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MNAV Calculation

Market Net Asset Value (MNAV) is the core metric that drives our automated trading strategy. It represents the ratio between market capitalization and treasury holdings.

The MNAV Formula

MNAV = Market Cap / Treasury Holdings

A simple yet powerful metric for determining token valuation relative to backing

Band A
1.151×

Buy + Burn 75%

Band B
1.151-2.25×

Buy + Keep

Band C
2.25-3.5×

Accumulate

Band D
3.5×

Distribute

How MNAV Works

Components

Market Capitalization

Total value of all $PACKS tokens in circulation at current market price

Treasury Holdings

Total value of assets held in the treasury wallet (SOL, tokens, NFTs)

Interpretation

MNAV = 1: The token is perfectly backed by treasury assets

MNAV = 2: Market values the token at 2x the treasury backing

MNAV = 0.5: Token trades at 50% of treasury value (discount)

Real-World Examples

Band A (MNAV ≤1.151)

Buy+Burn
Market Cap:$50,000
Treasury:$100,000
MNAV:0.5

Buy with 1.51% SOL, burn 75%, reserve 25%

Band B (MNAV 1.151-2.25)

Buy
Market Cap:$150,000
Treasury:$100,000
MNAV:1.5

Buy with 1.51% SOL, keep in engine

Band C (MNAV 2.25-3.5)

Hold
Market Cap:$280,000
Treasury:$100,000
MNAV:2.8

Accumulate - no trading action

Band D (MNAV ≥3.5)

Sell
Market Cap:$500,000
Treasury:$100,000
MNAV:5

Distribute 1.51% of tokens

4-Band Trading System

The trade engine uses four distinct MNAV bands to execute different strategies based on market valuation.

Band A

MNAV ≤1.151×

Maximum support zone with supply reduction mechanisms.

• Buy with 1.51% of SOL

• Burn 75% of purchased tokens

• Reserve 25% to treasury

Band B

1.151× - 2.25×

Moderate support zone with accumulation.

• Buy with 1.51% of SOL

• Keep all tokens in engine wallet

• Build reserves for future operations

Band C

2.25× - 3.5×

Neutral zone for natural price discovery.

• No trading action

• Monitor market conditions

• Allow organic price movement

Band D

MNAV ≥3.5×

Distribution zone for profit realization.

• Sell 1.51% of tokens

• Convert to SOL

• Hold proceeds for future purchases

Dynamic Strategy: Each band represents a different market condition and triggers specific actions designed to maintain price stability while capturing value for the treasury.