⚙️ How it works ⚙️
Explains how Teneo and the tenXXX Tokens work
Every trader who survived a long period of crypto holding and/or trading knows the following situation:
One moment you look into your portfolio and are happy because of a great performance with multiple Xs — the next moment all profits are gone… -30%, -50% or even -90% is nothing unusual in the crypto space.
Teneo addresses this. Long term holders, as well as traders and other projects, are able to benefit from the extreme volatility of the crypto markets. The Teneo Project creates a Win-Win-Win situation for all these parties.
There are two kinds of tokens in the ecosystem:
It is only “nearly” 1:1, because there are transaction fees. The whole system benefits from these fees. They are used to buy back Teneo and mainly are redistributed to the liquidity provider of the tenXXX token. But any other transaction fee will also be redistributed to every holder of the tenXXX token in the form of a tenXXX token. We call them reflows.
But why should someone make a transaction with this token that has a fee? Would people not just lock and hold until they want to cash out?
That’s where the ~1:1 ratio comes in. Liquidity pools of tenXXX are rewarded (and also gain reflows). That means there is an arbitrage possibility on every price change of the pegged token in any pool. And in contrast to other similar tokens, there is no possibility to drain wealth out of the system, because the token is pegged (1 tenETH is always worth 1 ETH minus the transaction fee).