# Introduction

# Animal Farm

Animal Farm is the first deflationary, fully decentralized ownership yield farm/lending protocol in DeFi, where participants earn as owners of the network. It has many unique mechanics.

The super wealthy do not build and protect their wealth by selling their assets. They accumulate their wealth and then leverage it while living off the dividends.

Animal Farm embraces this financial power and places it in the hands of the platform participants.

All of our products utilize trusted models that allow users to take full responsibility for their personal finances. Animal Farm's main focus is on lending and yield aggregation.

defi.animalfarm.app
https://defianimalfarm.live/farms


# Native Tokens

The Animal Farm has two native tokens, AFD (DOGS) and AFP (PIGS).

Both are innovative assets with unique tokenomics that perfectly balance each other and offer a variety of options to investors who want to take full advantage of the platform.

AFP are the governance token of the platform.

Staking PIGS into the PIG PEN allows you to be an owner of the farm, it can be farmed exclusively in the DOGS/WBNB and DOGS/BUSD farms, as well as the DOG POUND single asset staking pool.

AFD are the native farming token on The Animal Farm and are earned in all non core farms and pools.

AFD benefits from an innovative vesting system that does not lock DOGS, but reduces the variable sales tax from 90% to 6%, based on the user's loyalty score.

This vesting tax will greatly increase BUSD dividends at PIG PEN while generating BNB for DOG POUND.

This new loyalty model ensures that it is always attractive to use DOGS as a vehicle to earn yield over time that support the price of AFD and AFP.

We have implemented a burn mechanism that reduces the total supply in real time while tokens are transacted.


# Animal Farm Loyalty System

It is a unique vesting model that incentivizes users to secure profit in the form of BNB & BUSD dividends instead of selling their assets.

Allows users to build wealth instead of cannibalizing their own wealth through high-risk speculative trading.

Other platforms have vesting models where tokens are locked, with monthly unlock events that dump large amounts of supply into the market and create predictable selling pressure led by more experienced traders and insiders.

Animals Farm's loyalty model keeps all of the benefits of traditional vesting without any of the negative externalities.

This is done by using a variable tax on AFD token transactions (yield asset) instead of locking assets to prevent predicted supply unlock events.

Newly acquired AFD tokens start with a transaction tax that is between 6% and 90%.

Users who stake in the Loyalty DOG POUND reduce the tax on their AFD by 0.75% to 1% a day while earning a BNB or AFP dividend.

This aligns incentives with a mechanism that transfers value from those who exert negative volatility on our native assets to those who secure their profit in the form of BUSD (PIG PEN) and BNB (DOG POUND) dividends to holders.

PIGS Vesting Mechanic
../pigpen/#vesting-mechanic
DOGS Vesting Mechanic
../dogpound/#vesting-mechanic

This makes it easier for our users to stick to a proven strategy for wealth creation and optimize the performance of our native assets.


# Dynamic Emission Rate

All markets have demand cycles and Animal Farm is the only platform with dynamic issue rates based on current demand for underlying assets, reducing supply during periods of low demand to provide optimal price performance under all market conditions.

If the demand for the token is strong and the token price has reached an all-time high (ATH), the emission rate is set to 100% and remains at that level until the price corrects by at least 25% from the all-time high to the all-time low.

# Dynamic Decentralized Supply Control Algorithm (D.D.S.C.A.)

The Animal Farm is the first farm to use a Dynamic Decentralized Supply Control Algorithm (D.D.S.C.A.) to determine the farm's emissions rate for rewards in the DOGS and PIGS tokens.

The D.D.S.C.A. is designed to adjust the supply of the DOGS and PIGS tokens through the manipulation of Animal Farm's reward emission rate.

Maximal Pegged Restricted Deflationary
100% 75% 50% 25%

Gluts of demand can be met with an increase in rewards for farmers, While ebbs in demand can be met with a reduction in supply through tightening Animal Farm's emissions.


# Own Your Share

When incentives are properly aligned, value is created.

Animal Farm aligns the platform's incentives with its user base by providing all users with a path to ownership of the platform itself and a loyalty system that encourages users to build wealth by accumulating assets and securing profits in the form of dividends than selling native assets.

These are some ways AFD & AFP are designed to be the highest performing yield generating assets ever created.

A full governance model that allows investors to secure ownership of the platform itself, not just the tokens.

AnimalFarm Dao Governance System
https://snapshot.org/#/animalfarmdefi.eth

This innovative ownership allows investors:

  • to vote on the curated roadmap proposals.
  • to profit by accumulating ownership of assets and earning yield on these assets in the form of dividends (AFP and BUSD) without needing to sell the platform's native assets.

This also means that taxes and fees normally go to the administrators will instead go to users, the owners of PIG PEN.


# Fully Decentralized Lending

Fully decentralized lending that does not rely on algorithmic stablecoins or high risk. Instead, collateralized TVL on Animal Farm is lent to PancakeSwap to provide an additional low-risk yield aggregation compounded on top of native yield aggregation.

A percentage of the yield generated by lending can be used in a crowdfunding model where governance stakers can vote to invest the funds in additional investment opportunities.

defi.animalfarm.app
https://defianimalfarm.live/farms