I hope I am not late. The only way this proposal is not going to work is if we constantly print and inflate Luna. What I am proposing are the solutions to following:
- Burning initiative (you have to purchase Luna to burn Luna)
- The amount of free-floating Luna on the market
- Inflated Luna
- Price manipulation
- Block-chain coins may be a securities issue
- Letting the investors get rich in respect to Luna (no, there is nothing wrong in getting rich!)
The white-paper and the source-code (Ethereum token) are located here:
github DOT com/olejardamir/Hertz
How does it work?
- There is a fee to locking (or in this case wrapping) Luna
- The fee is split onto % that is burned and % that is shared with others who locked Luna
- Locked Luna gives you another coin that simply states how much of the shared locked Luna you have
- You can never get more coins for the same or lesser amount of Luna that you previously locked
- You can never get less Luna by unlocking than what you locked (except by applying the fees)
- You can create an arbitrage of the Locked Luna coins on the exchange and exchange back on the Luna chain (or do the reverse)
This is my old reddit post I made several days ago:
reddit DOT com/r/terraluna/comments/usu7v0/here_is_a_luna_solution_that_nobody_has_considered/
Mechanism WORKS, and is a valid solution to a current problem. It goes along any burning mechanism that you propose, and it gives people a reason to purchase and burn Luna!
About me: I am a full-stack full-time developer, and I can work on making this mechanism. The only thing I need is a community support, a few brilliant minds on my side to think of an improved mechanism, a team of people who are interested in purchasing Luna, doing the work/coding… and of course, the possibility of getting rich by making others get rich - the honest way.
PS This pegging idea can go beyond the Luna, and can become a working and a functioning decentralized company (a dream of every entrepreneur).