@tipU Tokens - Need Some Feedback :)
Hi guys, I hope you're all doing well. I'm working on issuing @tipU tokens using the fantastic steem-engine platform and need some feedback ;)
The Idea Behind @tipU Tokens
I will be going into more detail with this in the next posts but I'm planning to issue tokens backed by @tipU STEEM POWER. Currently @tipU has 21,618 own SP (SP that does not come from delegations). Out of those 7,507.323 SP is reserved to generate profit for the investments - coming from deposits and auto-reinvest functionality.
This leaves us with 14,946.743 SP that can be used to generate additional profit for new/current users and I'm planning to distribute this profit thanks to @tipU tokens. But there's one thing I'm not quite sure about.
Limited vs Unlimited Supply
First, this 14,946.743 SP is steadily growing each day. I can "reserve" it so it's not being used by the investments and instead it can generate profit for the future @tipU token holders. But we've got 2 possible approaches here:
1. Limited Supply:
Let's say that only 10 000 tokens will be ever issued and it can never go higher (steem-engine allows to limit this).
This means that each token will be backed by 1.494 SP - so in other words, if you have 1 token, @tipU will share it's profit like if you have delegated 1.494 SP. And the cool thing is that over time each token should be backed by growing amount of SP which should provide a steady growth to the token's value.
This process can be additionally accelerated by allowing users to request upvotes for the tokens. Doing so would destroy the tokens so the total supply would shrink. Now this growing amount of SP would be divided between smaller amount of tokens. Neat, especially for token holders.
Cons? Well, the steem blockchain mechanics (reward distribution, vests, STEEM, SP, SBD and many other concepts) are quite complicated and I'm afraid that many users will have a problem with grasping this idea. After all, many users still think that @tipU is just a simple bidding bot :D But there's an alternative:
2. Unlimited Supply:
Simple: 1 token = 1 SP. If you have 20 tokens, you will receive profit like if you have delegated 20 SP. And I can actively print/destroy tokens to keep the 1 token = 1 SP peg.
It's much easier to understand and much easier to predict the profit. But it doesn't have this nice build-in mechanic of increasing value over time, which I really like.
So - let me guys know what do you think :) Which one is better? Are you even interested in buying, holding and trading tokens like this? Maybe I should consider completely different approach? See you in the comments!
PS. @tipU website to monitor and manage the delegations/investments/tokens is in production. Soon(TM).
PS2. Of course there's gonna be an airdrop for @tipU delegators :)
Limited supply 🏆
Posted using Partiko iOS
I love the token idea - with fixed supply. The unlimited supply token is ultimately pointless, there would be no difference between buying a token, or delegating SP, so the tokens value would remain flat and just add complexity for you guys in admin.
My suggestion would be to fix supply and distribute 60% of profits from @tipu's own SP to token holders. This effectively gives 60% "ownership" of that SP to token holders, with the remaining 40% covering the other items you mentioned - "generate profit for the investments - coming from deposits and auto-reinvest functionality."
An added incentive to grow the SP base for token holders could be a daily report produced - set to power up 100%. This would give token holders a powerful incentive to upvote daily this report and boost the own SP (thus token holder profits). I think this would be preferable to burning tokens for votes and foster a steadily growing price for the tokens. The report could cover off daily upvote stats, profitability of delegating, and details of the token economics each day.
Just my 2cents worth. I would definitely buy tokens with a hard cap supply but probably wouldn't buy unlimited supply tokens.
+1 👌
Posted using Partiko Android
Thanks for the feedback!
Well, you should be able to sell the tokens on the market and instantly receive your STEEM back. For SP you need to power down and wait 3 months so that was my basic idea why the tokens can be useful in this scenario.
Instead I think that 100% of the @tipU own SP profit will go to the token holders, with @tipU holding the majority of tokens. I can then use them for, for example, as a cashback mechanic for upvote buyers - just in case the competition between the voting bots heats up :) Or sell them later on to obtain funds for a new project.
This sounds a bit like "selfish" voting (upvote me and I will give it back) and many users, including whales, are not a fan of that. Thanks again!
The idea of the limited supply based on your growing SP seems like the only way to increase value over time. Is there a way to issue 1 token per delegated SP and the amount of tokens you hold earns you a larger share of the 14,946 profits. Not sure if this would just equal out to the same as a limited supply...
Posted using Partiko iOS
Yeah, I think this is how we'll do it :)
Limited Supply...tokens are an investment in your TIPU company, a shareholder stake...that’s my thought.
Posted using Partiko iOS
I like the idea of the limited supply token that grows in value over time.
@tipu profit for 100 sp
Yesterday 100.0 STEEM POWER delegated or invested gave payout of:
0.004 SBD + 0.042 STEEM (0.02 USD), APR: 18.73% .
Delegation link: steemconnect 100.0 SP delegation to @tipu.
Please note that your profit can be slightly different (depending on the payout time).Check out https://www.steemprofit.info to compare @tipU with other services.
Always better to go with limited supply.
Fiat is unlimited supply and that can affect the value.
The drawback to the limited supply can be spelled out over time and through education. It seems like a minor drawback compared to the benefits.
Aye!
What do you mean will you create a new token? and how can I get it?
I fully support
Check out steem-engine.com :) Basically SMTs (but centralized, for now at least) made by steem users.
Will delegators still receive the same percentage of STEEM and SBD they’re currently receiving?
Yes, nothing will change here.
What about tipu SMT tokens? They will be released at 24 March.
I think this date is no longer valid? @steemitblog usually writes about cost reduction and putting SMTs on the backburner, but maybe I'm missing something?
I thought SMT were delayed too
why not both 😉
Posted using Partiko Android
But how?:)
My idea is that is be a limited emission line.
It like the limited idea but also with this twist:
Where you get existing token holders to vote to inc the token supply when enough new steem in generated to back it. You might not have any reasons now but you might have one later. Like funding a new project, pay bills or god forbid something bad happens to tipu.
By adding this in the policy you are keeping the integrity of the token online and any people buying shouldn't be to surprised by it.
I think this would bring uncertainty because with every new tokens issue its' price would drop (more supply).
Not really for the new token is still (newly) backed and the burn feature is still on. Added the fact existing token holders vote for it to be added not just you. (You can even null your vote for the feature-if you hold alot of the tokens).
Should be no change and new token being added will only happen once in a while
So back to the basic question: 1 token should be always backed by 1 SP or the ratio should slowly go up?