Hex, rPLS, PLS & PLSX
GOL is a stablecoin that is not dependent on a third party like other gold-pegged stablecoins. It can only be generated by using other cryptocurrencies as collateral, making it more secure and decentralized.
This entire process is facilitated by PoolSea DAO's smart contracts in the form of a decentralized application. Acquiring GOL is a fairly simple process. All a user has to do is deposit Pulsechain (PLS), Ether, pHex, eHex or staked Pulsechain (stPLS) in a smart contract.
- They can then borrow against the value of their deposits and receive newly generated GOL. For every unit amount of GOL a user wants to borrow, they have to deposit at least 140% of collateral denominated in Pulsechain.
- Once a user repays the principal loan amount along with the interest charged, they are able to access and withdraw the collateral amount they deposited. On the other hand, the amount of GOL returned is destroyed immediately.
Hence, the dollar value of GOL is backed by the gold ounce value of the underlying collateral held in the PoolSeaDAO's smart contracts. Determining the acceptable types of collateral, minimum collateral ratios, and the interest rates for borrowing or storing GOL allows PoolSeaDAO to regulate the amount of GOL in circulation and ultimately its value.
& Interest fee
At Collective Collateral GOL (CCG) system launch, holders are
bestowed with the authority to suggest and implement changes
to collateral types, minimum ratios, and interest rates
through a code. POOL governance token holders are able to vote
upon these changes with the magnitude of each vote determined
by how many tokens the voter holds.
The POOL token is also valuable as an investment in the PoolSeaDAO system. Once borrowers repay their loans, both the principal amount and the interest accrued are used to purchase POOL tokens, which are then burned. By burning the POOL tokens bought, POOL is kept deflationary in relation to GOL loan income.