Tokenomics
HAMMER Tokenomics
Hammer Finance’s native coin, HAMMER, serves many vital roles in the network.
Settlement Asset
HAMMER serves as the settlement currency between all supported assets, ensuring that any two
assets can be swapped directly. For example, a BTC -> ETH transaction goes from BTC to HAMMER
to ETH without the swapper needing to use HAMMER.
Economic Security
Hammer Finance is secured by Proof-of-Stake. Node operators must bond HAMMER to enter into the
network. Their total value bonded is greater than the assets they secure, ensuring
cooperation and maintaining economic security for assets held by the network.
Aligned Incentives
A balance between the amount of bonded HAMMER and pooled HAMMER is key to a secure and liquid
network. If the network is under-bonded, node operators are incentivized to increase their
bonds, if it’s over-bonded, liquidity providers are incentivized to pool more assets.
Value and Utility
Increasing Hammer Finance’s swap volume grows fees for liquidity providers, which leads to deeper
pools and better prices, resulting in higher volume. This cycle drives value to HAMMER.
METRICS
HAMMER Metrics
HAMMER’s price has two factors: a deterministic value based on the liquidity within the network, and a speculative premium.
Its 2:1 bond:pool ratio, combined with the 1:1 HAMMER-Asset pairs in the liquidity pools means that the value of HAMMER needed in the network is three times the value of the non-HAMMER assets locked.
If $1,000,000 worth of non-HAMMER tokens are deposited in Hammer Finance, the market cap of HAMMER will be at least $3,000,000. This is just the minimum, or deterministic value, of HAMMER.
Calculator
HAMMER Price Calculator
HAMMER accrues value as more native assets are secured by the Liquidity Pools. Use this tool to calculate the deterministic price of HAMMER based on the total value locked on Hammer Finance.
Community
Join the community
Follow Hammer Finance’s social pages for additional information about the network.
Hammer Finance
Explorers