Protected Mode

In Protected Mode, all sellers, whether they are the original or subsequent ones, are required to deposit cryptocurrency as collateral. Upon settlement, each seller must transfer tokens to the buyer according to the trading sequence. This mechanism enhances buyer assurance and reduces default risks.

How Protected Mode Works

How to create a Sell Offer on Protected Mode

For Sell Offers:

Transaction Process

Transaction #1: Alice’s Sell Offer

Alice, the initial market maker, lists 1,000 points for sale at $1 per unit and deposits $1,000 as collateral.

Transaction #2: Bob’s Buy Offer

Bob buys 500 points from Alice for $500. This amount is credited to Alice's balance and is available for withdrawal.

Transaction #3: Bob’s Relisting

Bob, now a maker, lists the 500 points he purchased at a price of $1.10 per point and deposits $550 as collateral.

Transaction #4: Cathy’s Buy Offer

Cathy buys another 500 points from Alice at $1 per unit, paying $500. This amount is added to Alice's balance and is available for withdrawal.

Transaction #5: Dany’s Buy Offer

Dany buys 500 points from Bob at $1.10 per unit, paying $550. This amount is credited to Bob's balance and is available for withdrawal.

Transaction #6: Dany’s Sell Offer at a Lower Unit Price

Dany lists the 500 points at a price of $0.99 per point and deposits $495 as collateral into the smart contract.

Transaction #7: Evan Purchases From Dany

Evan buys 200 points from Dany, paying $198. This amount is credited to Dany's balance and is available for withdrawal.

However, if Dany decides to close the offer early, he retains the remaining 300 points, and the contract refunds $297, which can be withdrawn or used to restore the listing in Dany's balance.

If Dany decides to restore the listing, the offer price must remain $0.99 and cannot be changed. The offer will show a completion progress of 40%, and the wallet balance needs to be topped up accordingly.

⚠️Note: This applies regardless of the balance status in Dany's account.

Settlement Process

• Alice settles 500 points with Cathy.

• Alice settles 500 points with Bob.

• Bob settles 500 points with Dany.

• Dany settles 200 points with Evan.

Maker Bonus Incentives

• The bonus is awarded to those who deposit collateral. Thus, Alice will collect bonuses from Bob and Cathy, Bob will collect bonuses from Dany, and Dany will collect bonuses from Evan.

For Buy/Bid Offers:

The process is the same as in Turbo Mode.

The buy offer only supports one-level relisting.

Transaction Process

• As the Original Offer Maker, Alice posts a buy offer for 1,000 points with a unit price of $1 and pays $1,000 in advance to the platform's smart contract.

• Bob accepts Alice's buy offer and sells 1,000 points to Alice. This transaction results in Bob having a sell-type inventory in his account.

Settlement Process

• Bob will settle 1000 points to Alice after the Token Generation Event (TGE) of the token.

Maker Bonus Incentives

• As part of the transaction, Bob pays a bonus to Alice, which is a mechanism incentivizing liquidity providers.