Trybe token distribution improvement proposal

in trybe •  last month

Trybe team recently released links to a draft of the new whitepaper. In its token distribution section, it has a chart showing potential initial token distribution which I have shown below:

image.png

As you may see in the chart, the Trybe team plans to keep 20% of the tokens to themselves. The whitepaper also states that “Each year at the end of the beta phase there will be 10% inflation on Trybe.” I personally disagree with both of these allocations. Let me explain why:

Trybe team having control of 20% of the tokens would mean they will have a heavy grip on the platform. It would be too centralized if the team holds such high percentage of tokens. My proposal to improve this would be to allocate 10% more from the founder’s portion to the ICO. Meaning that the team should keep no more than 10% of the tokens.

The money will go towards the development of Trybe if it is allocated to the ICO (which will become 50% of the allocation after the 10% increase) but the tokens will go to the hands of the community. More tokens in the hands of the community equals to more decentralization.

As for inflation, 10% is totally unnecessary. It will scare many investors and suppress the price of the Trybe token. Many investors will not want to enter a token with such a high inflation rate. For token rewards and operational costs, I don’t believe Trybe needs 10% inflation for that.

A token with 10% inflation will be obviously less attractive to investors to hold for long term. Here’s my proposal to improve the inflation system:

  • Decrease inflation from 10% to 5%.
  • 50% of the inflation (half of the inflated tokens) will go towards Trybe’s operational costs.
  • 40% of the inflation will go towards the rewards pool.
  • 10% of the inflation will be for staking Trybe.

Trybe team should propose a model that is both sustainable and reasonably attractive to potential investors (that includes me as well). That is what I believe. That’s why I shared my thoughts on this. If you would like to share your opinion about this or disagree with me, then consider leaving a comment explaining that.

This post is about Trybe.one, a quality content focused medium like blogging website with its own token economy. It is planned to be built on the EOS mainnet. You will receive 100 Trybe Tokens (worth over 6$ at current market price) if you sign up now and add your eos account in your profile. Sign up to Trybe here (referral link).

Authors get paid when people like you upvote their post.
If you enjoyed what you read here, create your account today and start earning FREE STEEM!
Sort Order:  

Thank you for another great post. I agree with your point. Attracting investors will be a key instrument to develop the platform and create sufficient value at exchanges. The price of the tokens will have a high impact on the user base as we have seen on Steemit.

Hi @littleboy!

Your post was upvoted by @steem-ua, new Steem dApp, using UserAuthority for algorithmic post curation!
Your UA account score is currently 4.010 which ranks you at #3439 across all Steem accounts.
Your rank has not changed in the last three days.

In our last Algorithmic Curation Round, consisting of 316 contributions, your post is ranked at #247.

Evaluation of your UA score:
  • Some people are already following you, keep going!
  • The readers like your work!
  • Try to work on user engagement: the more people that interact with you via the comments, the higher your UA score!

Feel free to join our @steem-ua Discord server