We hold reserves with which we buy tokens at the Target Price minus 2%. This is discretionary on our part. There is no obligation on us to do this. However having a “buyer of last resort” helps the entire market, including ourselves, during liquidity squeezes. We initially aim for 100% reserve covering the value of all purchased tokens. Over time we intend to reduce this to around 30%. Historically over the last two hundred years a 30% reserve has been ample to deal with most liquidity events encountered by central banks and currency boards. In the case of Saver Token, the reserve is secondary to the self-responsibility of the Savers Pledge. The current reserve is published on the website and updated weekly. At present the figures are un-audited.

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