CaffeineFund Finance

Home
Welcome to CaffeineFund Finance, home to the algorithmic token fork pegged to 0.1 $AVAX on the
Avalanche network!

Introduction
The $CFN algorithmic token serves as the backbone of a rapidly growing ecosystem aimed towards
bringing liquidity and new use cases to the Avalanche network.

The protocol's underlying mechanism dynamically adjusts $CFN's supply, pushing its price up or down
relative to the price of $AVAX.

Inspired by the original idea behind Basis as well as its predecessors (bDollar and soup), CaffeineFund
Finance is a multi-token protocol that consists of the following three tokens:
-CFN ($CFN).
-CSHARE ($CSHARE)
-CBOND ($CBOND).

Protocol Overview
Why CaffeineFund? Tomb.. with a twist!

WHAT IS CAFFEINEFUND FINANCE?

The $CFN token serves as an algorithmic stablecoin pegged to the price of 0.1 AVAX.

The protocol's underlying mechanism dynamically adjusts $CFN's supply, pushing its price up or down
relative to the price of AVAX. This project was built by people who were rugged and wanted a better system
in place to be profitable.
OUR MOTIVATION FOR CREATING CAFFEINEFUND FINANCE
As with all successful projects, we tend to see a huge number of projects forking the base project. The case
in point, Tomb has seen a huge number of aspiring projects forking its codebase in an attempt to mimic its
success. In the case of Tomb, Tomb aims to solve Fantom network liquidity issues by creating a mirrored,
liquid asset that can be moved around and traded without restrictions, all while benefiting from the price
appreciation of the native $FTM token. Tomb's project is a purposeful one, where the ultimate goal of the
project is - to become the primary utility token of the Avalanche network.

What issue does CaffeineFund solves?

For us at CaffeineFund Finance, creating a fork for the sake of it to mimic success is not our goal. We wish
to build a sustainable decentralized reserve currency with the purpose of locking in liquidity for our protocol.

Recently, Tomb has repeatedly went under peg despite its bonding mechanism in place. This creates
uncertainty over investors - when will it go above peg again? At CaffeineFund Finance, we aim to create
Protocol Owned Liquidity (POL) regulating the price of $CFN, keeping it always above bond.

Sound familiar? Yes! An amalgamation between Tomb and OlympusDAO.

FAQ
For all your pressing questions!

Please note that none of this is financial advice. You should do your due diligence to become an informed
investor by doing your own research, coming to your own conclusions, and taking note of the risks and
responsibilities associated with participating in CaffeineFund Finance.

The team is available in the Discord to answer questions, so please reach out if they're not answered here!

Why CaffeineFund Finance?

Why have a token that’s pegged to the price of $AVAX when you could just use $AVAX itself instead?

Good question.

But before we dive into what $CFN could mean for you as an investor, let’s break down the potential impact
of $CFN’s long-term success on the Avalanche ecosystem as a whole.

For Avalanche network to continue running as the fast, secure, and cost-effective blockchain we all know
and love, its validator nodes will continue to rely on its $AVAX token remaining staked and locked up.
Getting Started

1.“Generally speaking, what's the easiest flow to follow for compounding rewards?”

The following is NOT FINANCIAL ADVICE. It is for education and entertainment purposes only.

There are countless strategies, and which one you choose depends on your risk tolerance and short,
medium, and long-term goals. That being said, the "plug-and-play" method is detailed below. Also, take
some profits along the way. Don't get too greedy.

If $CFN is OVER the peg:

-Buy $CFN and pair it with $AVAX to provide liquidity, and stake your CFN-AVAX LP in the farm to earn
$CSHARE rewards.
-Take your $CSHARE rewards and stake them in the Boardroom to earn inflationary $CFN rewards.
-Sell half of your earned $CFN for $AVAX, and compound it back into the CFN-AVAX LP.
-Profit!

2. "What is 50/50?"

50/50 is the method best suited to provide stability for both the platform and for your underlying investment.
By boosting liquidity, the 50/50 strategy reduces price volatility, and helps $CFN stay above the peg for
longer to keep the Boardroom printing. This, in turn, attracts new investors and keeps the ecosystem
growing.

1)When you claim your $CFN rewards in the Boardroom, sell 50% of them for $AVAX.

2)When you go to provide CFN-AVAX LP, stake the entirety of your remaining CFN with the $AVAX you've
just purchased.

3.“There are so many auto-compounding vaults, what should I do?”

If you are in a $CFN-AVAX LP auto-compounding vault, you are creating buy pressure on $CFN. If you are
in a $CSHARE-AVAX LP auto-compounding vault and you also hold $CSHARE elsewhere, the auto-
compounding vault will be suppressing its price since it is continuously selling $CSHARE.

(Please Note: Always proceed with caution. We DO NOT recommend putting more than 5% of what you are
staking on $CFN into a single auto compounder. Defi involves significant risks and users should manage
risks accordingly. For example, users should only put in what they are willing to lose. DO NOT invest your
life savings and do your homework before getting active in Defi.)

Terms and Mechanisms

1. "What is an expansionary epoch?"

An expansionary epoch is the amount of $CFN that is printed by $CSHARE in order to increase the total
circulating supply.
To simplify the explanation with a hypothetical example, let’s say an epoch is 3 days long and there are
$100 dollars in the circulating supply.

If the money printer grows the supply by 10% of the existing circulating supply each day, at the end of the 3
days you'd have 100*1.1*1.1*1.1 = $133.

Then, let’s say the emissions decrease to 5% per day.

You’d then have $133 *1.05 *1.05 *1.05 = $153 at the end of this second epoch.

2. “What is compounding in the context of 2omb?”

Earning a return on gains you've already made from previous periods is what is commonly referred to as
compounding.

For example, consider a 3% daily APR on an initial investment of $100.

After 24 hours it would grow to $103.

After 365 days without compounding: $1195.

After 365 days, compounding once daily: $4,848,272.

Boardroom

1.“Once CBONDs are emitted, does the Boardroom stop printing $CFN until we are above peg
again?”

Staking $CSHARE will give you $CFN rewards when the price of $CFN is above the peg (AVAX), but not
when it is under the peg.

2. “What happens if I interact with the Boardroom in any way?”

Any interaction with the boardroom will reset both timers. That's 1 epoch (6 hours) to withdraw your CFN
rewards, and 2 epochs to unstake your 2share (12 hours).

3. “Are the Boardroom rewards pro-rated by time? I.e if I stake three hours before the end of an
epoch vs five hours before the end of an epoch, do I get different rewards?”

No, it's determined by how much you have staked at the time of printing (i.e. end of one epoch and start of
the other). It doesn't matter if you stake 3 hours before or 30 seconds before the emissions occur.

4. "If I remove my $CSHARE from Boardroom without first collecting my $CFN, will it be lost
forever?"

No, it will still be there to collect whenever you need.

5. "The Boardroom APR dropped because we're in a 'debt phase.' What does this mean?"
A debt phase takes place on the expansion epochs that start after a contraction period where there are still
$CBOND to be redeemed.

65% of Expansion during Debt Phase is allocated to the Treasury Fund to prepare for the CBOND
Redemption. This amount is still reserved whether or not CBOND holders are redeeming bonds or not.

Once CFN in treasury is sufficiently full to meet all circulating bond redemption, expansion rates will resume
to normal.

6. "If we're in a debt phase, how long will it last until Boardroom continues printing as normal?"

The debt phase will last as long as is necessary to adequately pay back outstanding $CBOND debt. Please
keep in mind that the DAO will also need to collect a little extra, as there needs to be a cushion to cover the
bonuses when people redeem $CBOND over peg.

There's no exact way of calculating how many epochs it takes since we don't know exactly when people will
redeem their $CBOND. If the debt phase is ended too early, and then the treasury doesn't have enough
$CBOND to repay the $CBOND bonus, then the APR restriction would need to be turned back on.

7. "At the end of the epoch, the Boardroom did not print $CFN, and then no $CBOND(s) were issued
in the farm. Why?"

There is a balanced state "at peg" when $CFN's TWAP is between 1.00 and 1.01, and this means there is
neither contraction nor inflation.

8. "If CFN continues climbing above the price of the peg, will that influence how long the debt epoch
lasts?"

Depending on the price of CFN, the Boardroom print will have to adjust to provide a buffer for any unclaimed
CBOND. As the price of CFN climbs above the peg, more CFN needs to be distributed to the treasury to
account for CFN bonus redemption.

Protocol
Genesis Pools & Token Allocation
Lets Talk Genesis!

Deposit tokens into the Genesis pools and receive CFN tokens continuously for up to 2 days! You can
proceed to use the accumulated CFN to provide LP and earn rewards by farming the LP from the 7rd March
at 1400 UTC.

The Genesis pools charge a small one-time deposit fee of 1%. These funds will support the development
costs of building our ecosystem, which will provide significant long-term value to CFN and CSHARE
holders. We decided to go with this fee model because capital appreciation of CFN and CSHARE is where
the money is made. A small team/treasury allocation encourages price appreciation of our tokens to
the benefit of all participants. Too many protocols wrongly give the founders massive token allocations,
only to be immediately dumped on the market. Check out the 'Tokens' section for a detailed breakdown of
the token allocation.

Pool Reward Distribution

There will be 4 Genesis Pools, allowing you to earn CFN rewards by depositing wAVAX, USDC, MIM and
JOE. Their allocation is can be shown below:

AVAX 1% Deposit Fee, 30% allocation

USDC 1% Deposit Fee, 30% allocation
MIM 1% Deposit Fee, 30% allocation
JOE 1% Deposit Fee, 10% allocation

Tokens

$CFN- CaffeineFund Finance Token

$CFN token is designed to be used as a medium of exchange. The built-in stability mechanism in the
protocol aims to maintain CFN's peg to 0.1 AVAX token in the long run.

Note that CaffeineFund finance actively pegs via the algorithm, it does not mean it will be valued
at 0.1 AVAX all times as it is not collaterized . $CFN is not to be confused for a crypto or fiat-
backed stablecoin.

$CSHARE- CaffeineFund Finance Share Token

CaffeineFund Share ($CSHARE) are one of the ways to measure the value of the CaffeineFund Protocol
and shareholder trust in its ability to maintain $CFN close to peg. During epoch expansions the protocol
mints $CFN and distributes it proportionally to all $CSHARE holders who have staked their tokens in the
Boardroom.

CSHARE holders have voting rights (governance) on proposals to improve the protocol and future use
cases within the CaffeineFund Finance ecosystem.

CSHARE has a maximum total supply of 70,000 tokens distributed as follows:

Team Allocation: 10499 CSHARE vested linearly over 9 months

Initial mint: 1 CSHARE minted upon contract creation for initial pool
 Remaining 59500 CSHARE are allocated for incentivizing Liquidity Providers in two shares pools for 9
months

$CBOND- CaffeineFund Finance Bonds

CaffeineFund Finance Bonds ($CBOND) main job is to help incentivize changes in $CFN supply during an
epoch contraction period. When the TWAP (Time Weighted Average Price) of $CFN falls below 0.1 AVAX,
$CBONDs are issued and can be bought with $CFN at the current price. Exchanging $CFN for $CBONDs
burns $CFN tokens, taking them out of circulation (deflation) and helping to get the price back up to 0.1
AVAX. These $CBONDs can be redeemed for $CFN when the price is above peg in the future, plus an extra
incentive for the longer they are held above peg. This amounts to inflation and sell pressure for $CFN when
it is above peg, helping to push it back toward 1 AVAX.

All holders are able to redeem their $CBOND for $CFN tokens as long as the Treasury has a positive
$CBOND balance, which typically happens when the protocol is in epoch expansion periods.

Note that contrary to early algorithmic protocols, CBONDs do not have expiration dates.

Platform

Boardroom

Epoch duration: 6 hours

Deposits / Withdrawal of CSHARE into/from Boardroom will lock CSHARE for 6 epochs and CFN
rewards for 3 epochs.
CFN rewards claim will lock staked CSHARE for 6 epochs and the next CFN rewards can only be
claimed 3 epochs later

Distribution of CFN during Expansion 80% as Reward for $CSHARE stakers. 15% goes to DAO fund
5% goes to DEV fund

Epoch Expansion: Current expansion cap base on CFN supply, if there are bonds to be redeemed, 65%
of minted CFN goes to treasury until its sufficient to fully meet bond redemption. If there is no debt it will
follow max capped expansion rate.

Boardroom UI Available information

Next Seigniorage indicates a countdown timer to the next epoch. (Each epoch duration lasts for 6
hours)APR refers to the simple returns in USD value relative to the amount of CSHARE staked (USD
value). Note: APR fluctuates from time to time and is dependent on certain factors such as:
 Price of CFN

Price of CSHARE

Amount of CSHARE staked in Boardroom (Locked Value)

Boardroom on Contraction Periods

Boardroom will not mint any CFN (NO REWARDS ON Boardroom) while TWAP < 0.102

Boardroom on Debt Phase

Debt Phase take place on the expansion epochs that start after a contraction period where there are still
$CSHAREs to be redeemed.

65% of Expansion during Debt Phase is allocated to the Treasury Fund to prepare for the $CSHARE's
redemption. This amount is still reserved if whether CBONDs holders redeem or not .

Once $CFN in treasury is sufficiently full to meet all circulating bond redemption, expansion rates will
resume to normal.

$CBONDs emitted per epoch during contraction periods can be found on Regulations.

Shares
Stake your LP to earn CSHARE tokens

Shares Pools (Shares Reward) available for 9 months:

CFN-AVAX LP: 29750 Shares

CSHARE-AVAX LP: 29750 Shares

Bonds
CBOND (bond tokens) are available for purchase when CFN falls below the 0.1 AVAX peg.

If CFN's TWAP is between 0.1 and 0.101, neither CBONDs nor CFN will be issued.

e.g. if CFN's TWAP < 0.1, exchange CFN for CBOND will be in a 1:1 ratio.
CBOND (bond tokens) are available for redemption when CFN goes above the 0.1 AVAX peg.

To encourage redemption of CBOND for CFN when CFN's TWAP > 0.11 and incentivize users to redeem at
a higher price, CBOND redemption will be more profitable with a higher $CFN TWAP value, of which
CBOND to CFN ratio will be 1:R, where R can be calculated in the formula as shown below where coeff =
0.7:

R=1+[(CFN(twapprice)−1)∗coeff)]

Bond Mechanism
CBONDs!

What is CBONDs (Bonds)?

Bonds are unique tokens that can be utilized to help stabilize CFN price around peg (0.1 AVAX) by reducing
the circulating supply of CFN if the TWAP (time-weighted-average-price) goes below peg (0.1 AVAX).

When can I buy CBonds(Bonds)?

CBond can be purchased only on contraction periods when TWAP of CFN is below 1.

Every new epoch on contraction periods, CBONDs are issued in the amount of 3% of the current CFN
circulating supply, with a max debt amount of 35%. This means that if bonds reach 35% of the circulating
supply of CFN, no more bonds will be issued.

Note: CBOND TWAP (time-weighted average price) is based on CFN's price TWAP from the previous
epoch as it ends. This means that CFN TWAP is real-time and CBOND TWAP is not.

Where can I buy CBOND (Bonds)?

You can buy CBONDs if any are available, through xxx. Anyone can buy as many CBONDs as they want as
long as they have enough CFN to pay for them.

There is a limit amount (3% of CFN current circulating supply) of available CBONDs per epoch while on
contraction periods, and are sold as first come first serve.

Why should I buy CBOND (Bonds)?

First and most important reason is that bonds help maintain the peg, but will not be the only measure used to
keep the protocol on track, more on that in the DAO Fund section here.

CBONDs don't have an expiration date, so you can view them as an investment in the protocol because
long term you get benefits from holding bonds.

Incentives for holding CBOND

The idea is to reward CBOND buyers for helping the protocol, while also protecting the protocol from being
manipulated by big players.
So after you buy CBOND using CFN, you get 2 possible ways to get your CBOND back:

1. Sell back your CBOND for CFN while peg is between 0.1 - 0.11 (0.1 AVAX) with no redemption bonus.
This is to prevent instant dump after peg is recovered

2. Sell back your CBOND for CFN while peg is above 0.1 AVAX with a bonus redemption rate

The longer you hold, the more both the protocol and you benefit from CBOND.

Example:

1. When CFN= 0.8, burn 1 CFN to get 1.2 CBOND (CBOND price = 0.8)
2. When CFN= 1.15, redeem 1 CBOND to get 1.105 CFN (CBOND price = 1.27)

So, which one is better?

If I buy CFN at 0.8, and hold it until 1.15 and then sell, I'm getting +0.35$ per CFN

But, if I buy CFN at 0.8, burn it for CBOND, and redeem it at 1.15, I'm getting 1.105 CFN* 1.15 (CFN current
price) = 1,271 (+0.47$) per CBOND redeemed.

But what if getting back to peg is taking too long?

We are going to adjust our use cases, to have different behaviors on contraction and expansion periods to
benefit CFN and CBOND holders when needed.

When can I swap CBOND for a bonus?

CBOND TWAP (time-weighted average price) is based on CFN price TWAP from the previous epoch as it
ends. This means that CFN TWAP is real-time and CBOND TWAP is not. In other words, you can redeem
CBOND for a bonus when the previous epoch's TWAP > 1.1.

Contracts

CFN: 0x3873788Acb34a7d67e90F053da8598aEF76298c6

CSHARE: 0x41160139986dFfE2011a07fbB5F4B316200A5419

CBOND: 0xFAFE77e5324A66b97DA9993aF71ab914E3024980

Genesis: 0x83132692798c7EE0f6F3F878165E7038D13414f8

CshareRewardPool: 0x803b87cC88B701E4F871939826944e1d0413747c

Boardroom: 0xf916Dc7bfEAd1cA29cB1aCE71D82dFF68Cc12291

Treasury: 0x749f6eeA4f5CF46b3b16ac5E5f6f9C177606f43a
Oracle: 0xEB25C6593C2f31064D006d9f9371212799cD96CA

ZAP: 0x6E472DEC7a3E2498E3B1c86a37eE8D158Eff3f20

CFN-AVAX: 0x504183690063734eAAd4f53b77729266b28E3b60

CSHARE-AVAX: 0x190a83FdaC8560d0e6ED2ab00dDE62D648A46747

Guide
How to add AVAX chain to your metamask wallet

Step 1. Metamask setup

Before being able to buy CFN, we first need to setup our Avalanche network on Metamask.
In order to do so, please open your Metamask wallet and select network; Custom RPC.

Now put in the following in order to setup your Avalanche wallet.

1. Network name: Avalanche network
2. New RPC URL: https://api.avax.network/

3. ChainID: 0xa86a

4. Symbol: AVAX
5. Block Explorer URL: https://cchain.explorer.avax.network.

How to wrap AVAX

Brief guide on how to switch your AVAX to wAVAX using the official AVAX wallet.

Step 1. In order to wrap AVAX you can head over to the official AVAX wallet; https://wallet.avax.network/

Step 2. On the left bottom corner you will find a "DeFi" tab. Click on it which will bring you to the next page.

Step 3. Click on fSwap, here you will be able to swap your AVAX to wAVAX. wAVAX is the wrapped version
of AVAX. You can swap your AVAX and wAVAX back and forth as many times as you like.

How to buy $CFN

Your ticket to the moon.. literally.

Before we are able to make our $CFN purchase, we first need to transfer AVAX into our wallet from any CEX
supporting AVAX.
Lets use Binance as an example.

Make sure you have Avalanche (AVAX) in your Binance wallet, if not, purchase AVAX on Binance.
Go to your wallet, look for AVAX and click on Withdraw.

Copy/Paste your Metamask AVAX Wallet address.

Please choose the AVAX (AVAX Chain) and insert the amount you want to send to your AVAX Wallet.

Please note there is a small transaction fee for transferring AVAX from your Binance wallet to your AVAX
Metamask wallet.
Now press submit and wait for your AVAX to arrive in your AVAX Metamask Wallet.
Oh and did we forget to mention that AVAX-transactions are one of the fastest on the Blockchain and are
almost instant!?

Now that you succeeded in transferring AVAX into your Metamask wallet, please go to
https://traderjoexyz.com/trade and swap your AVAX for CFN.

If CFN does not show up on the Exchange, please use the address provided below to purchase CFN .
Simply copy/paste the address.

CFN: 0x3873788Acb34a7d67e90F053da8598aEF76298c6

or use this link: https://traderjoexyz.com/trade?

outputCurrency=0x3873788Acb34a7d67e90F053da8598aEF76298c6#/

And voila you are a $CFN holder.

Creating Liquidity

What are liquidity pools ?

A liquidity pool is essentially a pool of tokens that are locked by a smart contract. The main purpose of these
pools is to help provide liquidity and facilitate trading on exchanges. They do this by giving users of the
exchange a means to buy and sell.

Providing liquidity is possible on TraderJoe. Head over to the Liquidity tab on the left side of your screen.
Connect your wallet (Make sure your Metamask is on the Avalanche network). Now you have to choose
Ingredient A and B. Ingredient A will be AVAX and ingredient B will either be $CFN or $CSHARE. If CFN or
CSHARE do not show up, please copy/paste the address shown below manually.

As such, liquidity pools are used by Automated Market Markers (AMM) to minimize drastic price changes
(volatility) on crypto exchanges. This characteristic makes liquidity pools ideal for new coins or tokens that
do not have a large user base.

For the Avalanche project, we will use TraderJoe.

CFN: 0x3873788Acb34a7d67e90F053da8598aEF76298c6

CSHARE: 0x41160139986dFfE2011a07fbB5F4B316200A5419
Creating a CFN/AVAX liquidity pool

Head over to https://www.caffeinefund.finance/ and use LP Zap at the bottom of the website.
You will need to have a 50/50 ratio of CFN and AVAX, you can buy CFN using
https://traderjoexyz.com/trade?outputCurrency=0x3873788Acb34a7d67e90F053da8598aEF76298c6#/ and
swapping your AVAX for GRAVE.

Creating a CSHARE/AVAX liquidity pool

Head over to https://www.caffeinefund.finance and use LP Zap at the bottom of the website.
You will need to have a 50/50 ratio of GSHARE and AVAX, you can buy GSHARE using
https://traderjoexyz.com/trade?outputCurrency=0x41160139986dFfE2011a07fbB5F4B316200A5419#/ and
swapping your AVAX for GSHARE.

What's next ?
Head over to the next page to see how you can benefit on a high APR from the Liquidity Pool tokens you
have just created

Resource
Our Socials
Here are all the links to our social media!

Twitter: https://twitter.com/CaffeineFund

Discord: https://discord.gg/9BV3bTd646

Charts
Fast links towards our charts

CFN: https://dexscreener.com/avalanche/0x3873788Acb34a7d67e90F053da8598aEF76298c6
CSHARE: https://dexscreener com/avalanche/0x41160139986dFfE2011a07fbB5F4B316200A5419