6.2 Market Risks

Mitigating Sudden Price Fluctuations

Cryptocurrencies can experience dramatic short-term price swings due to speculative trading. By leveraging APUS’s automated buyback feature, we can support the token price if it’s about to fall below a certain threshold, helping to prevent extreme crashes. While this doesn’t necessarily curb rapid price surges, it does reduce excessive volatility, offering investors greater confidence and fostering an environment where the community can focus on long-term growth.

Ensuring Liquidity

Insufficient liquidity can cause large price swings when significant trades occur. Therefore, we rely on APUS buybacks and liquidity pool incentives to maintain a certain depth at all times. We also offer LP token rewards to community members, encouraging additional liquidity provision. This forms a more stable order book and mitigates the impact of market conditions or large trades.