self-protection response

The self-protection response mechanism is a mechanism designed to safeguard prices and counteract the abuse of Oracle mechanisms by large holders for their advantage.

While Oracle is an excellent feature, it comes with its own drawback where large holders can exploit it for their benefit, such as pushing prices down to accumulate a large number of tokens within the game by taking advantage of changing exchange rates, and then driving the price up to make significant profits.

With the self-protection response mechanism, such actions are prevented.

The self-protection response mechanism operates in a highly unique manner, which I will explain below.

Let's take an example with $Poor token.

For instance, if 1 $Poor Token is priced at $10, the self-protection response mechanism will be set at a threshold of $5 for 1 $Poor token.

This means that the activation threshold for the self-protection response mechanism will always be set at a certain distance apart (subject to change depending on the situation).

If the value of $Poor token is higher than $5, the exchange rate from $Gold token to $Poor token will be calculated as usual. However, if the value of $Poor token falls below $5, the self-protection response mechanism will automatically activate with various levels of self-protective reactions, such as:

If 1 $Poor token drops from $5 to 10%, the exchange rate from $Gold token to $Poor token will be reduced by 45%, resulting in receiving 55% of the original amount of $Poor token.

If 1 $Poor token drops from $5 to 20%, the exchange rate from $Gold token to $Poor token will be reduced by 55%, resulting in receiving 45% of the original amount of $Poor token.

If 1 $Poor token drops from $5 to 30%, the exchange rate from $Gold token to $Poor token will be reduced by 65%, resulting in receiving 35% of the original amount of $Poor token.

If 1 $Poor token drops from $5 to 40%, the exchange rate from $Gold token to $Poor token will be reduced by 75%, resulting in receiving 25% of the original amount of $Poor token.

If 1 $Poor token drops from $5 to 50%, the exchange rate from $Gold token to $Poor token will be reduced by 85%, resulting in receiving 15% of the original amount of $Poor token.

If 1 $Poor token drops from $5 to 60%, the exchange rate from $Gold token to $Poor token will be reduced by 95%, resulting in receiving 5% of the original amount of $Poor token.

Note that the reduction ratios and activation thresholds may vary based on various market dynamics.