is that a question for me or the teams pitching business schemes to validators that alters the function of an established token with promises of future profit/revenue based on the work of third party teams like stride?
1 Like
Changing ATOM’s supply schedule and implementing a LST tax is not a business scheme.
The function of ATOM is to secure the Cosmos Hub and offer shared security to consumer chains.
ATOM is also an asset that some people may decide to use as collateral or as a liquidity pair in DeFi.
the Cosmos is a validator business scheme.
if LSDs were natively issued through the LSM to any user 1:1, rewards claimable by bearer, it would just be a function of the token and not part of the AEZ business model.
Thanks for clarifying the numbers. I am using the CoinGecko circulating supply which is at 292M. I see that you are using the CoinMarketCap and Mintscan number which is 367M. I should use that too, but in my database right now I get my data mostly from CoinGecko. That’s a pretty big difference and I am not sure why CoinGecko is so far off from Mintscan.
I understand better what the 25% LST cap means now but still my point stands. We need to run the LST market at scarcity the way Bitcoin runs its bitcoin space at scarcity. LST should be 5% of total in circulation. The current cap of 25% LST means that 25%* 67% = 16.7% of supply can be liquid staked. That is far too high. To bring this down to 5%, that means the LST cap should be about 10%, not 25%.
I get my stAtom number from Stride on Mintscan: Mintscan. Where do you get the 4.7M? I looked at stkAtom on Persistence but it doesn’t add up to 4.7M. Adding that I still get about 3.7M. There is an extra million I can’t locate.
Cosmos doesn’t have the Bitcoin problem where its blockspace is full. Cosmos has the opposite problem - blocks aren’t full. Objective #1 is to fill the blocks. I view LST as a B2B product - it will be used mostly by financial professionals. Those type of products are usually sold for premium because the financial guys can afford it (that’s where the money is after all, just ask Bloomberg, lol). That means we have to run this market at scarcity.
This topic was automatically closed 14 days after the last reply. New replies are no longer allowed.