What Is Pigeonsol (PGNT)?

What Is Pigeonsol (PGNT)? Complete Guide Review About Pigeonsol.

What Is Pigeonsol (PGNT)?

Pigeonsol is a deflationary token built on Solana. Pigeons have been messengers in the past. Lets spread your wings and get everyone to Solana ecosystem. Community driven. The information provided shall not in any way constitute a recommendation as to whether you should invest in any product discussed. PigeonSol’s team accepts no liability for any loss occasioned to any person acting or refraining from action as a result of any material provided or published.

PigeonSol is not a security as per US financial regulation, Europe, UK, Canada or any other regulation. This team, developers and other stakeholder created this token for fun and meme only. The ownership of $PGNT coin does not give any right of return, vote, management or any other right.

Pigeonsol Storage Key Points

Coin BasicInformation
Coin NamePigeonsol
Short NamePGNT
Circulating Supply100,000,000.00 PGNT
Total Supply8,100,000,000
Source CodeClick Here To View Source Code
ExplorersClick Here To View Explorers
Twitter PageClick Here To Visit Twitter Group
WhitepaperClick Here To View
Official Project WebsiteClick Here To Visit Project Website

How to Buy

  1. Go to Solape Swap or Serum Dex
  2. Connect your wallet
  3. Click the + sign to Add custom market
  4. Put market id
  5. Market Label PGNT/USDC
  6. Base Label PGNT and click Add.
  7. Put the price you want to buy or sell
  8. Size has to be multiple of 10, this is very important or you will not be able to buy or sell it.
  9. Click buy or sell.

Why do need ICE DAO in the first place?

There is a demand for a decentralised reserve currency. Dollar-pegged stablecoins have become an essential part of crypto due to their lack of volatility as compared to tokens such as Bitcoin and Ether. Users are comfortable with transacting using stablecoins knowing that they hold the same amount of purchasing power today vs. tomorrow. But this is not exactly true. The dollar is controlled by government and the Federal Reserve.

This means a depreciation of dollar also means a depreciation of these stablecoins. Pigeonsol aims to solve this by creating a free-floating reserve currency, ICE, that is backed by a basket of assets. By focusing on supply growth rather than price appreciation, ICE DAO hopes that ICE can function as a currency that is able to hold its purchasing power regardless of market volatility.

ICE is backed, not pegged

Each ICE is backed by 1 MIM, not pegged to it. Because the treasury backs every ICE with at least 1 MIM, the protocol would buy back and burn ICE when it trades below 1 MIM. This has the effect of pushing ICE price back up to 1 MIM. ICE could always trade above 1 MIM because there is no upper limit imposed by the protocol. Think pegged == 1, while backed >= 1.You might say that the ICE floor price or intrinsic value is 1 MIM. They believe that the actual price will always be 1 MIM + premium, but in the end that is up to the market to decide.

Why is PCV important?

As the protocol controls the funds in its treasury, ICE can only be minted or burned by the protocol. This also guarantees that the protocol can always back 1 ICE with 1 MIM. You can easily define the risk of your investment because you can be confident that the protocol will indefinitely buy ICE below 1 MIM with the treasury assets until no one is left to sell.

You can’t trust the FED but you can trust the code.As the protocol accumulates more PCV, a longer runway is guaranteed for the stakers. This means the stakers can be confident that the current staking APY can be sustained for a longer term because more funds are available in the treasury.

What will happen if there is a bank run on ICE?

Fractional reserve banking works because depositors don’t withdraw their funds all at once. A depositor’s faith in the banking system rests on regulations and agencies like Federal Deposit Insurance Corporation (FDIC). ICE does not have FDIC insurance but it has an incentive structure that protects stakers. Let’s take a look at how it performs during a hypothetical bank run.

In this scenario, Pigeonsol assume the majority of stakers would panic and un-stake their tokens from ICE – the staking percentage which stands at 92% now quickly collapses to 3.3%, leaving only 55,000 ICE staked. Next, we assume the Risk-Free Value (RFV) inflows to the treasury completely dry up. For context, RFV is currently growing at about $1 million every 2 days. However, during a bank run this growth will likely stop.