Bancorians do not know the current status of converting the surplus to ETH yet and I asked for an update in
I think that this proposal should wait until:
- The surplus is converted to ETH
- A strategy has been voted and implemented on how to utilize the ETH in Carbon
this strategy is not bad if the DAO wants to immediately buy BNT from the markets for burning and leave another portion in Carbon generating fees that is then used for more BNT buyback and burning. Eventually all the surplus should be used for BNT buyback and burning but I think bootstrapping Carbon is important as it helps with boosting it stats and that is beneficial to all LPs.
Until the above is done, the DAO does not know how much positive impact on BNT the surplus will have and removing the liquidity prematurely will hurt us if the tide turns. I think if we find that the surplus doesn’t help then we can start exploring limiting trading liquidity on the pools with large liquidity for example pools with $1m or more.