Lets put it out there.....What would you like to see done with the licencing fees

CROSS POST FROM OTHER THREAD

Against both buybacks and burns

I also like this sentiment for a number of reasons. First let me clarify how I think the flow should go :

  • When banks want to use the service, simply have them pay in fiat or a stable coin, not in eRSDL.
  • Next, whatever is necessary for tax purposes, unfed can hold in an interest bearing account until the end of the tax year (can get 20% on Terra, just as an example) so that way the money is working for unfed still.
  • The rest gets distributed to holders proportionate to how much they own, with a multiplier for LP. I personally recommend 1.2x for LP (but of course it’s up for discussion). This creates something that ersdl desperately needs, a sustainable incentive for LPs that’s not dependent on platform specific (i.e. bancor) inflationary defi rewards.

Reasons that I think this is the way to go

  • It’s a lot more direct with no extraneous steps in the middle. Especially for a company looking to be compliant, this model is a lot more palatable to the SEC and regulators.
  • As defi 1.0 and the summer of 2020 have shown, you want as MUCH separation from the native token and the rewards. Regardless of how much a buyback and burn sounds appealing from a ponzi pumpamentals perspective, those rewards will have to be cashed in. Without incentives for LP, and a decreasing supply of ersdl in the pools from the buyback and burn mechanism, anyone that wants to actually enjoy their rewards will have to crash the price of ersdl.
  • With the burn mechanism, you then have to ask yourself, who wants to provide liquidity for an asset they have a bullish outlook on, that they know they will lose from buy back and burns. LP’s get the short end of the stick here.
  • Simply knowing that OWNING ersdl gives you a constant cashflow creates all the buyside pressure you need, with no sell side pressure from rewards dumping.
  • This is also a much more digestible pitch for people in trads looking to invest into crypto/defi, as it frames ersdl as a dividend coin, something they can easily understand.
  • This also presents a “coop” narrative for banks that use the unfed service and also want to partake in the ecosystem as well, creating more buyside pressure on the token. If anyone has ever shopped at REI, you know that being a member, you also get kickbacks from the revenue REI generates, since you too are an owner, which creates a nice feedback loop. This compounds on the key of inclusiveness, promoting the idea that anyone that partakes in unfed is also a part of the project.

Summary
-Banks pay in stables
-Tax portion of payments put into yield bearing accounts until end of year
-Rest distributed to holders proportionate to how much they own, with 1.2x multiplier for LP’s.

PS - I’d like a ban on howie using 1000 in any promotional materials or examples regardless of intent. We know how that went last time. T_T

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Seems like a better mechanism than the OTC vault/lock or burn, Would love to see this fleshed out further!

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Great idea - I applaud the outside the box thinking and would love this.

vote people we need more agents

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I want none of the options but instead the fabled post #22 Lets put it out there.....What would you like to see done with the licencing fees - #22 by FFBWW

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