ALVA: Empowering the Alvara Protocol’s Democratic Vision

Alvara Protocol
3 min readNov 30, 2023

The Alvara Protocol. A groundbreaking initiative aimed at democratizing fund management that hinges on the idea of inclusivity and accessibility. At the heart of this revolutionary platform is its native token, $ALVA, which plays a pivotal role in shaping the dynamics of the protocol.

Empowering Individuals through the BTS Factory

Central to the Alvara Protocol is the BTS (Basket Token Standard) Factory, which utilizes the innovative ERC-BTS token standard. The process itself is user-friendly: choose your assets, provide details (like a name and ticker), mint your tokens, and watch your fund grow. BTS creators hold both the newly minted BTS tokens and the BTS LPs representing their stake in the fund based on their initial contribution. BTS tokens signify ownership as well as generating fees and management proposal rights. LP tokens, on the other hand, not only represent contributors’ input but also grant governance rights over decentralized BTS tokens.

ALVA’s Integration

Every ERC-BTS minted on Alvara will contain the ALVA token at a minimum weighting of 5%. Purchased on the open market, this feature will put upward pressure on ALVA’s market price each time a new ERC-BTS is launched as well as each time additional ERC-BTS LPs are created by platform users. It also removes a percentage of the ALVA token’s supply from the circulating market.

The power of ALVA: Staking & Governance

Alvara’s staking platform is a critical piece of infrastructure within Alvara’s protocol. As well as rewarding those staking ALVA from the Staking Rewards Vault (SRV), the ALVA staking platform is the faucet from which veALVA is distributed to the community.

Users must stake their ALVA tokens on the staking platform to obtain veALVA. veALVA can be used within the Alvara DAO to vote on proposals. It can also be used during the ‘gauge weight voting’ — the weekly event of allocating veALVA to whichever BTS fund a user nominates to receive that week’s inflationary ALVA rewards flow. This incentive system allows ALVA holders to influence the allocation of rewards, fostering competition among protocols.

ALVA DAO: Shaping the Future

Alvara has allocated a massive 44% of ALVA’s total supply for BTS incentives

The Alvara DAO, governed by the veALVA token, holds the ultimate authority in overseeing the protocol. ALVA holders can stake tokens in exchange for monthly rewards, and the veALVA’s value influences reward distribution. This governance mechanism ensures a continuous demand for both ALVA and veALVA.

ALVA: Core to Democratizing Fund Management

To summarize, the ALVA token lies at the heart of Alvara Protocol’s mission to democratize fund management. Its multifaceted role in governance, rewards, and protocol dynamics underscores its significance. As part of each ERC-BTS, ALVA creates deflationary pressure on its supply, contributing to its market dynamics. With a maximum total supply of 200 million tokens, ALVA’s role in shaping the protocol’s democratic vision is undeniable.

About Alvara Protocol

The Alvara Protocol is a decentralized platform that utilizes the ERC-BTS (Basket Token Standard) to create and manage funds on the blockchain. Alvara offers a comprehensive fund Factory and Marketplace, with a transparent leaderboard showcasing the performance of every BTS created. ALVA and veALVA tokens assume crucial roles in driving the ecosystem’s growth and governance with veALVA holders wielding significant influence over the substantial ALVA reward stream. Removing traditional barriers, Alvara fosters a democratic meritocracy in crypto investing, enabling full lifecycle fund management, from creation to ownership transfer, within its seamless framework.

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