Hi, adding questions in here from users on Telegram Governance group:
If there is a daily swap total amount (5022.83 XVS), how Venus determine who is the first one get swapped? Is it based on a luck draw or FCFS on the first second after mid night or depend on as per user when the user swap their VRT for the first time (then for this swapping user every 24 hours)?
Does the VRT swapped automatically happen? It does not make sense for the user to manually swap every day? That would be too tedious! And manually swap will also involves my 1st question too.
Let’s say if there is a whale somehow luckily could swap all of 5033 XVS every time every day, then he can go to buy more VRT and get swapped next day, no one else would buy VRT anymore coz no one apart from that whale knows their VRT can get swapped for sure, therefore the arbitrage might not work as we expected, which means whoever can get first 5033 XVS would be the winner and the rest VRT holders are loser… this is speculation, still it could happen. therefore, it is vital to know in what condition and when the VRT can be swapped every day.
If a user swap the VRT, then all his/her VRT would stay in the same vault, and given automatic swapped every day, his/her swapped XVS could not be withdrawn until lock period (one year or certain long period) after his/her VRT swap date. The lock period could be random number between 7 - 365 based on their wallet address, which reduce the XVS selling pressure as it does not give the certainty. What does the team think about it?
Several users asked:
Will a ‘black-list’ wallet added in order to avoid bad-debts users?
Dav Dumbledore asked:
Proposal on a single VRT swap and burn vault. This proposal replaces all other proposals in VRT swap to XVS.
Introduction. There is a fixed amount of XVS to be swapped for VRT to be released linear over 12 months. Linear release protects the XVS token price. For Linear release, a 3% deposit time bonus will be added.
Based on the amount of VRT to be swapped at a ratio of 12000 VRT to 1 XVS, gives a daily cap of
5022.83 + 3% of XVS to be distributed each day, by block.
A new VRT swap and burn vault is proposed with the following parameters and features.
Fair share. VRT supplied to the vault will receive a share of rewards, based on the percentage of the total VRT supplied.
Rewards. The vault will receive rewards as XVS tokens, The amount will be calculated from the daily cap of 5022.83 + 3% and distributed per block.
Reward Time. XVS will be distributed linearly over 12 months. XVS distribution will have a specific start date and end date.
Reward withdrawal. XVS accumulated per block, can be withdrawn at any time by the wallet address that supplied the VRT.
Vault end. The vault will remain open until all XVS had been claimed by individual wallets. When all XVS has been claimed, all VRT deposited will be burnt and the vault destroyed.
Open. Additional VRT can be deposited at anytime. VRT can be deposited 5 days before stat date of XVS distribution.
VRT lock. VRT is supplied to the vault and cannot be withdrawn.
Blacklist. Certain wallet addresses will not be allowed to stake VRT.
Announcement. Give 30 days notice of XVS distribution start date. This allows VRT holders to prepare and be made aware of the VRT swap and burn vault.
Assuming a Linear-one-year-vesting:
In order to avoid speculation along a year (people selling XVS for buying VRT over and over…), after VRT Vault is released, would be possible to open a short-timeframe, let’s say two weeks or a month, for users to deposit their VRT on Vault for Conversion to XVS?
After that timeframe Venus won’t accept any other deposit and those tokens won’t be part of Venus anymore. Users who don’t deposit could yet swap/trade them any other place accepting.
The initial swap was good, predictable and steady. The new suggestion only benefits whales and early swappers which does make me wonder why it’s even being proposed
But the biggest issue with the new swap is that it’s vulnerable to manipulation
Whales will take their swap first and it could take many months for the smaller vrt holders to redeem their swapped tokens
How to avoid that?