Lina's reward/staking feedback loop

3 Feb 2021

Lina's weekly rewards are generated from Building a debt ratio. this Debt (Pledge) ratio sits a 500. Its in its 4th week cycle of that loop. As price rises you build a higher Pledge ratio, as the ratio rises you can build more LUSD to use on the ecosystem but it resets you ratio back to 500. this loop creates the need to increase LUSD (build) and keep the price growing to get the rewards. as you can see on this chart, its in its 4th week of this growth. its a money printer