Bitcoin Forum

Introduction:

RFI is an innovative Ethereum token that re-imagines the concept of DeFI yield generation.
At its core, RFI charges a 1% transaction fee and re-distributes that fee to existing RFI holders instantly and automatically at the time of each transaction.
Unique features of the RFI smart contract allow certain addresses like the Uniswap pool or exchange wallets to be blocked from earning fees.
Because of this, 100% of the fees generated go to holders of the token. The percentage of fees you earn is calculated by the percentage of RFI that you own among holders. This generates a much higher yield than would otherwise be possible.
There is no team or central party that has to award the fees. There is no interface to claim the fees. No action needs to be taken on your part other than to hold RFI in a wallet you control.

The Problem
The overwhelming majority of DeFi projects require trust in a central party and interaction with complex, buggy, and easily hacked contracts.
Rewards for interacting with these contracts often come from the minting of new tokens, necessitating confusing (and usually centralized) economic mechanisms that attempt to give the underlying reward token some value.
Developers who design and implement these economic reward mechanisms typically have no expertise in economics.
This places an enormous amount of risk on individuals that choose to interact with DeFi smart contracts. For simplicity, lets break down some of the different kinds of risk accepted by your average DeFi participant:

- Price and Market risk: Price movements of a specific token or the market as a whole that negatively affect the token holder.
- Trust related risk: Individuals or teams behind a project performing actions that negatively affect the token holder (rug pulls, large token unlocks and dumps, etc..)
- Security risk: Vulnerabilities in smart contracts or interfaces that the token holder interacts with.
- Economic Design risk: Tokenomics that are poorly designed and unsustainable.

The Solution
RFI is uniquely designed to address these problems and reduce the aforementioned risks. Lets look at how RFI reduces each of the risks mentioned in the previous section:
- Price and Market risk: These risks come with any free market. Anyone claiming to guarantee a specific yield or eliminate this risk are lying to you.
- Trust related risk: No ICO, No Pre-sale, No Fundraising. No vaults or treasuries. No community funds that could be mismanaged. No website or interface is required for the token to function. As long as Ethereum exists, RFI fees will be generated and distributed with each transaction.
- Security risk: Because fee generation AND distribution is baked into the core smart contract, security risk is greatly reduced. No external contracts or interfaces need to be interacted with in any way.
- Economic Design risk: RFI has a fixed cap of 10M. The yield comes from transfer fees instead of newly minted tokens. As you earn fees, the percentage of the total supply you own is increasing. Earning network fees is an established and tested method of earning yield.

The Elephant in the Room — Opportunity Cost
Beyond the extreme risks involved with DeFi, individuals must stake or park their tokens in a contract to earn a yield. There is a massive opportunity cost associated with this as participants could be using their locked tokens to earn a yield some other way but are unable to seize that opportunity while the tokens are locked.
Lets look at how RFI addresses opportunity cost.
RFI fees are awarded automatically and do not require any transaction to be executed by the holder in order to earn fees. This allows RFI to be used in any other smart contract in addition to earning yield from the transaction fees.
To facilitate this, the RFI smart contract exposes some new methods that allow other smart contracts to easily determine the fees earned by each address for any period of time even when funds are pooled together. This is a huge leap in DeFi that enables the direct staking of RFI and double yield generation.
For example, you could lend your RFI on a third party app and earn a yield from that while still earning fees from RFI transfers. The lending contract could use RFI’s new methods to easily determine the fees earned on the amount you provided during your interaction with the lending contract.
By reducing friction and eliminating the burden of contract interaction to earn a yield, RFI is truly a step forward in DeFi.

A Fair and Free Market
The RFI smart contract is complete at launch. There was no ICO, no pre-sale, and no fundraising of any kind. There are no more features to add. There is no individual or team to be relied upon to give RFI any value.
95% of the total fixed supply of 10M tokens goes into the initial Uniswap liquidity pool.
5% of the total fixed supply of 10M tokens goes to a 15 day yield farming program where they can be farmed by holders of Flow Protocol.

Yield Farming with Flow Protocol
There are few truly decentralized cryptocurrencies in this space. Flow Protocol (https://flowprotocol.io) is one of those projects which is also backed up with secure, formally audited contracts.
Flow Protocol addresses a long standing economic problem called the Cantillon Effect, where specific parties benefit from monetary inflation before others. Flow Protocol combats the Cantillon Effect with non-dilutive transactionless inflation, automatically increasing the balance of each holder daily without the need for a single transaction. This method allows for the token to be applied to modern DeFi use cases (like yield farming RFI) without diluting the token holders.

As a nod to the innovation and decentralization of Flow Protocol, 5% of the RFI supply can be earned over 15 days by staking FLOW/ETH LP tokens from Uniswap.

source: https://reflectfinance.medium.com/introducing-reflect-rfi-362b97e3670d (https://reflectfinance.medium.com/introducing-reflect-rfi-362b97e3670d)

I bought 31.000 FRI yesterday and already earned a little over 120 FRI in fees worth ~$25.
That's 0,4% "interest" in one day and people just now start to discover this, so this can only grow.

I'm purely curious and this is an honestly puzzled question: wasn't your theory a little bit backward?

They put a flat 1% fee on every transaction and divide them amongst holders proportionally in staking model. So, if someone keeps holding, let's say, 31,000 FRI and the numbers of holders grow as the project gain popularity and people start discovering, it can only shrink perpendicularly with the growth of of token holders, because the sum of stakes will grow too.

FOK! sent me.

"No action needs to be taken on your part other than to hold RFI in a wallet you control" - I really like this part ;D But how then we can earn money if we  do nothing?

What is the rate of token burn and where does the amount generated from? The 1% fees were distributed entirely to holders, wouldn't that mean there were no other token left to be sent to the blackhole (nice address, by the way)?

The rate of burn is now 1% of the transaction fees that are burned in a (472,000 / 10,000,000) ratio.
Fot the first week that was about 3,300 RFI tokens a day that are burned, but that has decreased for obvious reasons; more people are holding their stake.

The future is hard to predict; the black hole grows, holding a bigger stake it will eat up a bigger chunk of the fees.

But when price goes up, you can expect more but smaller transactions, so the burn may actually slow down.

Holding RFI has 2 advantages for a holder: receiving fees + deflation

I think the return (and so, the burn rate) for the past 2 days has dropped a bit. Less trades / volume. Price still steady in ETH.

Still crazy high return in fees. What my bank paid in 1 year when interest was high, I now receive in one week in RFI transaction fees.

The rate of burn is now 1% of the transaction fees that are burned in a (472,000 / 10,000,000) ratio.
Fot the first week that was about 3,300 RFI tokens a day that are burned, but that has decreased for obvious reasons; more people are holding their stake.

The future is hard to predict; the black hole grows, holding a bigger stake it will eat up a bigger chunk of the fees.

But when price goes up, you can expect more but smaller transactions, so the burn may actually slow down.

Holding RFI has 2 advantages for a holder: receiving fees + deflation

So uhh, the scheme roughly goes like this: 1% of each transaction is set as a transaction fee, which 99% of them will be distributed to each token holders, and 1% of that (on other words, 1% of 1% of every transaction) will be burned. Thus, the burning rate is 0.01% of every transaction?

As DeFi participan people has many problems like price and market risk, trust related risk, security risk and others. Reflect (RFI) tried to find solution for each of this problem

0.047% and growing ;)

The size of the black hole doesn't affect the amount of fees you receive for holding a fixed amount of coins. It only affects the amount of coins in circulation, that decreases after every trade or transaction.

If you hold 10,000 RFI it's always 0.1% of the total 10,000,000 RFI, so you will always receive 1 RFI for every 100,000 RFI that are traded or transfered.

Ofcourse your stake will grow too, compounding to it, but I didn't take that into account to keep it simple ;)

I don't think I get the number for blackhole. The RFI distributed from the entire tx fee were divided proportionally to each holder according to the amount they hold, correct? If we may use easy number, let's say there were only 2 holders of RFI, 2,000 RFI and 8,000 RFI. So A will be entitled to 20% of stake and B, 80%. Suppose there were 100 RFI transferred or traded, this will brings us to a situation where A will be entitled to 20 RFI and B 80 RFI, am I correct this far?  Where is the allocation for blackhole, then?

Black hole is a "holder" too, there's just no known private key to recover the coins.

https://etherscan.io/token/0xa1afffe3f4d611d252010e3eaf6f4d77088b0cd7?a=0x000000000000000000000000000000000000dead (https://etherscan.io/token/0xa1afffe3f4d611d252010e3eaf6f4d77088b0cd7?a=0x000000000000000000000000000000000000dead)

The black hole already holds 4.77% of all the RFI in circulation and close to 720,000 RFI in fees has been redistributed to RFI holders!

And we're only ~11 days old  :)

How much is the yield for the second week?

Didn't make the calculation for the second week but it should be ~ 0.4% per day based on what I read in the Telegram group.

Price is at $0.45 range, up 450% from $0.10 last weekend so in $ it's going even faster.

Current price: https://reflect.blockpour.com/trades

Didn't make the calculation for the second week but it should be ~ 0.4% per day based on what I read in the Telegram group.

Price is at $0.45 range, up 450% from $0.10 last weekend so in $ it's going even faster.

Current price: https://reflect.blockpour.com/trades

RFI just reached $1,50
That's 1500% up in a week.

Bumpy road ahead ;)

https://reflect.blockpour.com/summary

========

update:

Bilaxy Exchange lists RFI

https://twitter.com/Bilaxy_exchange/status/1335865906317176837

Right now so many projects offer yield farming, so what interesting features can be found in RFI Yield Farming?

So there are no ICO, no pre-sale, and no fundraising of any kind. So what are the ways to get this tokens? Only RFI Yield Farming?