The BAD Fund (Burn dApp Development Fund)

This was written when I was writing the LUNC Community Custodian proposal, so this goes along with that and I haven’t quite finished it yet, but I am sharing it because I have observed that the community is interested in knowing what we are doing about burns. Well, this is one of the major plans I have with burns, though, this is not the only plan since my auto trading bot also burns LUNC directly.

I will prepare the budget for this and include it in the LUNC Community Custodian plan. For now, we can have a discussion around the ideas I have mentioned in it. It’s nothing difficult to do, but in order for us to do this, the LUNC Community Custodian needs to be made, otherwise we do not have a responsible entity who will take care of this.

I will move with this, along with the LUNC Community Custodian prop in a single prop, but I will keep the information separate since this will also be a large document eventually.

The reason that I did not move with this earlier (even though this was written in December) is because I had believed in the Terra Grants Foundation, and that they would be able to fund more applications on the chain since we had funded them to do just that. Months later, I do not see any progress on that front and we are seriously lagging behind as far as onboarding new dApps onto the platform is concerned. TerraPort and TerraCasino are not being funded or supported by the community even though they are performing well and doing their work properly. Such projects should be funded and other projects are also welcome to apply to the funds mentioned in this document after this proposal passes. This would hopefully be a welcome change for the entire community.

I am not re-introducing myself here since I have already done that twice in my other two proposals. Please go through the concerned sections in those documents and I would encourage the reader to also go through the LUNC Community Custodian proposal, since The BAD Fund will be a sub-proposal to that in the final proposal.

Almost all blockchains have a mechanism in place in which rewards/incentives for developing on the chain are distributed to participants from time to time. This helps keep the development on the chain active and the competition healthy.

The proposition is to create such a fund, which will incentivize and keep participating development teams engaged in activities (on the chain) all year round. Activities will be done on a recurring basis, until the fund is exhausted. The fund may also be replenished from donations from supporters and other patrons.

The central objective of The BAD Fund is to incentivize all builders who are working on dApps which helps the burns of both $LUNC and $USTC. These dApps may be related to L1 or L2 development and both shall be considered for eligibility to apply for the fund.

Activities of The BAD Fund

(will include, but not be limited to the following)

  • Yearly Hackathon Event
  • Monthly Coding Challenge
  • Bug Bounty Rewards
  • Small to Medium-scale Project Funding
  • Influencer Incentives & Rewards
  • Validator Voting Incentives & Rewards
  • Online & Offline Marketing Activities/Campaigns

The LUNC Community Custodian will provide an independent vetting process based on which, we will be distributing rewards, funding projects, and incentivizing the chain. The entire process will be handled by the Custodian and funds will be distributed from the Custodian wallet reserves to eligible individuals/teams.

Yearly Hackathon Event, Monthly Coding Challenge & Bug Bounty Rewards

  1. A yearly hackathon event will be created & promoted by The BAD Fund in which individuals/teams who are working on projects which directly concern burns of both $LUNC and $USTC will participate in a challenge to compete against other individuals/teams for a bounty/reward for the best project in terms of innovation, usability, coding standards and overall project design
  2. Individuals/teams will participate in monthly coding challenges like smaller dApps which can be made within 10-20 days. dApps which directly concern burns of both $LUNC and $USTC will be given preference and monthly rewards in $LUNC and $USTC
  3. Discovering and mitigating bugs are a perpetual process and many individual contributors also contribute to this process in Open Source software. Thus, we shall create and promote a bug bounty program (currently available on Ethereum, Solana, etc.) exclusively for the Terra Luna Classic blockchain. Rewards for finding bugs will range from $5-1,000 depending upon the type of bug identified

Small to Medium-scale Project Funding

  1. Individuals/teams who are working on projects which directly concern burns of both $LUNC and $USTC will be given preference
  2. We will be funding projects within a budget range of $10,000-100,000 USD
  3. The BAD Fund will not only fund the projects, but will provide additional services with the partnership of the LUNC Community Guardian. Examples of such additional services include (but not limited to) project cost estimation, doxxing, licensing, etc.

Online & Offline Marketing Activities/Campaigns

  1. Burn-focused marketing online/offline campaigns will be promoted by The BAD Fund to sensitize the community about Burn dApps
  2. A Physical Burn Ticker will be constructed by engineers at any one location in the world to promote the Terra Luna Classic community and $LUNC & $USTC Burns
  3. Each and every project funded by The BAD Fund will also be marketed by us on all online and offline media with custom campaigns designed for funded projects

Influencer & Validator Voting Incentives & Rewards

  1. Influencers must promote and educate the community about recent proposals being voted on the Governance portal, and the Terra Luna Classic blockchain at large. Voting rewards will be distributed to a registered list of influencers after every 3 non-spam proposals have ended. Rewards will range from $1-$100 USD at most in individual reward value
  2. Every validator who votes on non-spam proposals will have a chance to win up to $100 on every vote. Validator voting rewards will be calculated using a formula derived from the voting power, number of votes participated in and activity on the Agora discussion & Governance portal. The validator voting rewards will be distributed from a rewards pool maintained by the Community Custodian

*Eligibility & Rewards criteria for various events/activities/campaigns will be determined based on the event/activity/campaign category at the time of the event

A good direction,it’s qualified the work.
If I guess right,you must be work in huge technical companies before-That’s the method the used to manage the work team.
But in our situation,how to turn it to reality is a painful work.

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We will get there soon.

All hope is not lost, and that’s why I wanted to share this plan.

We will definitely be able to increase burns if we go about doing some of the things mentioned here.

We will create a proper team from the community members who are the most responsible to take up this work. This work will also include coordination with the influencers on the chain including all the YouTubers so that all points in this proposal can be marketed properly.

We will be able to do it. Next iteration will have the budget. After that we can decide on this.

This method you wrote origns from the McKinsey professional business management experience,which uses worldwide for decades.
It’s the best business management tool.Qualifies the work can improve our work speed,and reduce most communication costs. It’s definitely a great method.Details of the plan can be discussed,but it’s definitively a very good direction we should think about.

But……you can see,most people don’t even heard about that and not interested in it.
I feel so inability about this.
How can we put a world top 500 company management tool into our wild catastrophic situation?I can’t imagine that🤣Good luck bro.

But I wish you can make it,and it will be a huge step forward for our chain,even the best step forward in entire crypto ecosystem.

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Terra Luna Getting his own Visa Card (proposal)

One possible proposal could focus on creating a credit card that allows users to earn rewards in Terra-based cryptocurrencies, such as Lunc or UST. The rewards could be structured in a way that encourages users to hold and stake their Terra-based assets, thus supporting the stability of the ecosystem. For example, users could earn a higher reward rate if they stake their rewards in a Terra-based savings account, or if they use their rewards to purchase Terra-based products or services.

To incentivize users to adopt the credit card, it could be designed with user-friendly features, such as low fees, cashback rewards, and exclusive benefits for Terra ecosystem members. For example, the credit card could offer discounts on Terra-based products or services, priority access to Terra-based dApps or events, or free access to educational resources on Terra’s blockchain technology.

To fund the rewards and benefits, a portion of the transaction fees generated by the credit card could be used to purchase and burn Terra-based assets. This would create a deflationary effect, reducing the overall supply of Terra-based assets and potentially increasing their value over time. This could be a powerful incentive for users to adopt the credit card and support the Terra ecosystem.

When proposing a credit card for the Terra ecosystem, it’s important to consider the regulatory and compliance requirements for operating a payment network. This could include obtaining licenses, implementing anti-money laundering (AML) and know-your-customer (KYC) procedures, and complying with data protection regulations. It’s also important to consider the technical infrastructure required to support the credit card, such as integrating with existing payment networks and securing user data.

Overall, a credit card for the Terra ecosystem could be a powerful tool for increasing adoption and support for Terra-based assets. By structuring rewards and benefits in a way that incentivizes users to hold and stake their Terra-based assets, and by using a portion of transaction fees to burn Terra-based assets, the credit card could help support the long-term stability and growth of the Terra ecosystem.

Chain lacks a legal Dao to represent it.
Chain lacks funds for design, development and so forth.
There already are options available that do what you propose.

Hijacking another thread does not change it.


Considering what you are saying here, this isn’t a bad idea at all.

I would advise you to post this in a new post so that we can discuss this properly.

These are all correct so yes, there are a lotta considerations even if we can do this.

I do work on NFC cards so it is possible to make NFC cards very easily without the requirement of connecting it to a bank account for fiat. I mean, the fiat conversion could be done in a different way in the backend. I have seen it in a workshop at college how they make NFC cards and upload the firmware on it after which you can just Tap-n-Pay. It’s damn easy.

So there is definitely a way to do this in a completely decentralised manner as well.

If you want real USTC burns and simplify of the repeg - vote for burning USTC Oracle burn, for stop any USTC distribution.

I can try and attempt to do the second one, but the first one is a little difficult.

We might need that Oracle pool if USTC is repegged so the idea is counterproductive.

But yes, we can definitely stop the minting of more USTC and help in burns just like this plan is doing for LUNC.

I dunno why the developers haven’t done this yet, but they could have done a 80-20 on the burns when sending to burn wallet.

80% LUNC - 20% USTC

So both burn at the same time.

We burning LUNC a long time (we haven’t even burned 1% also), how did this help the utility and price? Without real repeg actions, the network will finally ends in 1.5-2 years.

Repeg is not my domain sorry. For that I need to recommend you to Ziggy or another proposal. But I am currently not working for a repeg.