Bi-weekly update #9 - Nuxonomics. We thank you all community members for the constructive and value-added feedbacks we received.
10 Sep 2021, 19:32
Bi-weekly update #9 - Nuxonomics
We thank you all community members for the constructive and value-added feedbacks we received.
Today we present a summary outlining key principles and highlights of the NUX token economy.
The detailed document will be shared next week once it is agreed with the community members.
NUX DAO is introduced
NUX holders will be able to stake NUX to the DAO contract allowing them to
• Receive an estimated APY of 120% being a function of to-date NUX buybacks (*), monthly NUX buybacks and 10m of reserve NUX tokens, if required.
• Receive a specific individual contribution allocated from the monthly buyback assuming the individual’s proposal add a notable economic value to the NUX growth and development. **
• Participate in quarterly votes on community-suggested proposals that will be implemented after a passing vote.
* 100% of the NUX tokens (306k NUXs or ~$100k) that have been bought out from the market through the buyback program up to date will be fully granted to the DAO stakers NUXs staked in the DAO pool on a TVL pro rata basis.
** The contribution is designed to be significant in USD value, however conditions will apply.
NUX utility enhancement
Smart LP, Hedge and Feeno products
• Up to 50% discount to the product fee is granted when the USD value of staked NUX is 25% or more of a user’s USD TVL in the contract.
The discount model for the NUX products we are to adopt is based on a principle that the token holders are entitled to a perpetual discount on services but structured in a way that the discount is mathematically equivalent to a revenue or fee but only if they utilize the services.
CEX / DEX arbitrage and Fair launch
• NUXs buyback model is kept
These products’ revenue streams either depend on the market volatility or are bespoke services therefore the earlier applied NUXs buyback model is kept. The acquired NUXs from the market will be granted to NUX DAO stakers.
Additional limits to NUX tokens in reserves
• 4m of NUXs allocated to the core team and being partially unlocked as of now will be kept in the reserve until the NUX token price reaches 3$ per NUX. This condition cannot not be revisited until 1 January 2024.
• As per set-up smart contract terms, 488k NUXs are unlocked each month in the development, community and partnerships’ reserve with an option to finance the project development needs. The decision is made to reduce a withdrawal limit of newly unlocked tokens to 250k NUXs per month (i.e. 51% reduction), being not more than 6% inflation rate of NUXs 50m maximum supply.