Nirvana is an investment protocol for a sustainable store of wealth. Its primary token ANA is a new asset class that features:
- Bounded risk through partial collateralization. The ANA token cannot go to zero, and its minimum price rises monotonically with demand.
- Ultra-low-risk backing value via diversified stablecoin reserves. ANA protects its holders against catastrophic stablecoin depegging through robust diversification.
- Renewable yield through a unique call-option incentive system. The Nirvana APY is market-driven and proportional to investment risk, creating a sustainable engine for high yield.
- True protocol-owned liquidity. 100% of ANA's liquidity is owned by the Nirvana protocol, providing a clean path to entering or exiting positions. The protocol is the counter-party to every trade, and not reliant on external market makers.
Using ANA as collateral, Nirvana enables zero liquidation-risk loans of NIRV that have a negative interest rate. You earn yield on your debt. The loans have zero liquidation risk because the total amount of NIRV debt never values more than than the floor value (guaranteed minimum value) of ANA. The loans have negative interest because the NIRV borrower does not need to pay continuous fees to a liquidity provider.
- Concentrated liquidity. The NIRV token bundles the diverse reserve of stablecoins, concentrating their fragmented liquidity into one token. This bundling includes Solana-native tokens, as well as bridged assets, increasing the overall stablecoin liquidity on Solana.
- Intrinsic value. Nirvana maintains a diverse basket of reserve assets that backs the value of ANA. At any point in time, ANA has an intrinsic value guaranteed by the reserves. The protocol will always buy ANA back at its intrinsic value, and so this value becomes a hard floor price under which the token cannot trade.
- Rising floor. As the surplus reserves grow in value, the protocol algorithmically increases the intrinsic value of the token. This increase is tantamount to raising the floor price. In other words, ANA holders enjoy permanent gains. Once the floor price ratchets up, those gains are locked forever.
- Sustainable APY. Users are incentivized to stake their ANA in order to gain periodic rewards. The protocol mints pre-ANA (prANA) tokens at a regular interval, based on the total supply of ANA. These prANA tokens are shared to stakers in proportion to how much they have staked. The result of repeated rewards creates compounding APY for stakers.
- Higher-order stablecoin. ANA can be used as collateral for taking NIRV loans. The NIRV token is a superstable currency that is fully collateralized 1:1 with the intrinsic (floor) value of ANA. Since NIRV loans are priced at the floor value of ANA (which can never be breached), there is zero liquidation risk for these loans.
- Risk-adjusted discount. The protocol's reserve profits when the protocol sells ANA at the spot price and also when it sells time-released ANA (trANA) contracts. When a user purchases ANA tokens from Nirvana, the protocol mints an amount of new tokens that are either available instantaneously, or that vest linearly for the user. The price of both time-released ANA and instant spot ANA are algorithmically set by the protocol's optimized AMM. Time-released ANA prices go up with demand for buying them, and lower over time as ANA tokens vest.
