# Savanna Finance

We are SVN (Savanna) Finance, an algorithmic stable coin platform with our main token **SVN** currently pegged to the value of 1 **MMF**. An Algorithmic Stable Coin (ASC) is a non-collateralized stablecoin tailored for improving price stability. 

The beauty of algorithmic stable coins is that they are much more capital efficient than their collateralized cousins. 

With our experience in the defi space and us working towards expanding this idea of capital-efficient algorithmic stable coin, we are able to build on previous iterations to expand the basis of the MMF ecosystem.

Savanna Finance’s full focus is to build a true cross-chain algorithmic stable coin protocol that is stabilized with true use-cases all around the DeFi Ecosystem.

## The Big Picture

The **SVN** algorithmic token serves as the backbone of a rapidly growing ecosystem aimed towards bringing liquidity and new use cases to the [MMF Ecosystem](https://mm.finance/).\
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The protocol's underlying mechanism dynamically adjusts **SVN**'s supply, pushing its price up or down relative to the price of **MMF**.

We will  adopt a three token structure: [SVN, MSHARE, MBOND](https://mmfinance.gitbook.io/savanna-finance/protocol/tokens). 

* **Savanna Token (SVN)**: the algorithmic token pegged to **MMF**
* **Meerkat Share (MSHARE)**: which holders can claim **SVN** inflation when the network expands
* **Meerkat Bond (MBOND)**: which can be purchased when the network is in contraction and can be redeemed for **SVN** when the network comes to its deflationary phase

The entire Mad Meerkat ecosystem is positioned to be the centrepiece of DEFI development on the Cronos chain. This is due to the existing products that the MM team already has, and with sensible huge ticket items on our roadmap, we are confident of being the flagship brand on Cronos chain (one day). When that happens, the **MMF** token will be one of the largest utility token on the Cronos chain, with one of the largest liquidity pools. MMF dex already has one of the largest trading volume on Cronos Chain right now with MMF tokens being the top 3 highest traded alt coin on Cronos.

## Why launch SVN?

SVN Finance is a protocol that supports this notion above, and hence seeks to support this goal, with the main token of **SVN**. This token acts as a mirror-ed asset to the **MMF** token, where 1 **SVN** equals to 1 **MMF** in value. The idea of a mirror-ed asset for MMF is going to be a very important one, because the introduction of the MMF protocol coupled with huge launchpad burns will rapidly reduce circulating MMF. This will result in a supply squeeze where MMF tokens will experience huge price bumps. While this is ideal for token holders, this will also present challenges, because there will now be huge volatility, and thus will dissuade potential investors from joining our ecosystem.\
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This is why there is a need to launch SVN Finance, with a mirror-ed asset of **SVN** that will help to balance volatility for the future. **SVN** tokens will eventually be used for MMFinance launchpads when volatility of MMF hits such a point where it is sensible to do so. However, it is important to note that even if we were to use **SVN** tokens for launchpads, this does not mean that MMF tokens will dump in price. 

> In fact, since SVN and MMF are fully pegged, any buys on SVN will result in the same price increment for MMF. 

This is a set of mechanics that ensures to grow the value of MMF original token holders, and SVN Finance is a bullish development overall for the MMFinance ecosystem.

## What differentiates SVN from other algorithmic tokens?

Unlike previous algorithmic tokens, **SVN** is not pegged to a stable coin— it is instead pegged to **MMF**. On top of that, unlike other projects, we are able to build on top of our existing MMF ecosystem which allow us to have better control on how the mechanics between these 2 tokens interact.

The team believes in the full potential of MM Finance, and are thoroughly devoted to provide value to and derive value from MMF's future growth.

One of the primary shortcomings of past algorithmic tokens has been a lack of use cases, leaving no good reason for somebody to want to use or hold them. In order to successfully maintain the peg in the long-run, the MM team will maintain a focus on innovation around enhanced functionality and use cases. 

We adopted a three token structure: **SVN, MSHARE, MBOND**. Here is what makes SVN Finance different:

* SVN token will be **algorithmically pegged to MMF** token (NOT CRO).
* **Primary liquidity** will be held in **SVN-MMF LP** pools: This creates a huge lock-up in MMF tokens into liquidity, creating more utility for MMF tokens.
* Protocol is primarily setup as a **DAO that aims to accumulate MMF tokens** to lock for veMMF.
* Addition of a **bailout fund**: If all mechanics fail to allow the protocol to regain peg, the devs will step in with MMF to help **SVN regain its peg to MMF**.
* 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.