Pioneering Deterministic Wealth

Opulence is pioneering a so-called deterministic wealth generation, which is defined by the programmatically determined price and strict enforcement of it. The protocol will own a proprietary swap contract intended to act as a proxy between the ERC-20 token and the Uniswap liquidity pool. This ensures that all the trades are executed with the proper assumed price. By initially restricting the composability and tradability of $OPLL, we help to protect from the irrational behavior of some financial agents, stabilize the protocol in times of global uncertainty, and therefore guarantee the continued returns to all participants.

According to the Prospect theory of behavioral economics, financial agents (investors) assess their loss and gain perspectives in an asymmetric manner. For example, for some individuals, the pain from losing $1,000 can only be compensated by the pleasure of earning $2,000. Given the above, we believe that Opulence protocol will cater well to vast majority of investors thanks to technical inability to demonstrate losses (fulfilling the Loss Aversion tendency of investors), providing a highly certain environment where the price of $OPLL appreciates according to a set of strictly enforced rules (fulfilling the general preference of people for certainty over uncertainty), and, finally, preventing bank runs via a set of automated guardians.