This proposal is definitely great! I support it! This will make the protocol strong!
3 Likes
I love this economic model. I vote Yes
3 Likes
I vote for this! Let’s build more use cases than ignoring what’s already been created.
3 Likes
Good first draft. Just 1 major potential pitfall regarding the VRT tokenomics. The token needs a mechanism to incentivize holders to stake the VRT as an integral part of daily operation , instead of treating it as just an interest reward from using the protocol. Without such mechanism, the rewards face huge selling pressure daily and will likely spiral downwards in price, which increases the emission as the emission is determined by dollar value not token supply. Such emission increase will bring even bigger difficulties for the protocol to control the supply emission. Which is likely to cause a downward spiral like PancakeBunny (pre-exploit) and Polywhale experienced. For exaple Polywhale lost 99.5% of it’s value due to the “high APY, low staking incentive” model.
With that assumption, a couple suggestions I would like to make for the VRT tokenomics to have it shine on it’s own and increase the TVL of Venus Protocol, hence can benefit Venus and XVS, and most importantly the whole community as well.
I suggest having an incentive, where holding 20% of your portfolio supplied to Venus Protocol in VRT gives 30% extra APY rewards (8% to 10.4%, 7% to 9.1%). This gives a soft peg of VRT market cap towards the Venus TVL. By current supply, every 6B in Venus TVL will result in an increase of $0.1 in VRT value with such mechanism. The success of VRT is directly proportional to the performance of the whole Venus Protocol.
EDIT: Providing case study to support the 6TVL : 1MarketCap model.
Celsius Network & CEL token: TVL 9.6B, Marketcap 1.6B.
Tokenomics is similar to VRT, where holders can receive more rewards with holding more CEL. CEL token also has a 4.86APR compounding weekly, which is around 5% APY.
JPMorgan Chase total asset value: 2.98 Trillion, Marketcap of stock: 472B
JPMorgan Chase is a bank where their stock holds value and distribute dividends quarterly.
The “bank” model 6:1 set up makes sense for Venus Protocol as lending protocol in it’s core is similar to a bank. With the aforementioned set up, holders hold 20% of VRT for better rewards, with some community members choosing to opt out, the realistic expectation is to have total VRT marketcap be around 16% of TVL excluding VRT. Obviously such projections have to go through a DeFi expert to form a mathematically solid equation however judging by the model of Celsius Network and CEL token, such ratio projection should be expected to be maintained very closely. Therefore community can have an expectation on the value of VRT.
I would also suggest to implement liquidation of collateral to include 20% of VRT to recycle the supply and to lower emission by recycling.
Variable APY vault would harm the community that supported the protocol but were liquidated due to the May 19 manipulation event. We should proceed cautiously, or delay the implementation of such vault.
15 Likes
我投反对票。
Venus项目团队应该把工作重心回归到项目的长期发展上，vrt代币目前看来并没有必须存在的意义（即便它已经被生成）。
团队精力有限不应该花费更多的代价在新团队计划之外的东西上。
新团队是过来让Venus新生而不是纯粹解决老团队的烂摊子。
在目前的阶段社区声音确实需要聆听，但因为目前项目持币人的利益其实已经因为vrt的代币产生了利益分歧，多数人希望vrt赋能只是希望获得短期收益而不是希望看到xvs的长期发展（甚至可能部分vrt的代币持有者早已抛售xvs），这与xvs项目的长期持币人的利益是冲突的，特别是发生519事件之后才进来支持xvs项目的人。
目前xvs项目在bsc上的声音已经越来越小，其他竞品项目大有随时超越xvs的可能，不要再为不清晰的路线犹豫而浪费最珍贵的时间。
2 Likes
TRANSLATION:
I voted against it.
The Venus project team should return to the long-term development of the project. The vrt token currently does not seem to have the necessary meaning (even if it has been generated).
The limited team energy should not spend more on things outside of the new team’s plan.
The new team is here to bring Venus to life instead of just solving the mess of the old team.
At the current stage, the voice of the community really needs to be listened, but because the interests of the current project holders have actually diverged from the vrt tokens, most people hope that the vrt empowerment only hopes to obtain short-term benefits instead of seeing the long-term xvs Development (maybe even some vrt token holders have already sold xvs), which conflicts with the interests of the long-term token holders of the xvs project, especially those who came in to support the xvs project after the 519 incident.
At present, the sound of the xvs project on bsc has become smaller and smaller, and other competing projects are likely to surpass xvs at any time. Do not hesitate to waste the most precious time for unclear routes.
7 Likes
Those Tiers are too steep, we want XVS to be worth a lot in a couple of months so I would say for it to be practical lower the amount of XVS needed per tier. This way it doesn’t have to be corrected later and can support early adopters sooner.
Thanks
I vote to keep VRT to be able to give high APY, but please no lottery and other crap things like that, Venus was classy, we don’t need this at all…
2 Likes
This is exactly what we need!
4 Likes
Strongly disagree with the current proposal The no.1 priority is to have defi consultant to clearly examine all the possibilities of each proposal first, then to present the viable one to the community
Support this proposal because of following reasons:
- Incentive to hold XVS
- Incentive to load up (More XVS= Better APY)
- Better yield because of dual token model
- Reduces the XVS emissions without compromising on yield
- No need to spend XVS and buy back VRT
- XVS= Gov token with majority share in protocol revenue
- VRT= reward token with clear use-case (Yield generation/protocol fee/staking)
9 Likes
You are on it! 
2 Likes
+1 Vote for this proposal
3 Likes
I support this proposal…
3 Likes
+1 Vote This proposal version is much better than second one! Just make it happen.
2 Likes
I vote for this proposal. However, as others have pointed out (here and in Telegram), VRT needs more usecases to prevent it from being dumped to oblivion. Please consider the following proposal that also integrates NFTs from another user:
Good luck.
3 Likes
Support this proposal - +1 vote. This proposal addresses alot of the shortfalls of the past, boosting APY and decreasing XVS pressure. To utilise VRT as part of the burn and treasury/debt build mechanism is great!
3 Likes
I vote YES… VRT is already part of VENUS… just need to be implemented…
XVS will affect the earnings soo you have interest to hold XVS as well to try to achieve the biggers tiers soo in the medium long period.
With this we are removing almost 70-80% selling pressure from the daily XVS emission, since we will in the general fight to get the last tier…
Besides that XVS distribution can be extended from the 4 years to 8 years or even more, with VRT as extra reward and deflactionary we are giving value and some usecases to it.
I believe we need to mix some from DRAFT 2 proposal as well:
- Start the repurchase dividend mechanism
Every two weeks, a certain percentage of the funds in the treasury (for example, 70% at the beginning) is used to repurchase XVS in the secondary market. According to the ratio, the repurchased XVS will be distributed to the users in the insurance inventory. It should be noted that the allocated XVS is in the vault, and the withdrawal also requires an unlock operation.
1- remove outside liquidators after pay bad debit, use treasury funds to pay those
2- the payback has to be paid 20% of VRT and 30% of XVS, remaining 50% to be used from the treasury balance (accordingly the balance)
4- 5. We will be adding a prediction based game similar to PancakeSwap-this should allow to be played as well with XVS… wich would help to reduce the total supply as well…
1 Like
+1 . Make Venus great again
3 Likes
i vote for this one , love it
3 Likes