What Is SmugDoge (SMUG)?
It’s almost Thanksgiving. The weather is getting colder, the fireplace is comfier than ever, and everyone is taking it slow and easy. There’s a lot of things to be grateful for. Not being rugpulled and having your money safe with SMUG is one of them. In crypto, especially when talking about meme coins, its important to be safe and sound with your investment. Volatility is expected in meme coins, but a SmugDoge is not. $SMUG is a unique meme token on Harmony because of its reflectionary/redistribution mechanism, and is fertile grounds for a DEX.
That’s not adding anything manually to the LP. In fact, it makes no sense, economical or otherwise (for now) for you or anyone else to add any LP yourself to this pool. When it receives the ONE from each taxed transaction, it combines it with the corresponding $SMUG at the time, and adds it permanently to the liquidity pool by burning the LP tokens. This is the reason why you need to set slippage to at least 11% when interacting with $SMUG.
And it never stops. Day or night. No matter how small the amount, this allows for an ever-increasing price floor, and it allows for big buys and sells to flow into the coin, at a lower price impact, as the liquidity is crowdsourced from everyone. If you still aren’t getting it by now, let me put this into an example. If $SMUG does a million USD in volume (which is very normal for a DEX, especially on its first day), 5% of that will be permanently added to the liquidity pool.
SmugDoge Storage Key Points
|Circulating Supply||648,964.96B SMUG|
|Source Code||Click Here To View Source Code|
|Explorers||Click Here To View Explorers|
|Twitter Page||Click Here To Visit Twitter Group|
|Whitepaper||Click Here To View|
|Official Project Website||Click Here To Visit Project Website|
lowers price impact
when you want to sell or buy, you want to make sure there’s liquidity so that you are not losing money by being too big for these pools. Big buys and big sells move the price a lot due to the way AMMs like Uniswap/Sushiswap and of course DFK which was forked from it work. It’s permanently hard coded into the contract, it won’t stop any time soon, and that money is forever locked into the protocol! There’s no going back! The liquidity pool can only go up.
This not only gives this SmugDoge credibility, but also allows for a DEX to be built on top of it, as people will know they are safe and won’t be rugged — as there is permanent liquidity lock in place. Now my initial time lock of 5700 ONE is barely 5% of the total locked liquidity.
“Liquidity mining, unsurprisingly, faces the same drawback as PoW mining. SmugDoge is a perpetual expense with no lasting benefit. Liquidity mining can be equated to renting — it may be cheaper than buying at first, but stop paying rent and you no longer have it. As DeFi matures, it is becoming increasingly clear that incentives are not a viable long-term strategy for networks.
The goal should always be to bootstrap and accrue long-term defensible value, rather than perpetually pay high interest on mercenary capital.” SmugDoge course, in the short term, while SMUG is barely doing a few thousands of volume per day, you don’t really feel this 5% tax do much, but trust me — it does do a lot, and it will only continue to do its job as I build the DEX on top of it.
A SmugDoge brings the liquidity mining incentives to the table, and you are able to use your existing coins native to the Harmony ONE network to earn yields. For now, DEXSMUG-SMUG is the best way to enter into the dex, but you will also be able to buy DEXSMUG with eETH, bBNB, bBUSD, and some super special partnerships.
In a way, by keeping the SMUG and DEXSMUG as the only means of entering and exiting the dex and getting lots of juicy rewards, is a way of ensuring the longevity of the project and ‘owning our liquidity’, as this volume will allow for permanently added liquidity on both ONE-SMUG and SMUG-DEXSMUG! This is great news, as SmugDoge will be able to do many great things later on with the DEX if they do not ‘rent out’ liquidity from others at an expensive price (the cost of rewards that will be paid out to everyone participating in the liquidity mining).
Given enough volume, SMUG will never need anyone to provide SmugDoge or SMUG-ONE liquidity, and at some point, which is my end-goal, they won’t even need to do tax on the original SMUG, and they can just keep reflationary mechanism, depends on what the community wants.
One very bullish piece of news is that there will be a voting system in place to phase out the lowest-performing pools once a week, and replacing them with the community’s pool of choice. SmugDoge Before a snapshot voting mechanism for governance is implemented, this will be done via a TG/Twitter poll and discussed. If there cannot be a consensus reached, they can always add two and split the rewards across these two pools evenly.