> For the complete documentation index, see [llms.txt](https://source-code-systems.gitbook.io/better-bank/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://source-code-systems.gitbook.io/better-bank/tokens-of-betterbank/chain-specific-token-info/arbitrum/esteem/trading-and-price-model.md).

# Trading and Price Model

**Esteem’s Pricing Model**

* **Initial Price:** **10 USDT per Esteem**, increasing to **15 USDT during presale**, and **16 USDT at launch**.
  * Note: With the delay of the Arbitrum launch, it is uncertain if the presale will stay as described above.
* **Daily Price Increase:** **+0.25 USDT per day**, ensuring **gradual price appreciation** and fair value for late entrants.

**Esteem’s Unique Minting and Smelting Mechanism**

* **Esteem** may be **minted at will** using **any of the assets** listed **in the Stronghold**, removing the need for a liquidity pool. **The funds** so used **increase Stronghold deposits**, **providing** the Wildlands with **more borrowing capacity**.
* **Esteem** may be **burned at will** to receive **Favor**, with a **conversion rate of 70%** of Esteem’s current price in **Favor value**. This **ensures** that any reduction of Esteem does not impair the **Stronghold's stability**.
* This system ensures **seamless adjustment to demand** while **preventing** **protocol instability**.