[approved] qpip-3 : adjusting qrdo protocol fee and burn

Protocol
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OVERVIEW

The QPIP-3 proposal aims to adapt the protocol fee burn ratio within Qredo Network to maintain an appropriate balance between the transaction cost and the price of QRDO tokens. The current protocol fee, which burns 2x QRDO per transaction, was established when the QRDO token was valued at $0.05. With the price of QRDO now at $0.03 per token, this proposal suggests increasing the protocol fee (and therefore, the burn ratio) to 5x QRDO per transaction.

We suggest to vote on this proposal as soon as Wednesday, October 16 - based on the broad acceptance and support from the community in different chats.

PROPOSED TIMELINE

  • Vote starts at 10.00 AM UTC, October 19, 2023
  • Vote ends at 04.00 PM UTC, October 20, 2023

MOTIVATION

The primary motivation behind QPIP-3 is to ensure that the protocol fee and token burn ratio remain in harmony with market conditions. By increasing the burn ratio to 5x QRDO per transaction, we can maintain the integrity of the network’s economics and continue to provide an appropriate incentive structure for network participants. This proposal addresses the need to adapt to changing market dynamics while keeping the gas fee constant.

DETAILS OF THE DRAFT PROPOSAL

The key elements of the QPIP-3 proposal are as follows:

  1. Adjusted Burn Ratio and QRDO Protocol Fee: Increase the protocol fee burn ratio from 2x QRDO per transaction to 5x QRDO per transaction.
  2. Market Responsiveness: Acknowledge that market conditions may continue to change and establish a process for periodic review and future potential adjustments to the burn ratio if deemed necessary.
  3. Community Feedback: Encourage the Qredo community to provide feedback and insights on this proposal during the discussion period. Your input is invaluable for ensuring the ongoing sustainability and success of the network.

CONCLUSION

QPIP-3 represents a proactive approach to preserving the equilibrium of Qredo Network in the face of changing market dynamics. By adapting the protocol fee burn ratio to 5x QRDO per transaction we can maintain the network’s integrity and financial sustainability.

We invite all community members to actively participate in the discussion and to vote on QPIP-3. Your support and feedback are crucial in ensuring the success of the Qredo ecosystem and its commitment to decentralized governance.

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For information only, based on the 2 previous months burns, at a rate of 5 QRDO per tx, the burns would have been:

  • 74,729 tx * 5 QRDO = 373,645 QRDO that would have been burned in September
  • 87,949 tx * 5 QRDO = 439,945 QRDO that would have been burned in August

Currently, according to the explorer, for October (month is not over):

  • 36,732 tx * 5 QRDO = 183,660 QRDO that could be burned in October (so far)
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That’s great stuff - thanks for getting this vote out fast! Very much looking forward to the outcome. I got one will be voting to increase to 5 $QRDO per txn. Bring in the deflationary narrative.

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QPIP-3 vote is over! QPIP-3 is approved!

Thrilled to announce the approval of QPIP-3 proposal with 99.95%.:white_check_mark::ballot_box:

:point_right: The results: Snapshot

:point_right:Share: https://twitter.com/QredoNetwork/status/1717505329481621797

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Great to see this get voted through. Deflation is a great narrative especially at this stage oif a bear market.

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