In our last story we discussed how our innovative crypto-trading bot, Otto, works and how we offer an autonomous crypto-trading bot accessible without technical know-how. In this post, we will illuminate another innovative element of the CryptoAMS service — the billing currency.
Many of you have undoubtedly heard of cryptocurrencies like Bitcoin, Ether, and maybe even Dogecoin. There are thousands of tokens out there and some of them have a utility, and some of them don’t (like, Dogecoin). We created our own utility token for our service called Ameribucks. Ameribucks is the only token accepted by Otto for automated trades.
Binance Smart Chain Token
Ameribucks (BUCKS) will live on the Binance Smart Chain (BSC) which is a blockchain (similar to Ethereum) managed by Binance. BSC differs slightly to Ethereum in that it is not a truly decentralized blockchain like Ethereum is. Binance manages the infrastructure for the blockchain and thereby controls the fees charged to use the network. This is why we chose to put our token on BSC.
Currently, Ethereum is the more dominant blockchain network, but the transaction fees, known as gas fees can range from $5-$300 depending on the time of day you run your transaction. BSC on the other hand has fees under $0.15–0.80. Transactions can fail sometimes, but the gas fees still get withdrawn from your wallet regardless of the outcome. Imagine how frustrated you would feel if you tried to perform a trade only to have the transaction fail and you lost $300 forever. Very frustrating.
This pain will get addressed in a proposed upgrade coming to the Ethereum network later this year, but as of the writing of story, BSC is faster and less expensive than ETH.
Many tokens created recently have an uncapped total supply and projects mint new tokens into circulation every day. This process of minting new tokens is called “token emission”, and can be offset by burning (or destroying) tokens to get them out of circulation. This causes a difficult task to the token creators of managing the balance between emissions and burns. Since the value of the tokens is directly related to how many are in circulation, it makes the token inflationary over time. An inflationary token over time will lose its value as opposed to a deflationary token that will only increase in value over time.
Ameribucks has a capped supply of 100 million tokens. Each Ameribuck token can be broken down into a tiny fraction of a token (to 18 decimal places), but there will only ever be 100 million of them. This is similar to how Bitcoin works, and why the value of Bitcoin is so high compared to many other tokens. There are only 21 Million Bitcoin available to mine, and once that cap is reached, no more can be created.
Token Release Schedule
When Ameribucks initially launches on the BSC mainnet later this year, it will only have up to 10.5% of the total supply in circulation. The rest of the Ameribucks supply will be locked in the CrypoAMS vault for the first 12 months, or locked in a vesting contract that releases the tokens over time. This vesting feature of the token will allow a slow release of the token to the public to ensure the price of Ameribucks stays high. Dumping too many Ameribucks on the market at once would lead to the price dropping as we are trying to build demand for our service.
When Ameribucks is first minted, it is broken up into distribution groups that allow CryptoAMS to sell the token to investors prior to Otto’s public release to raise capital for the project. Like any project, CryptoAMS needs money to get started and scale and Ameribucks solves that by providing something we can sell before we launch publicly. In addition, an allowance of DeFi farming rewards is reserved to encourage Liquidity Pool (LP) yield farming. We foresee Ameribucks yield farming as a great way to further reduce the circulating supply while also encouraging more hodlers that don’t even use the bot service.
Each distribution group has different vesting rules built into the Ameribucks smart contract which prevents any group from dumping their entire allotment all at once. If you’re an investor and are interested in learning more, please feel free to reach out to us at firstname.lastname@example.org.
Why choose the name Ameribucks for our token? Frankly, we wanted to stand out in the crowd. There is a huge ecosystem of stablecoins, altcoins, shitcoins, and utility tokens out there that people are constantly trying to sell (or shill). Many of them are completely worthless and we wanted something that was unique, had a recognizable color scheme and maybe even had a little patriotism.
The name “Ameribucks” begins with an A so it will often show at the top of token lists sorted alphabetically. The word itself is a combination of America and Bucks. It may sound silly at first, but the more you say it, the more it sounds like a perfectly normal currency to use. Ameribucks.
The token icon was a no-brainer once we came up with the name. We incorporated the buckhorns to represent our project, CryptoAMS, then the star and stripe was then added for just the right amount of patriotism. The buckhorns and star can also be seen on Otto’s chest to bring all three icons together.
We will create a very detailed walkthrough of how and when you can get Ameribucks when it becomes available. In the short-term it will be very likely that Ameribucks will only be available on Decentralized Finance (DeFi) exchanges, or DEX, on BSC. The most common DEX, (and likely starting place for Ameribucks) is Pancake Swap. Pancake Swap will connect to your local wallet, like MetaMask, and allow you to exchange almost any BSC token for Ameribucks for the gas fee of about $0.15.
Using Ameribucks to Pay for Otto
In a future story we’ll explain the process of using Ameribucks to pay for the bot service. We are currently working very hard on developing this unique process now and will share it when it’s a little more baked. Make sure to follow us for more updates soon!