A cryptocurrency being partially backed by collateral and partially stabilized algorithmically.
EVER token is a partially collateralized token, soft pegged to the U.S. Dollar with NEVER Token, available on the Binance Smart Chain
The protocol aims to maintain A token’s price stability, in other words the peg, by storing sufficient collateral in the time-locked smart contracts. This collateral is used for redemptions, helping to maintain price stability. The collateral consists of two tokens . On the BSC, BUSD and NEVER token, The BUSD token is deposited into the protocol when a user mints EVER token, while the NEVER token which is used for minting (burn). When the user redeems EVER tokens, the protocol pays back BUSD tokens and NEVER tokens value at 0.20$ /EVER.
The ratio of BUSD and NEVER token used by the minting and redeeming function is determined by the Target Collateral Ratio and by the Effective Collateral Ratio respectively.