> For the complete documentation index, see [llms.txt](https://docs.usdo.finance/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.usdo.finance/how-selling-usdo-promotes-price-growth.md).

# How Selling USDO Promotes Price Growth

Many of us are used to coins’ value going off a cliff when holders massively dump the coins, no one wants to be the last person holding onto a coin that everyone else is selling out of as with each seller, the value of the coin will continue dropping. USDO is built to be different.

### Example 1: No one sells out USDO

#### **Starts off with 4 BUSD and 4 USDO**

<figure><img src="https://lh3.googleusercontent.com/oNQvKWBqN2_l1H66oTf6yMZJJtIIM32ET2zKhjQc1aY_G4sgWC9jMTbQMbTejmQnbXwWrpb6_VQJqbxsw56RlyoBuNTPeyQh4eX_XwyEBo_2STPUi64YBmK4UX5YMlKGSItLOQnEf0pbwWCWNKC4_A3b8GIIH3HC6sPiUCWW2TYDXDmCctuRZbCI" alt=""><figcaption></figcaption></figure>

* Collateral = 4 BUSD
* USDO circulating supply = 4
* The current rate is 1 BUSD per 1 USDO

#### **No one bought or sold any USDO**

<figure><img src="https://lh5.googleusercontent.com/PMNPktDhUXgE9-jF4gvqkV5ITWTgtkRIx6klNocA--3fgMcAC-lfqlKPN-n97e_dtbPKTVPTd8aKdVLwz_FBLq75Y99PEA-hS4Sx1igUtL4ZzOnD2Q46SusC-lzIKxumpUj6ncECPY2eJCoB1RmX8NM4m984nHy23kq0WgLd3DKc4jRsvL316X23" alt=""><figcaption></figcaption></figure>

* Collateral = 4 BUSD
* USDO circulating supply = 4
* The current rate is 1 BUSD per 1 USDO

#### **We add in 4 BUSD from MiaSwap's transaction fees**

<figure><img src="https://lh3.googleusercontent.com/dW1GKzZ8WjOfuRMbvWZZu4NenEc8pEDrV2IIwuKEZLe0ZwfyuL1iwBggkKRtMCgznqNDSRsFagKVsmmCvCmSN2Q0KGrXYWE9UrXKlBjATNJbVJvbNaLlnsS_1iAmTvjRdGsXknX2yoThx_30Iw58du8VdQiPWzLPbS5KGVHuCZzXGcCV4aLIBfkl" alt=""><figcaption></figcaption></figure>

* Collateral = 8 BUSD
* USDO circulating supply = 4
* The current rate is 2 BUSD per 1 USDO

### Example 2: A user sells out 75% of the total supply

#### **Starts off with 4 BUSD and 4 USDO**

<figure><img src="https://lh3.googleusercontent.com/CX1Ex1e-eHX3Nmgn5Nd7RX246KSn-MHPJ9UGQAFXYV7WibsJm4pVN_VnTUP91G1I5Z0v2J9UDxxooFb9D5g7CcZ6iH1WAe9QulEGG0XqR9sVPklKeZkNHLpVOGD199uivI8K8hBfPrssjgG-GaTSHhq7yDHQ4BKBb9bWOuxI4mt279e2Ut-Paqit" alt=""><figcaption></figcaption></figure>

* Collateral = 4 BUSD
* USDO circulating supply = 4
* The current rate is 1 BUSD per 1 USDO

#### **A user now sells out 75% of the supply, burning 3 USDO and taking out 3 BUSD from the collateral**

<figure><img src="https://lh5.googleusercontent.com/aXIuBdiMdcHDaVDK4yQY4z-kB7Ap4pkh_MOqHJsOr__H7omEz8L1Spe5lt7x1HUPKFCGdEx4kcCoiiZVoWwWneAYdXfYPpK987N4kaJ3nEsm_LjOC9xEtaeF_I6Jao_5EtsbaFlD6inoKz5RzTZNqjSAWXbl4UupDSw7LTdLQBvdkuuovPbFKelH" alt=""><figcaption></figcaption></figure>

* Collateral = 1 BUSD
* USDO circulating supply = 1
* The current rate is 1 BUSD per 1 USDO

As we can see, there’s no change in the value of USDO.

#### **We add in 4 BUSD from our MiaSwap's transaction fees same as example 1**

<figure><img src="https://lh5.googleusercontent.com/ny5uj1qkLLgnxxGRm8PRgTAJ7a4wjFWV2nO2nFPc3kELAhqZ-e2qdHHDa9aaxB8zE5U9YQvdDsKLmh0zRtjbI2M6iFPPpaVuclAx1Ce1tlYPZd0srxFPQUxdRS2TqTX3MpdGNypnGscGZpx8rATdDdYJuVf-k6TpMagTr5W9AIRCmr2RxuIxU6YQ" alt=""><figcaption></figcaption></figure>

* Collateral = 5 BUSD
* USDO circulating supply = 1
* The current rate is 5 BUSD per 1 USDO

Due to the lowered circulating supply, each BUSD added to the collateral gives the remaining USDO more value.

### Comparison

<figure><img src="https://lh4.googleusercontent.com/VHmYzVMu7Skiu9ALcu3H3-r_-0Az5OGkt82ZpG0IepxfMJEv6yZltaoNbDyu7Euy7XplMivFBSrJ_kgnzbHf_RwVcFqXbfMT_m7VupliTQ1rJXd6Sg3-BuTfRcMIbAYQqwrgN3m8TH_jkM5Xy8oELqWCuglvjNnEomM-ZfaUrZNn4yeRIfj7Rypp" alt=""><figcaption></figcaption></figure>

In this sense, USDO is a little better compared to other normal cryptocurrencies.&#x20;

* The more users sell out USDO, the more valuable each remaining USDO becomes.
* The value of USDO can be maintained right down to the last holder.
