The Nexus Token
ABOUT NEXUS
How Does The Nexus Token Work?
The Fund I LLC has entered into a strategic partnership with Web3 Labs LLC to integrate their unique transaction fee mechanism, known as The NEXUS Token, into their operations. The NEXUS Token serves as a transactionary fee mechanism that allows partnering companies, like The Fund I LLC, to facilitate the transfer of regulated cryptocurrency such as USDC by Circle.
What sets the NEXUS Token apart is its innovative wrapper functionality. This feature allows the token to maintain the backing asset, USDC, within a smart contract, ensuring stability and security throughout the transaction process. Additionally, for every transaction involving the NEXUS Token, a 1% transaction fee is applied. A portion of this fee is allocated to partnering companies, such as The Fund I LLC, to assist in covering maintenance costs for their Web3 interface.
This seamless integration helps companies like The Fund I LLC ensure compliant, efficient, and cost-effective transactions while benefiting from the built-in mechanisms that support ongoing operational needs.
How Does the Engineering Affect the Value?
Unlike tokens that follow the standard market maker protocol, the Nexus Token uses a unique pricing mechanism based on mathematical principles. Instead of traditional methods, the price is determined by a custom equation, creating a more dynamic pricing model.
The value of the Nexus Token is influenced by two key factors:
- Volatility of the Backing Asset stored within the contract.
- The Nexus Price Value Equation: Price = Backing Asset in the Contract ÷ Total Supply of the Token
This exchange system stands apart from traditional tokens, which is why we’ve developed specific terminology to describe it:
- SwapPair Liquidity (SWPL) System: Our liquidity model uses a swapper contract to autonomously exchange the backing asset. This system eliminates the need for traditional liquidity pairing.
- Price-Increase Tax Ratio (PTR): This algorithm adjusts the tax applied to both purchases and sales, shifting the balance between the backing asset and the token’s total supply. The PTR algorithm is designed to favor the backing asset, ensuring that the value of the Nexus Token steadily increases relative to its backing asset, regardless of the type of transaction.
PTR Contract Buy
There is a set % tax for both buys and sells. On a buy, new tokens are minted into the total supply.
Let’s use 6% as an example. The Total Supply of Tokens increases and the buyer will receive:
X_Nexus - (X_Nexus * .06)
94%
of the tokens purchased at current value
100%
of the BNB used for purchase is swapped for the value equivalent of the backing asset.
The backing asset is then routed to the contract pool.
Therefore, in this scenario, if the Asset and Nexus quantities were both equal before this transaction, PTR would cause a shift in favor of the backing asset, triggering an increase in the price value of the token.
PTR Contract Sell
When tokens are sold back to the contract, the seller pays the same set % tax on the asset they receive. 100% of the tokens sold are then destroyed and completely removed from the total supply. As a result, the Total Supply of Nexus decreases, and the seller receives:
X_Nexus - (X_Nexus * .06)
94%
of the Asset is received from the total worth from Tokens sold
So after a sell, the ratio shifts further in favor of the asset in the contract, as more is left in the contract and the token supply decreases. The variant tokens price value is increased further as a result.
The Benefits of Nexus Tokens
With the Nexus Token equation and tax system, the contracts are designed to consistently increase the value of the token relative to the backing asset. For non-volatile assets, the price per token can only rise with each transaction, ensuring it never decreases. In cases of more volatile assets, market fluctuations may impact the price, potentially leading to temporary downward trends, but upward pressure is expected during bullish market conditions. The token’s trading activity may also act as a buffer, mitigating the impact of negative volatility depending on transaction volume.
A key security feature, the requirePriceRises function, ensures that the calculated price for every transaction must be equal to or higher than the previous price. If this condition is not met, the entire transaction is automatically reverted, preventing any unintended price decreases. This function also safeguards the system from exploits, as any attempt to withdraw funds through a malicious attack would be halted, preventing the exploiter from completing the transaction.
The decentralized nature of Nexus Tokens eliminates the need for centralized liquidity pool pairings, as no external entity or owner address controls them. This decentralized design enhances overall functionality, improves return on investment, and ensures greater security for users.
Additionally, all owner functions within the contracts are disabled, except those required for secure transitions between PCS bridges (v2 → v3). These functions protect the long-term viability of every company using the NEXUS Token Transactionary Fee Mechanism in case the current server infrastructure becomes obsolete. There are no callable owner functions that could negatively impact the contract or the value of the assets, ensuring maximum security for all participants.
As an investor in The Fund I LLC, it is strongly recommended that you review all related documentation available at thenexustoken.com. This includes understanding the mechanisms behind The NEXUS Token, as well as the associated risks, transaction structures, and regulatory compliance measures. Thoroughly reviewing these materials will provide greater clarity on how The NEXUS Token operates within our platform and how it impacts your investment. We encourage all investors to consult these resources and seek professional advice where necessary to ensure informed decision-making.
Find out more here:
thenexustoken.com
Web3 Labs:
client@web3lab.dev
Building a future together