How SAFUU Protocol is Aiming To Make DeFi More Scalable and Sustainable

Key to maintaining sustainability despite the high APR is Safuu’s Fire Pit , which is a buyback-and-burn contract that reduces the circulating supply of $SAFUU tokens. According to the company’s website, 2.5% of all $SAFUU traded are burnt in the Fire Pit.

Additionally, 5% of the total trading fees are stored in the insurance fund, which helps sustain and back the staking rewards provided by the positive rebase. The SIF prevents flash crashes of the $SAFUU token by maintaining price stability and greatly minimizes the downside risks of DeFi.

The tokenomics of the protocol ensures the protocol remains stable, scalable, and profitable as more users join. Safuu’s token supply is only 325,000 $SAFUU, with an auto burn rate of 2.5%, auto staking and liquidity provision (LP) every 48 hours and the factor of rebasing at 15min intervals provides a more linear progression of sustainability. Simply, the more that is traded on a daily basis, the bigger the Treasury & SIF balance grows automatically to aid with long-term sustainability and future growth.

Finally, Safuu also includes a unique and proprietary Safuu Auto-Liquidity Engine (SALE) which automatically injects an additional 4% liquidity every 48 hours automatically to maintain protocol stability and to make sure the APY is upheld for the entire life of Safuu. The SALE also adds more and more liquidity to the pool which will allow $SAFUU token holders to easily sell their tokens at any time with little to no market slippage.