the token price to recover, users may decide to redeem their $N1 position at a 6.25% premium to the US$ value of tokens purchased during the pre-sale. A dedicated #SafeExit fund, operated as a smart contract, will accumulate sufficient reserves to meet the obligation of returning user funds without any loss on initial capital. The #SafeExit fund will transfer its reserves to the main Treasury as tokens purchased during the pre-sale are sold by users and no longer required.

6.25% Risk-Free Premium (Pre Launch Participants Only)

GuilderFi is designed to protect the earliest investors by offering full protection on their capital plus a 6.25% risk premium. All Fair Launch participants will be automatically whitelisted to execute this option following a 90 day waiting period.

Liquidity Locked for 5 Years — RugProof

60% of the funds raised from the pre launch will go directly into creating a liquidity pool on TraderJoe to open trading for the $AVAX/$N1token pair. The entirety of this liquidity will be locked for 5 years and subject to review every 12 months from Year 6 onwards, determining whether liquidity will be added or removed, as per the annual community vote.

Learn, Earn & Thrive — With GuilderFi