Burning supply topic

đź’ˇ Ideas
#1

Many people think that the supply is too much high and with the additionnal sup every year , price dilution continue year after year .

Drew post a article on this , is it possible to share ?

1 Like
#2
2 Likes
#3

Thank you.

Adding supply = money print

#4

If Pillar project going to run a DAO model, let people choose burn or not burn the $PLR token.
I choose burn

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#5

Many project choose burn of migrate their token to reduce the supply (Aave, Bnb, Req, Omg,…)

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#6

Yes, the DAO should decided. I think a better tactic is to sell PLR to assets that will appreciate, sell that asset and buy more PLR tokens to create buying pressure instead of burning

5 Likes
#7

Burning will only mitigate the selling pressure but won’t be of any other use.
This incoming dilution can be compensated by value creation.

I have few ideas but I am not at all expert and I am sorry in advance if there are mistakes or caveats I didn’t foresee.

Idea 1
Node validator for other projects

  • sell PLR OTC (at a discount or not) to existing token holders.
  • use the fund to become a node validator of other projects after due diligence from the governors.
  • this node validator will be using Pillar DAO as a brand
  • if elected, this position will help us diversify into multiple assets, get returns and promote our DAO.
    One example:
    centrifuge.io —> Decentralized Asset Finance. They bring real world asset into the blockchain.
    validator program: https://developer.centrifuge.io/chain/get-started/validate/
    I am a community member participating in their asset backed pools. I can reach out to them if you are interested.

Idea 2
Build dApps out of other infrastructure providers and integrate it directly into our wallet.
Example: Etherisc.com ( decentralized insurance)
Scroll down upto “Products build by the Etherisc Community”

Idea 3
Instead of selling PLR for diversification, better pledging?
DAO will pledge PLR to existing members willing to participate. Members will supply with specified assets or let’s say Dai or USDC per example (at a minor discount from market rate). This DAI or USDC will be used for asset diversification in DEFI and should generate income (WBTC-ETH liquidity pool, just an example)
Positive impact 1: the PLR tokens are not entering circulation. No selling pressure.
Positive impact 2: DAO gets exposure to stronger and diversified assets.
Positive impact 3: rewards for the lenders (in the diversified assets, not in PLR). Ex: if the diversified asset is a LP token (WBTC-ETH), the generated fees in WBTC and ETH will be partially given to the lenders. The fact that PLR are not given as rewards means no cash out pressure.
Positive impact 4: fees to move from one LP to another LP are huge for small investors, whereas here we might be pooling 50kusd to 100kusd together (in the beginning) and we can track continuously the best LP available while keeping the fees very low versus the investment. This will reflect positively in the lenders income.

Idea 4
This 4th positive impact of the previous idea leads me to another idea which is the investment fund. We can create a fund accessible only to holders of a certain amount of PLR (100kPLR? per example), where they can pool their fund in order to access investment opportunities accessible only for bigger investors OR investment strategies not viable because of network fees.

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