Buyback & Burn


🔥 Buy-Back & Burn – Inflation Control and Value Protection


When token emissions risk diluting $ORY beyond the ≤ 1 % annual inflation ceiling, an automated buy-back routine removes excess supply from the market and—by default—burns it. The logic is enforced by smart-contracts, monitored by Orypton AI, and overseen by the DAO.

⮕ Automatic Triggers

Trigger Category
Threshold
Detection Window
Source

Inflation Limit

Projected emissions > 1 % of circulating supply

Rolling 12 months

On-chain mint counter

Liquidity Shock

≥ 20 % fall in 7-day avg. DEX volume or ≥ 25 % slippage at $50 k swap

Real-time oracle feed

DEX analytics

Price Drawdown

≥ 15 % drop in 30-day TWAP

Oracle TWAP

On-chain price feed

If any trigger fires, the AI Sentinel queues a buy-back proposal; execution occurs automatically unless the DAO vetoes within 48 h (60 % quorum).


⮕ Funding Sources

  • Treasury Reserve: Primary—funded by licence fees, pre-sale revenues, swap spread, card fees

  • Market-making spread: Secondary—profits from OTC liquidity provisioning

  • Emergency Backstop: DAO may divert up to 30 % of unvested Treasury tokens (vote required)


⮕ Execution Flow

The repurchases are executed through smart contracts and a marketmaking system, showing how:

Once repurchased, tokens can be:

  • Reincorporated into the reward pool: In order to prolong the sustainability of staking rewards.

  • Permanently burned: To reduce the total circulating supply, generating positive deflationary effects.

The decision on the exact use of the repurchased tokens is periodically voted within the DAO.

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