Proposal: Trial One-Time BNT Burn from V3 Fee Wallet

Deprecated Proposals (NOT SUBMITTED)
9

I think burning BNT is a worthwhile experiment.

However, I’m wondering if will get people to buy and stake BNT.

How about we do two things:

  1. Set all B3 vortex fees going forward to accumulate to BNT stakers - I’m estimating a 20x increase from 0.35% to ~ 7% yield.
  2. Take the 650 K BNT in the B3 vortex, stake it in B3, then burn the bnBNT over 2 months to auto compound for BNT stakers (~1.3% of supply over 2 months ~ 7.8% annualised).

Then we get: 7% long terms income for BNT stakers with a 7.8% Bonus for 2 months = ~14.8% native income purely from fee income.

We have ~204 M BNT in circulation (including protocol owned), and ~45 M BNT staked, so we can burn 0.3% of the total supply, or generate 1.3% income (absolute) for BNT stakers.

Would that generate a stronger BNT open market buying pressure than burning the 650 K BNT?

  • Would you buy BNT if you knew 650 K was being burnt?
  • Would you buy BNT for 14% yield? :thinking:

[More thoughts in this thread]

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