$SNOW Rises

Number go up (in AVAX)

Every action in the Snowball Protocol — minting, burning, borrowing, and leveraging — feeds value back into the system. The result is a self-reinforcing loop where backing per $SNOW can only increase.

🏔️ Backing Boost Loop

• Minting or burning $SNOW incurs a 2.5% fee → 65% of that fee is added to $AVAX backing

• Borrowing $AVAX against $SNOW incurs upfront interest → That interest goes directly to the $AVAX treasury

• Loan defaults result in $SNOW being burned → Supply shrinks → Backing per $SNOW increases

• Staking and PoL farming generate external yield (via bribes and fees) → Rewards are recycled to grow $AVAX backing or amplify future emissions

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🧊 A Sustainable Yield Loop

The protocol doesn’t print emissions. Instead, it generates yield through real protocol activity:

• New users minting and burning

• Borrowers paying interest

• Leveraged users looping

• Liquidations reducing supply

Incentives for liquidity providers are funded through protocol revenue, and boosted further by external bribes on ve(3,3) DEXs like Pharaoh and Blackhole.

$SNOW is designed to be up-only in $AVAX terms, not USD. If $AVAX dumps, $SNOW's USD price may drop — but its backing per token will still go up.