$HEX1 is a protocol to improve on HEX, to make it more scarce and more expensive.
TLDR: Let's find out why $HEX1 is the best stablecoin out there - the only one that generates more collateral (yield), has an embedded meme incentive token, and is designed to make HEX pump!
The most important feature of $HEX1 is the lack of volatility or the increased price stability. Additionally, because $HEX1 is backed by T-SHARES, hodlers of the token will get paid a yield, in HEX.
Farm participants also receive Hex One Incentive Token, $HEXIT, that can be used to provide liquidity with other token pairs, and staked in high-yield staking pools.
Every 1 $HEX1 = $1 worth of Hex, therefore each time there is a borrower, it makes the current $HEX tokens scarcer since $HEX are staked in the Hex One protocol.
Due to how the liquidations auctions work, attentive bidders may acquire hex at the cheap, outside the market (much like an OTC desk), which does not affect HEX's market price. Fantastic opportunity!
All tokens sacrificed are converted into $HEX at the end of the sacrifice period, and 25% of the sacrifice funds go into liquidity. This means, 25% of sacrificed $HEX will be locked forever.
Every time there is a loan, 1% of the total HEX deposited is used to buy back and burn HEX1 from the available liquidity pool.
The most important feature of $HEX1 remains its parity to HEX. Essentially, every $HEX1 is backed by a future HEX payout, hence each stablecoin token is worth a number of HEX tokens.
Due to HEX's inherent pumpamentals, the likelihood $HEX1 will accrue value and hold its peg in the long-term is much, much higher than a significant number of stablecoins.
if there is a de-peg between $HEX1 and other stablecoins, like $DAI, this means you can buy the underlying token - $HEX - at a discount, directly proportional to the difference in the peg. If $HEX1 loses 1% vs USDC, you are buying Hex with a 1% discount. If $HEX1 loses 50% vs DAI, you are buying Hex with a 50% discount.
Even if the price of HEX significantly drops, liquidations will increase the likelihood someone is willing to repay borrowed HEX1 to claim a future, juicy HEX stake. The further the drop, the greater the discount.
Once the orginal HEX stake matures you must claim the tokens by repaying the loan, and burning HEX1. This process also claims $HDRN and $COM automatically to the user.
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