How is the public price value of IDON protected?
To protect the Idoneus Economy from volatility and the constant changes associated with external economic shocks, and exchange rates, the IDON will always have a minimum value of $10 (USD). This value is based on what is the long-term value of the tradeable luxury goods business on the platform. To protect the economy within Idoneus and to avoid inflation of the value of the IDON Token, a series of rules have been established that are governed by a transparent and auditable algorithm.
Essentially, the operation of the IDON valuation algorithm requires that conditions of use and scale of transactions are met. The first one is very simple, the Token must be re-valued based on the transactions that are carried out in a certain period. If, for example, the transactions increase, the value of the token will rise. A second mechanism has to do with the scalability of the market, the more value available on the platform for 100% IDON, the more positive the impact on IDON value. Conversely, if the amount of value integrated into the platform decreases, there must be a devaluation of the token.
Check this article to learn more about how exactly the IDON price is calculated and governed.