> For the complete documentation index, see [llms.txt](https://dark-cystal.gitbook.io/dark-crystal-finance/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://dark-cystal.gitbook.io/dark-crystal-finance/tokenomics/darkroom-boardroom.md).

# DARKROOM (BOARDROOM)

## DARKCRYSTL (DarkCrystal Token) <a href="#low-lo-fi-token" id="low-lo-fi-token"></a>

**$DARKCRYSTL** token is designed to be used as a **medium of exchange**. The **built-in stability mechanism** in the protocol deterministically **expands and contracts** the DARKCRYSTL supply to **maintain the $DARKCRYSTL peg to 1 WCRO in the long run**. $DRKCRYSTL is an algorithmic token with a peg **actively maintained by a smart contract.** It **does not mean** it will be valued at 1 **WCRO** at all times as it is not collateralized and will be subject to a certain level of volatility.

### DARKCRYSTL Distribution (Boardroom) <a href="#low-distribution-boardroom" id="low-distribution-boardroom"></a>

The Distribution of DARKCRYSTL during **Epoch Expansion** is as follows:

1.**65%** as Reward for **$MINE** Stakers in Boardroom

2.**30%** goes to DAO Treasury

3.**5%** goes to Dev Allocation

If there are **bonds** to be redeemed, **65%** of minted DARKCRYSTL goes to Treasury until it's sufficiently full to **meet bond redemption**. If there is **no debt (BOND)**, it will follow the **maximum** capped **expansion** %.

### **How do the Algorithmic Peg works?** <a href="#how-the-algorithmic-peg-works" id="how-the-algorithmic-peg-works"></a>

#### **When** DARKCRYSTL **is below peg** <a href="#when-low-is-below-peg" id="when-low-is-below-peg"></a>

When DARKCRYSTL price is **below WCRO's Current Market Price** (peg), Token Holders can **purchase DARKCRYSTL Bond (DBOND)** and **DARKCRYSTL**will be **burnt** to **reduce** the total circulating **supply** when Bond Holders redeem DARKCRYSTL token with a 1:1 ratio.

#### **When DARKCRYSTL is above peg** <a href="#when-low-is-above-peg" id="when-low-is-above-peg"></a>

When **DARKCRYSTL** price is **above WCRO’s Current Market Price** (peg), the token **supply** will have to **expand** to push it back down to peg and the contract will **allow the redemption of the $MINE(SHARE)**. When the price of **DARKCRYSTL** continues trading above the **WCRO's** Current Market Price (peg) **after bond redemption**, the contract **mints** an appropriate amount of **new DARKCRYSTL** and this will be **distributed** to the **$MINE Stakeholders in the Boardroom**.

## **$MINE(SHARE)** (**DARKCRYSTL** Shares) <a href="#slow-lo-fi-shares" id="slow-lo-fi-shares"></a>

**$MINE** is one of the ways to measure the **value of the DARKCRYSTL Protocol** and **Shareholder Trust** in its ability to maintain DARKCRYSTL **close to peg**. During **epoch expansions** the protocol **mints $MINE** and **distributes** it proportionally to all **$MINE stakers** in the **Boardroom**.**$MINE** Holders have **voting rights** (governance) on **proposals** to **improve** the **protocol** and future **use cases** within the **DARKCRYSTL finance ecosystem**.

### **$MINE Distribution (Farms)** <a href="#slow-distribution-farms" id="slow-distribution-farms"></a>

**$MINE** has a **maximum total supply of 60,001** tokens&#x20;

**DAO Treasury (DARKCRYSTL Reserve)** acts as the **second line of defence** on top of the Bond Mechanism controlled by **DARKCRYSTL** Core Team to conduct the following actions:

* Investment (Growing Treasury)
* Strategic Buybacks (Stabilize Protocol)
* Marketing
* Building Protocol Utility
* Protocol Expansion

**In a later stage, DAO Treasury will move to a governance system to vote on using funds in certain areas of the project including investment, marketing etc.**

## DBOND(**DARKCRYSTL** Bond) <a href="#blow-lo-fi-bond" id="blow-lo-fi-bond"></a>

**DBOND**'S main job is to help **incentivize** the changes in **DARKCRYSTL** supply during an **epoch contraction period**. When the TWAP (Time Weighted Average Price) of **DARKCRYSTL falls below 1 WCRO**, DBOND will be **issued** and can be **bought with the current DARKCRYSTL price**.

### **Purpose of buying** DBOND **(exchanging DARKCRYSTL for** DBON&#x44;**):** <a href="#purpose-of-buying-blow-exchanging-low-for-blow" id="purpose-of-buying-blow-exchanging-low-for-blow"></a>

1. &#x20;Burns **$DARKCRYSTL** tokens
2. Takes **$DARKCRYSTL** out of circulation (deflation)
3. &#x20;Helps to get the **$DARKCRYSTL** price back up to the peg (above 1 CRO).

**Rationale:** Buying DBOND addresses DARKCRYSTL inflation issue and DARKCRYSTL sell pressure to help to push DARKCRYSTL back above the peg. This DBOND **can be redeemed** for DARKCRYSTL when the **price is above the peg** in the future. Investors who are here for the **long term** and are **bullish on $DARKCRYSTL and WCRO** can choose to **hold** DBOND **longer** as the **premium** gets **higher** when $DARKCRYSTL **TWAP increases** over time. Contrary to early algorithmic protocols, DBOND **does not** have expiration dates on redemption **$DARKCRYSTL**. All DBOND **Holders** are able to **redeem** their **DBOND** for **DARKCRYSTL** as long as the **Treasury** has a **positive** DARKCRYSTL **balance** which typically happens when the protocol is in **epoch expansion periods**.