Starter (https://starter.xyz), the first multichain community-oriented launchpad, today announced the token launch of Cake Monster’s (https://cake.monster/) $MONSTER, a hyper-deflationary token backed by $CAKE with an automated hybrid monetary policy for maintaining a fair, sustainable, and rewarding ecosystem. Cake Monster’s hybrid protocol is both deflationary and inflationary, designed to protect currency holders from an implosion caused by hyper-deflationary cycles. With Cake Monster’s combined approach, token holders can contribute to an ecosystem designed to maintain its value.
Throughout years of global financial history, massive amounts of money printing in fiat currency systems have forced hyper-inflation problems to the forefront. After a certain point, infrastructures implode. However, not many people understand that hyper-deflation actually results in the same outcome – monetary implosion. In cryptocurrency, for example, many projects, including “memecoins,” intentionally burn (or destroy) tokens to prevent inflation and raise token prices. Some are burning such a high rate of tokens, it will eventually result in a total disappearance of the token supply within the next decade. Due to this lack of sustainability, deflationary tokens also lack real utility and as result, long-term investor participation.
Seeing a futile end in hyper-deflationary cycles, Austrian economists, libertarians, technology experts, and the DeFi Labs community, came together to create Cake Monster and combat the lack of intrinsic value in deflationary tokens as well as investor “hodling,” which leads to token monopolization.
How it works:
There will be an initial supply of 10 billion $MONSTER native tokens with a minimum supply of 1 million. Cake Monster’s protocol runs in perpetual cycles building up a protocol-backing reserve called the Gravity Vault. The Gravity Vault contains $CAKE, a secondary asset that will act as a price anchor and function as a reward system for native $MONSTER token holders.
To prevent network implosion, if a wallet holds $MONSTER tokens without any activity (buying, transferring, or selling at least 5.01% of the total holding amount) for more than 50 days, the network can force that wallet to sell their tokens for BNB through an Auto Cashout function. In order to keep price stabilized, the Auto Cashout $MONSTER is ‘sold’ into the Pancake Swap liquidity pool for BNB, then the newly added $MONSTER in Pancake Swap is burned. There will be a minor impact on price due to less BNB in the liquidity pool but this expense ensures the protocol does not stagnate. This policy is an essential function in the hyper-deflationary logic of the Cake Monster protocol.
Each $MONSTER transaction (sale, purchase, transfer) will be taxed by 5%. Half of the taxed $MONSTER will be burned and the other half will be sent to a Temporary Vault. From the Temporary Vault, 10% of the tokens will be converted to BNB and $MONSTER as locked liquidity for the Pancake Swap liquidity pool. The remaining 90% from the Temporary Vault will be swapped for $CAKE, which will be added to the Gravity Vault.
$MONSTER token holders will then be rewarded with $CAKE each time the total supply of $MONSTER decreases by 1% since the last 1% snapshot. And once the minimum supply of 1 million $MONSTER is reached, $MONSTER token holders will be able to claim the entire amount of $CAKE in the Gravity Vault.
Cake Monster will be built on Binance Smart Chain and later integrate all leading smart contract networks that support an underlying reserve asset. Built with modularity in mind, every component of Cake Monster is upgradeable, which will allow replacements when better techniques and competing implementations emerge. Cake Monster ensures security with an audit completed by Solidity Finance.
A total of 600 BNB will be raised for 5 billion $MONSTER tokens on Starter beginning June 19. For more information or to join the whitelist, visit Cake Monster’s website or Starter’s official Medium page.
Starter is a multi-chain community-driven launchpad, supporting interoperability of IDO launches on 7 blockchains (Binance Smart Chain, Ethereum, Cardano, Solana, Polygon, Fantom, and Avalanche) and providing projects access to funding opportunities without the hassle of bureaucratic hurdles, complex KYC requirements and a manual selection process. Starter consists of four separate branches: venture arm Starter.capital, decentralized launchpad Starter.xyz, decentralized exchange StarterSwap.xyz, and token vesting and liquidity locking StartVesting.xyz.