SquiggleStrategyPrice

(SQUIGSTR)

SQUIGSTR is an ERC-20 strategy token within the NFTStrategy ecosystem. It provides exposure to the Chromie Squiggle NFT collection through automated DeFi mechanics. Unlike standard fractionalized NFT protocols, it is a third-party strategy that uses trading volume to automate buying and burning based on NFT market movements. It operates as a perpetual machine to link token liquidity with NFT floor stability.

The protocol collects a portion of every transaction fee to build a treasury. Once the treasury accumulates sufficient ETH, the smart contract automatically purchases the lowest-priced Chromie Squiggle available on the market. This mechanism creates consistent buying pressure on the NFT collection, effectively helping to support and lift the floor price through automated market participation.

SQUIGSTR implements a 10% transaction fee on every buy and sell. The allocation is as follows: 8% is directed to the NFT accumulation pool for floor purchases, 1% is designated for NFT creator royalties, and the final 1% is used to buy and burn PNKSTR, the governance token of the ecosystem. This ensures the protocol remains self-sustaining while supporting the broader ecosystem.

When the protocol acquires a floor NFT, it immediately relists the asset for sale at a 1.2x markup (20% above the purchase price). Once the NFT is sold, 100% of the ETH proceeds are utilized to buy back SQUIGSTR tokens from the open market and burn them. This process reduces the circulating supply, creating a deflationary loop intended to benefit long-term holders.

To ensure a fair launch and prevent automated bots from sniping the liquidity pool, the protocol uses a decaying buy tax. It starts at 95% and decreases by 1% every minute. After approximately 85 minutes, the tax reaches its permanent 10% level. This discourages immediate bot manipulation and allows for a more equitable distribution among genuine participants.

While both SQUIGSTR and PNKSTR utilize the same underlying smart contract logic, they target different NFT collections. PNKSTR focuses on the CryptoPunks collection, whereas SQUIGSTR is specifically engineered for the Chromie Squiggle collection. Both tokens contribute to the same ecosystem, but their value drivers are tied to the specific market dynamics of their respective NFT targets.