Polycub Governance: Let's Have 1 More Halving Please ๐
DAO puts direct democracy back in action. Instead of 1 person = 1 vote we get to vote based on skin in the game. Unless a voter is planning for financial suicide - people will vote for their self-interest. So we all have the same goals in mind.
1 destination can have many paths. Different people will think different paths will get the where they want to. To settle differences we can have a vote on blockchain.
Vote At https://polycub.com/governance
I've made my vote based on what I think will be best. If that's majority - noting will change. If not 1 small change will be made.It'll make ripples across tokenomics. Hopefully it'll all work out for better.
Why Change Of Course
Point of having a DAO is making decisions in a decentralzied way possible. Devs can't foresee everything in future. Adaoting to situations is necessary. I do think there's a thing as too many proposals. But we are far from thre.
At current figures, Protocol Owned Liquidity is larger than the actual POLYCUB market cap. This is a huge disconnect between the market valuation of POLYCUB and the risk-free value (RFV). We are below RFV which means that the Protocol Owned Liquidity is actually larger than the MCAP of POLYCUB. This is bullish but also signals a lack of strength for POLYCUB and 0 speculative interest (in fact, a negative speculative interest).
Our goal with Adapt is to bring us back to a sustainable level and base off from here. At the current POLYCUB Rewards Per Block - 0.0625 - we are well below the earnings of both the Multi-Token Bridge (pHBD & pHIVE) as well as the Protocol Owned Liquidity's Monthly Revenue.
As it stands, the MTB and PoL on their own have the capacity to buyback more POLYCUB than is issued via inflation (@ 0.0625 POLYCUB / block, this is a minuscule amount per month) more than 5-10x over.
Our goal was to turn POLYCUB into a deflationary token in terms of buyback potential. We've achieved that and any further halvenings simply take away from future MTB Growth.
Those are the important bits about PIP 3. I think it's a valid idea. We've got very low inflation now.
985.5K pCUB Every Year
Based on 2 second avg. block time - 365 days/year. That's a managable inflation. I did some number crunching!
We've Got Insanely Low Trading Volumes
Even $1000 trade can totally move pCUB markets! As long as Cubs HODL with diamond hands... we'll be fine.
Stable 30D Prices
50% xPOLYCUB Locked For 1.5 Years!
My Conclusion Behind Vote
pCUB can afford at least another halving. Inflation will be single digit. I know it'll bring APR down. But what if we could have vexPOLYCUB day to rally the prices! Many of the investors are in for long term. That's why so much is locked in vexPOLYCUB.
We've managed to stay steady. Is it crazy to think we can have 1 more round with the current system to make tokenomics even tighter ๐จโ๐
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