Summary
A short proposal to try to save this ecosystem, absorb the inflated coins cap into a 3rd token while keeping everything as is
Motivation
A fork (revival plan 2) will not help
Proposal
I believe the only way to save this eco system is by fast draining of UST tokens from (currently) 11 billion to around 1-2 billion supply (instead of just abandoning it)
And for that the following is proposed
- Create a brand new token [for now lets call it LunaExclusive]
- The only way to mint LunaExclusive is by burning a large amount of luna, such that the theoretical max supply of the new token would not exceed 1-10 million tokens
- Holders of LunaExclusive will receive a set amount of UST over time
- can be monthly / yearly
- reward can be given instantly or upon burning of the token
- can be capped to a certain amount of UST
Using current prices as of writing this, a conversion rate would be around
5~ million luna → 1 LunaExclusive
This would potentially move some of the market cap to different coin, which might be a bit harmful at start, but as things balances out this should not be an issue (given that Tera went from 30bil cap to less than 1bil) … ie this would only work because the current total market cap is low
Implications
- Conversion from UST → Luna → LunaExclusive will keep happening as long as its profitable to do so
- The total amount of coins will keep reducing until it reflect the current market cap / adoption
- Early adopters of the LunaExclusive will get rewarded over time as UST goes back to 1$
- As everything starts to balances out (ie: UST = 1$), price of Luna would start to go up making it very hard to mint more LunaExclusive
this might be a simple idea with alot of flaws, but I believe building upon it can be fruitful. Also I have not read the technical details for luna, so this might be impossible to implement.