> For the complete documentation index, see [llms.txt](https://lo-fi.gitbook.io/docs/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://lo-fi.gitbook.io/docs/overview/lo-fi-overview.md).

# Lo-fi Overview

## What is Lo-fi?

Welcome to Lo-fi, the most chilled algorithmic token fork on **Cronos Chain!**

Inspired by the original idea behind **Basis** as well as its predecessors, Lo-fi is a **multi-token protocol** that consists of the following **3 tokens**:

* **Lo-fi Token (LOW)**: the algorithmic token pegged 1:1 to **CRO**
* **Lo-fi Shares (SLOW)**: claim **LOW** inflation when the network expands
* **Lo-fi Bond (BLOW)**: purchase when the network is in contraction and can be redeemed for **LOW** when the network comes to its deflationary phase

It involved an **innovative solution** that can **adjust the token supply** deterministically to **move** the **price** of the token in the direction of a **target price** to bring programmability and interoperability to DeFi.

The protocol's underlying mechanism dynamically **adjusts LOW supply**, pushing its price up or down relative to **CRO price**. However, there may be times where **LOW loses its peg to CRO**. If our protocol is functioning as intended, LOW will follow CRO to keep pegged at 1:1.

## Why choose Lo-fi?

One of the primary **shortcomings** of past algorithmic tokens has been a **lack of use cases**, leaving no good reason for somebody to hold them. In order to successfully maintain the token at the peg in the long run, Lo-fi team maintains to focus on enhanced **functionality** and **use cases** of **LOW**.

Our Phase 1 Tomb Fork can be seen as a **Launchpad** for our next phases **(Game | NFT | Music)** which means that Lo-fi will be one of the first Tomb Forks linking **NFT GameFi & Space** and **DeFi Space** on blockchain. Through our **NFT GameFi**, we plan to **bring utility** to **LOW** token (Lo-fi algorithmic token pegged 1:1 with **CRO**).

Lo-fi will be one of the first forks to **build use case** for the algorithmic token through the **NFT GameFi**. Lo-fi will be establishing framework of **burning mechanism** of pegged token (**LOW**) which helps to control the token supply and price. We are not only designing **Taxation Framework** for our Phase 1 (**strategic burn**) but also planning to implement **Voting Process** for potential investment of Lo-fi Treasury (**strategic buy back**) to help stabilize the protocol in long-term.

## Why pegged to CRO? <a href="#c836" id="c836"></a>

Unlike other algorithmic tokens, **LOW** is not pegged to a stable coin — it is, instead, pegged to **CRO** as we foresee the **potential of Cronos Network** and have chosen to align our mission to both provide value to and derive value from Lo-fi **future growth**.