We need a better plan than 3.3 million XVS sales

Thank you for the information in the venus protocol weekly update W28/2021 published yesterday. I hope it will proceed transparently like this in the weeks to come.

In the last part of the W28/2021 update, it was stated that there was no change in the idea of ​​selling 3.3 million XVS that came to the agenda with the VIP-29.

I think that the VIP-29 and bailout feature can only work in a bull market, but will not be successful in liquidating debt in a bear market or sideways market. Although it is stated that 3.3 million XVS will be released in a way that will not create sales pressure, 3.3 million XVS means an increase in supply of approximately 30%, considering that there are 10m XVS in circulation. Therefore, this sale will definitely suppress the XVS price. Apart from this sale, it should not be forgotten that XVS will continue to be given as platform rewards.

What would be the possible negative consequences of placing 3.3 million XVS on the market?

1-XVS price may not find the place it deserves.
2- The low XVS price may cause the prolongation of this sales process, thus prolonging the recovery time of the platform.
3- In this case, for the liquidation of the debt, sales of 3.3 million xvs plus more XVS may be on the agenda.
4- Low XVS price may also prevent apy rewards from remaining low and new investors from coming in.
5-People may be reluctant to receive a coin reward that will have at least 9-12 months of selling pressure on them.

For the reasons I have explained, the most important contribution the new team can make to the platform will be to find out how to liquidate debt with much more painless methods.

Instead of selling 3.3 million XVS to the market, my suggestion is:

We all know that the success of Venus means the success of BSC and therefore Binance can play a more active role in the settlement of this debt.

It is the purchase of 3.3 million XVS by binance at the price at which the deficit will be closed at once (for example, $25 - $30 per XVS, although the exact figures are not known). Then, within a period of 2-5 years, these XVS can be sold to the market or Binance can use it for promotional purposes. As the debt is liquidated in a single move and the selling pressure is removed, i think that XVS price will easily rise above $100 and Binance will make good profits from this sale. My suggestion will bring profit for both Venus, Binance and bsc.

Moreover, Binance’s purchase of these XVS for investment purposes will prevent Venus’ DEFI feature from being damaged. My opinion is that the bailout feature with VIP_29 will only work in a new bull market. However, considering the possibility that the horizontal market or bear market will continue for the next 1-2 years, the most logical plan would be for the new team to convince Binance. Otherwise, the contribution of 3.3 million XVS sales to the return of the platform to its heyday may not be as expected.