🔥Burning CIT

Delegators will be able burn CIT in exchange for boosted staking rewards paid out by our treasury. The conversion rate between CIT and funds will float with the market price of each exchanged token, and will be set at a premium to ensure purchasing CIT on the market and burning it for boosted rewards is economically rational.

This conversion rate will provide a balancing force to the market value of CIT due to the fact that if the price of CIT is low, more CIT will have to be burned for boosted staking rewards to be claimed, which will increase scarcity and push CIT back to it's fair value. The inverse is also true, as if the price of CIT is high, less will be burned and scarcity will decrease.

Delegator burning will be capped at a rate lower than their contribution to the Coaction Treasury in order to prevent overdrafts and boosted staking rewards will be paid out after a reasonable delay designed to prevent malicious behavior.