Lofi Defi

What is $LOFI?

$LOFI will be used on the LOFI-DEFI platform for tipping, subscribing and purchasing NFTs. Connecting creators and investors on the Binance Smart Chain.

01.INTRODUCTION

LOFI-DEFI is a cryptocurrency focused on supporting artists, musicians, and

artisans of all stripes by creating an asset and platform that invests in their

future and help build their brand, while providing investors with an investment

vehicle that’s set up to deliver exponential returns for years to come.

The token itself will be deployed on the Binance Smart Chain (BSC) network with

an original take on the ‘Safe’ contract, employing the knowledge of previous

projects to ultimately create the best possible contract to not only ensure

future growth, but investor confidence.

We’ve assembled a team of excellent specialists in their field that are working

diligently every day in order to ensure the project’s success. We’re also

committed to being public with our identities and all financial information in

order to maintain the highest level of transparency as possible.

Part of our success will be based on community engagement, and in order to

further that goal we’ll be creating a governance system that encourages holding

and rewards our most committed investors. Decisions that affect the community

such as adjustments to the contract and how the fees that are collected will be

subjected to these community engagement measures so that our investors’ voices

are always heard.

As part of our interest in making cryptocurrency and community investment as

accessible as possible, we’ll be releasing an app with an integrated wallet and

fiat onramp to remove the middle step of having to convert cash to BNB before

purchasing LOFI, the native token of the platform.

We’ll also be releasing a platform to focus on spotlighting and supporting

creators. The platform will function as a virtual gallery, tipping,

subscription, streaming, and marketplace partner program in order to give

holders of LOFI a place to use their token to support artists by investing in

them or their work. LOFI will also be making regular charitable contributions

with collected proceeds based on community input and governance.

02. MARKET

LOFI-DEFI will be catered towards artisans of all types, with specific focus

on up-and-coming musicians and artists who are looking for recognition and

monetary support.

The NFT market is being more prolific as time goes on with big companies such as

HUMBL getting in the game, but the support for the creators of these works is

almost nonexistent.

We’ll initially be featuring artists and community members on our website which

provides added value to our holders as we grow. Each artist will have their own

profile page with a direct link and QR code to donate to them or contact them to

purchase their work.

We find that people don’t want to use their cryptocurrency to buy mundane things

that they can use cash to buy. For the most part people invest in crypto for

its growth potential not for its utility to be able to purchase everyday items.

However, people are much more likely to donate an investment property to people

they like and support in order to see them share in their own success.

For this reason, we believe that the utility provided by connecting investors

and creators will be a much more easily adopted use case than most projects.

03. CONTRACT

There are two main principles for a deflationary token with passive rewards;

reflection and burn. Reflection passively rewards users for holding by awarding

them tokens based on their weighted holdings of the total supply, while burn

constantly decreases the total supply making each token progressively more

valuable.

The way we accomplish this in the contract is with three main functions. The

first is the reflection function that increases the value of the tokens you hold,

the second is the direct burn where we send tokens from every transaction to

the burn wallet.

The ‘Reflection’ contract is a mainstay in the DeFi sector. The contract rewards

holders of the token by awarding them a percentage of the tokens from every

transaction, increasing their bag in proportion to how much of the total supply

they’re holding. The actual way this is accomplished is by changing the value

of the tokens that you currently hold in your wallet, or else the contract

would just be looping through all the addresses constantly distributing tokens

and wasting gas. The reflection contract has been used in multiple contracts

here recently and has been thoroughly audited as a known quantity.

For the burn, we opted to take a different approach than many other tokens. The

common industry practice is to collect tokens somewhere, either in a dev wallet

or the contract most commonly, and manually send them to the burn wallet. What

is the burn wallet? The burn wallet is the address 0x0000~ where we send tokens

to so that they can’t be recovered. Essentially this is taking them out of

the circulating supply and they’re never coming back, which is where the term

‘burning’ comes from. The effect of this is that as the total supply goes down,

the value of each remaining token increases. The increase of tokens in your bag

and the progressively increasing value of each token ensures that as trading

happens users are rewarded for holding.

Lastly we have our 1% team fee to cover operating expenses and overhead. We do

smaller, incremental swaps for BNB will allow us to maintain momentum and not

create ripples when we need funds. The wallet where the fees are being kept is

a multi-sig wallet which means that all four core team members need to present

their keys in order to make any transfers out of the wallet to make sure nobody

can remove funds unauthorized.

We’ve decided to maintain control over the contract in order to adjust these

numbers and address other issues that are encountered with this novel approach

as we scale up. We’re confident that our transparent approach will inspire more

confidence and legitimacy than flippantly renouncing contract ownership which

would cripple us in the future.