💸Economy
The Oxya Origin economy is a carefully designed ecosystem that balances progression, interoperability, and long-term sustainability, powered by the native token $OXYZ and premium game currencies (OXYA only for now).
$OXYZ as the Ecosystem's Heart
Acts as a unifying currency across all games in the ecosystem.
Managed through a central bank to control inflation via a bonding curve.
Limited supply ensures long-term value, with demand scaling as new games and players join.
Game Currencies
Each game, like Road to Genesis, features its own premium in-game currency (here, OXYA).
Premium currencies are earned by season pass holders and Avatar owners through gameplay and used to craft collectibles.
Crafted Assets
In-Game Crafted Assets: Earned through progression with unique stats and qualities that impact gameplay.
On-Chain Collectibles: Crafted on Lands, minted as NFTs, and fully tradable. These items are purely cosmetic or collectible, avoiding pay-to-win mechanics.
HeadQuarters assets are exceptions, where crafted items directly contribute to strategic gameplay in a competitive, resource-driven PvP environment.
The Bank: Mission Statements
The Bank serves as the backbone of the Oxya Origin economy, ensuring economic stability, fostering player engagement, and maintaining the sustainability of the ecosystem. Its key missions include:
Facilitating Token Exchange: Seamless conversion between $OXYZ and OXYA ensures liquidity, accessibility, and smooth in-game economic activities.
Staking and Rewards: Manages staking programs for eligible ecosystem assets, rewarding players with OXYA tokens and encouraging active participation.
Economic Stability: Maintains a sustainable financial system by balancing the supply of $OXYZ and OXYA, minimizing inflation and speculation.
Rewarding Engagement: Incentivizes free-to-play players with OXYA earnings across game modes, nurturing an inclusive and thriving community.
Enhancing Interconnectivity: Functions as the central hub connecting gameplay, crafting, and trading for a cohesive economy.
The Bank's Policy Instruments
The Bank employs sophisticated tools to achieve its mission and manage the interplay between OXYA, $OXYZ, and market dynamics:
1. Fixed OXYA/USD Exchange Rate
OXYA is pegged at 1 OXYA = 0.01 USD (temporary rate), protecting players from market speculation and ensuring price stability for in-game activities.
2. $OXYZ/OXYA Exchange Rate
Calculated as: $OXYZ/OXYA = $OXYZ/USDC ÷ OXYA/USD
Adjustments align with $OXYZ's market price, ensuring OXYA maintains its fixed USD value. For example, if $OXYZ = 0.025 USDC, the exchange rate becomes $OXYZ/OXYA = 25.
3. OXYA/$OXYZ Exchange Rate
Determined by a virtual Automated Market Maker (vAMM). The vAMM:
Absorbs market fluctuations and smooths $OXYZ outflows.
Prevents bank runs by dynamically increasing $OXYZ prices when OXYA demand surges.
Protects against arbitrage by ensuring OXYA/$OXYZ remains below the inverse of $OXYZ/OXYA.
4. Virtual Trades and Reserves
The Bank replenishes $OXYZ reserves by conducting virtual trades, removing OXYA from circulation.
The bonding curve mechanics (XY = k) ensure dynamic price adjustments based on reserve balances, stabilizing the ecosystem.
The vAMM Mechanism
Bonding Curve: Governed by the invariant XY = k, where X = OXYA reserves, Y = $OXYZ reserves, and k is a constant.
Dynamic Pricing: Exchange rates fluctuate with reserve ratios. For example, exchanging x OXYA yields: y = Y - k / (X - x)
Refilling Reserves: Virtual trades add $OXYZ and remove OXYA, balancing supply and demand to maintain stability.
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