The biggest challange bancor is currently facing is to get attract more trading volume. I have been thinking about ways to stimulate trading on bancor without inflating the BNT supply too much, and came up with an interesting idea.
What if you’d get intered into a valueable NFT lottery, every time you make a trade on bancor? It would certainly give people incentive to trade on bancor over let’s say uniswap, as they get the chance to hit that rare, valueable NFT (cryptopunk or similar?)
Similar to what contributed to binance success in 2017. They gave away a bmw I8 / tesla and so on to some lucky traders. Why would you trade on bittrex/poloniex if you could win a supercar on binance? Crypto.com took this same approach with multiple giveways, and these ways of marketing seem to work. Lotteries in general are successful because it gives people the possibility to win something that could be lifechanging. In general it would be a relatively cheap way for people to get attracted to the bancor protocol, compared to some other possible incentives. And once they are used to how bancor works, they might stick around.
It’d also be a clever way of marketing, which could be used to get peoples attention on social media. Everyone would be talking about that AMM where you can win a rare and valueable cryptopunk (or similar) for simply making a single trade. I would definitely go for the hyped NFT’s to cause this ripple effect, which would probably be a cryptopunk currently.
It could be organised and funded in different ways. Even by minting ~$10-50k usd worth of bnt to fund the lottery, which would be like a small droppled in the ocean of LM rewards. It would probably also rake in far more trading fees for the protocol compared to the amount of bnt that would need to get minted. The lottery could be hosted on a weekly or monthly base. (Preferably weekly to start things off)
I’d suggest to grant more tickets to bigger transactions, however to focus on the relatively small transactions as that’s where bancor is currently lacking. in a way similar to:
-1 ticket for 0-1k transaction -2 tickets for 1k-5k transaction
-3 tickets for 5k-10k transaction -4 tickets for 10k-25k transaction
-5 tickets for $ 25k+ transaction
New projects could also promote the trading of their token on bancor, by sponsoring the lottery, resulting in a ticket multiplier for trading their specific token.
Showing the amount of tickets accumulated could be done off chain, with a snapshot, to avoid any gas cost.
Let me know your thoughts on this fairly cheap way of marketing & incentivising trading on bancor.