# DawnStar Finance

**The First Algorithmic Stablecoin on Polygon backed by real yields & pegged to the price of 1 MMF via seigniorage.**

$DSF is pegged to the price of 1 MMF via our unique and sustainable strategies. $SOLAR function as the governance token for DawnStar Finance platform.

The key differentiators are as follows

1. **DSF** token will be **algorithmically pegged to MMF** (Polygon) token
2. **Primary liquidity** will be held in **DSF-MMF LP** pools: This creates a huge lock-up in MMF tokens into liquidity, creating more utility for MMF tokens.
3. A **bailout fund**: If all mechanics fail to allow the protocol to regain peg, the devs will step in with **MMF** to help **DSF regain its peg to MMF**.
4. Unlike other projects that peg their tokens to other tokens which they have no control over. We **hold control of the MMF trajectory** and thus, am able to ensure that the goals of **price appreciation** for both tokens are aligned.
5. **A supply growth algorithm** based on circulating supply instead of total supply. This means that we have **supply expansion that is modulated** a lot more meaningfully. Tokens that are burned or bought back is now discounted from supply growth, which is a greater representation of the true demand of the DSF token.
6. DSF will seek to be **pegged by both real-yields and seigniorage**. How so? We currently operate a DEX that has **revenues that is sent to our DAO** to back DSF. Also something large has been overlooked. Our team did **signal our intention to build a perpetuals DEX** that has the ability to generate close to $400k USD daily revenue that will also be sent to back DSF.
7. Tokenomics have been reviewed and **our new mechanics encourage users to hold and stake their tokens** more than previously, and **a better supply expansion algorithm** will be used.


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