The $SLRS Burn explained
We announced the start of our Buy & Burn program for our $SLRS token in January.
At the time of writing, exactly 1 Million $SLRS have been burned.
Why is this important and why burn?
Our team at Solrise is thrilled to be building an ecosystem of products with Solflare, Solrise Finance and Solrise Pulse. We believe that converging these products over time will exponentially accelerate their growth and create a powerful flywheel effect.
Solrise Finance funds will be exposed to millions of users in Solflare.
Solflare will build Solflare Institutional for Solrise Pulse users.
Solrise Pulse will create the foundation for Solrise Finance Pro.
At the core of all these products lies $SLRS — the ecosystem token of Solrise.
Currently, staking $SLRS provides decreased swap fees within Solflare and decreased platform fees on Solrise Finance. More token use cases like on-chain governance and access to advanced features will be added over time.
Fees that are generated from all Solrise products are being used to buy back $SLRS tokens from the market and subsequently burn them.
Building this ecosystem is a massive undertaking and will take time but we firmly believe in our vision of advancing Web3 benefits to all users, keeping them safe, and making them more successful in this new decentralized world.
So… how does the burn work?
Solrise Finance generates fees by collecting a percentage of managers performance fees and from investor exits (fees are collected in the same wallet as fund assets):
https://solscan.io/account/2F8sGJ6XwXJPk4cYxdju6bxUFaz9Sz5N4HwjgA4PaaRW
Solflare generates fees as users swap tokens in the mobile app, extension and on the web app:
https://solscan.io/account/2rbMgYvzAb3xDk6vXrzKkY3VwsmyDZsJTkvB3JJYsRzA
Solrise Pulse collects maker and taker fees: https://solscan.io/account/BybAEz1cqRRaqkNvjqYBvHMrP3C3NUkWf8AqgEW95cPm
All these fees are collected in various Solana tokens which are then swapped to $USDC.
That $USDC is transferred to a smart contract that automatically buys $SLRS on Raydium in small chunks several times per day, in random intervals:
https://solscan.io/account/93Mak1denpnsBowJjkoc9nyWUTk6gyg8RwiCkCarZ7rk
If there is a large amount of $SLRS on the buyback address, it is transferred to cold storage until the burn date:
https://solscan.io/account/D944Tdjh3cSh2T8LiosV9bHMcmTXwTFRkw7fY3AHFWTt
From now on, we will burn all $SLRS collected in the first week of every month and post the link to the burn transaction publicly on Twitter and other social channels.
We are here for the long term, and the $SLRS fire will burn for a long time.
