Proof of Burn
Since launch, Alpaca Finance has adopted buyback & burn as a deflationary mechanism to increase ALPACA tokens long-term value. The portion of platform's revenue used for buyback & burn are:
1. Liquidation Fees - 4% (out of 5%) of all liquidation fees are used for buyback & burn of ALPACA tokens for the case of 3rd parties liquidation bots. In the case where liquidation is initiated by Alpaca's internal bot, all 5% of liquidation bounty goes to buyback & burn.
2. Lending Performance Fees - 10% (out of 19%) of the borrowing interest fees is used for buyback and burn of ALPACA tokens.
3. Alpies NFT Sales - 20% of the sales proceed will be used for buyback and burn.
4. Alpies NFT Royalty - 2.5% (out of 5%) of secondary Alpies' sales go towards buyback and burn.
5. AUSD Stability Fees - 50% of the stability fee go towards buyback and burn.
6. AUSD Auto-Farming Performance Fee - 5% (out of 9%) goes towards buyback and burn.
7. Automated Vault Management Fees - 50% of the management fee go towards buyback and burn.
8. Automated Vault Withdrawal Fees - 50% of the withdrawal fee go towards buyback and burn.
9. Governance Vault Early Withdrawal Fees - 50% of the withdrawal go towards burn.
Below is a record of every burn transaction we have initiated since launch:
PCS LP token burn: the initial LP tokens that we used to seed the PCS ALPACA-BNB pool
250,000 ALPACA tokens
Extra rewards burned 84,000 ALPACA burned (the extra ALPACA tokens that would've been earned by the dev fund during the 2nd week of the Bonus Rewards)