⚒️ALNR Token Utility

The Alnair (ALNR) token serves as a governance token for the protocol. ALNR stakers will receive 100% of the fees generated by the protocol.

For ASTR token

The ASTR token is deposited into the protocol when a user mints $ASTX token, while the $ALNR token which is used for minting is burned.

When the user redeems $ASTX tokens, the protocol pays back ASTR tokens and mints the required amount of $ALNR tokens.

The ratio of ASTR and $ALNR tokens used by the minting and redeeming function of the Alnair Finance is determined by the Collateral Ratio. These mechanisms are described with examples in more details in the next pages of our documentation.

ASTR and ALNR Revenue

Minting and redeeming synths on the platform incurs a 0.3% and 0.5% fee respectively. Locked ALNR stakers on the platform will receive these fees in the form of ASTR and ALNR. Locked stakers will also earn 50% of the penalty fee charged to farmers that claim rewards early.

There is natural demand for ALNR since the protocol requires its synths to be backed partially by the native token. New synths that are rolled out will all use ALNR for part of the collateral.

Capital Efficiency

The capital required to mint $ASTX is only partially denominated in ASTR. The remaining portion is denominated in $ALNR, which is required as collateral. This requirement creates both a natural demand for $ALNR, as well as captures value.

New Alnair Finance Assets (Roadmap milestone)

Equals more utility and liquidity for $ALNR token holders because $ALNR will always be a key ingredient in minting synthetic tokens.

DeFi Integrations (Roadmap milestone) Adoption and integration of Alnair Finance synthetic assets with other DeFi projects to develop and unlock new trading strategies (derivatives trading, leveraged trading/farming, other exotics).

Early Exit Penalty Revenue Besides ASTR and $ALNR revenue for users who stake their $ALNR, stakers also earn 50% of the penalty fee from $ALNR/ASTR and stable pool farmers who claim their rewards early.