Neutrino System Base Token (NSBT) is a utility and governance asset for the Neutrino system that is designed to ensure the stability of reserves on the Neutrino smart contract through the mechanism of reserve recapitalization.
By investing in NSBT holders get the power to influence decisions concerning the Neutrino protocol, product or feature roadmap, and changes to governance parameters. The pricing of NSBT depends on the so-called BR parameter, or Backing Ratio: the proportion of reserves in relation to the supply of USDN.
The NSBT price depends on the value of the collateral ratio or BR (Backing Ratio). You can find out its current value here. The price of NSBT is formed according to the formula, which is saved in the NSBT FAQ.
If BR <100%, the current discount for the purchase of NSBT for WAVES is calculated at a price less than 1 USD with the subsequent exchange of NSBT for USDN for 1 USD. In other words, you buy NSBT for less than 1 USD and then sell for exactly 1 USD and thus make a profit. You can always quickly and conveniently buy crypto using a bank card or AdvCash wallet. Also, you can buy WAVES on the exchange for any cryptocurrency you like.
With BR> = 100%, the price of NSBT in USD equivalent becomes more than 1 USD. However, even by purchasing NSBT for more than 1 USD, you have the opportunity to earn money by selling them on the exchange when the price rises. By investing in NSBT, you have the opportunity to influence decisions regarding the Neutrino protocol, product roadmap, and its features, and also to change control parameters. Voting is the first implemented feature to manage the Neutrino protocol using NSBT.
By investing in NSBT, you have the opportunity to influence decisions regarding the Neutrino protocol, product roadmap, and its features, and also to change control parameters. NSBT holders can vote for one or another stablecoin, which, if it wins the vote, will be issued based on the Neutrino protocol. All stablecoins are pegged to world currencies. To exchange them, you can use the DeFo interface in the Waves.Exchange application.
In the future, NSBT holders will be able to vote on specific parameters of the pricing curve, and, ultimately, on the main assets, except for the WAVES asset. NSBT is a synthetic instrument that combines speculative value and voting functionality. In addition to this, NSBT may get an utility beyond this governance aspect, as users can lock NSBT up as collateral to create other DeFo assets like GOLDN, i.e. Neutrino Gold.
If you have any questions related to Waves.Exchange, feel free to contact us via customer support.
tags: governance voting nsbt defo neutrino br