Sierra
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Introduction
Everything you need to know about Sierra!

What is Sierra?

Sierra is a decentralized reserve currency protocol available on the Avalanche Network based on the SRA token. Each SRA token is backed by a basket of assets (e.g., MIM, SRA-AVAX LP Tokens etc) in the Sierra treasury, giving it an intrinsic value that it cannot fall below. Sierra also introduces economic and game-theoretic dynamics into the market through staking and minting.

What is the point of Sierra?

Our goal is to build a policy-controlled currency system, native on the AVAX network, in which the behavior of the SRA token! In the long term, we believe this system can be used to optimize for stability and consistency so that SRA can function as a global unit-of-account and medium-of-exchange currency. In the short term, we intend to optimize the system for growth and wealth creation.
We intend to achieve price flatness for a representative basket of goods without the use of fiat currency, in order to allow the cryptocurrency industry to detach once and for all from the traditional finance world!
Siera also aims to produce & develop financial frameworks for the betterment of our future. We believe, with the strength of the community, we can do so.

How do I participate in Sierra?

There are two main strategies for market participants: staking and minting. Stakers stake their SRA tokens in return for more SRA tokens, while minters provide LP tokens or MIM tokens in exchange for discounted SRA tokens after a fixed vesting period.

How can I benefit from Sierra?

The main benefit for stakers comes from supply growth. The protocol mints new SRA tokens from the treasury, the majority of which are distributed to the stakers. Thus, the gain for stakers will come from their auto-compounding balances, though price exposure remains an important consideration. That is, if the increase in token balance outpaces the potential drop in price (due to inflation), stakers would make a profit.
The main benefit for minters comes from price consistency. Minters commit capital upfront and are promised a fixed return at a set point in time; that return is given in SRA tokens and thus the minter's profit would depend on SRA price when the minted SRA matures. Taking this into consideration, minters benefit from a rising or static price for the SRA token!

Who created Sierra?

The Creators of Sierra are to remain anonymous until after launch. We believe that sticking to a true community owned organization is most important and warrants our decision to remain this way until postlaunch.

Who runs Sierra?

Currently most of the decisions are taken by the core team, but we expect to be able to turn this into a DAO-governed model as soon as possible!
Last modified 5mo ago