The Brinc token protocol provides an alternative token economy that is empirically decentralized, backed, and holds real or “intrinsic” value. The $BRC token’s mission is to provide an alternative to USD-pegged stablecoins by providing decentralization, stability, and capital efficiency.
All $BRC tokens minted into supply are backed 70% by $DAI, which are held in smart contract. Also, protocol and ecosystem fees (minting, burning, trading, and interest) are held as treasury and provide intrinsic value to the governance token, $gBRC.
$gBRC token is a secondary token used to incentivize the ecosystem in order to promote minting, borrowing, and trading of the $BRC token. The $gBRC token has a total supply of 1 Billion which will be distributed to users over a 10 year period.
At the core of the Brinc finance protocol is a bonding curve algorithm and smart contracts which provide for the continuous minting, burning, price and supply calculation. Each $BRC minted requires $DAI to be put into reserve which provides for on-chain reserve backing. And the price of $BRC increases with supply via price accretion as each subsequent $BRC that is minted into supply follows an increasing price function.
Brinc finance is built with solidity smart contracts and deployed entirely on the Arbitrum layer two (Ethereum) network providing scalability.