There is a major proposal: [BIP-14] Token Migration & Distribution
I’m just worried that many people can wait 3 years to obtain maximum allocation, which would flood the market.
That’s why the better action is to unlock 1 day before. But everyone knows that and they will unlock 2 days before… But everyone knows that and they will wait the full period? But knowing that… The anticipation of the anticipation makes it a guesswork for me 🤷♀️
What is the correct game theory play here?
1️⃣ An alternative suggestion: 10 years unlock
I’m guessing very few will hold for so long
2️⃣ An alternative alternative suggestion:
You can unlock, you get the unlocked part but the rest is starting a new vesting schedule from scratch.
You never lose your
$BAO, just delay the receipt in time.
It can be favourable to those who need the money now now now now now and otherwise would be forced to seek some shady OTC:
I will sell my private key
(not illegal, no laws, no regulation, free market)
If you unlock a portion now, then the rest will reset the timer. The first year is slow anyway
I actually like the alternative alternative.
Feedback? Thoughts? Comments?
This is why I’ve mentioned continuous burning as something that is done with a portion of all profits to reduce the token supply and create a upward value of the token over time.
If holders tokens gain value over time they will want to hold. If they stagnate and sit at the same value then yeah probably many people will just want to dump their tokens at the unlocking period after 3 years.
Locking for longer and longer periods of time just reeks of desperation and doesn’t instill much enthusiasm for the project or for anyone to want to take part that can pick other projects to invest in that they have flexibility of removing their value when they want or need to. Also simplicity has value in that people don’t want some overly complicated unlocking conditions to deal with as a way to remove their tokens.
The idea with veBao is that the protocol revenue makes it worthwhile to keep locking your tokens, while also maintaining a level of governance over the protocol as a user.
Users who unlock and don’t lock into veBao will be able to claim tokens throughout the 3-year period based on the curve displayed in the OT. However one will also forgo their governance position in the protocol.
Users who want to be done with the protocol can choose to exit their position, but a penalty will be incurred.
We had a community call on this topic today which you can find information on discord here: Discord
There is an audio recording which will be available shortly.
FYI there will be a few governance proposals on these topics the first being the vote escrow configuration.