[APPROVED] QPIP-5 - Reducing 2nd Billion Supply

Protocol
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[EDIT/UPDATE - 26/02/2024]

QPIP-5 consists of 2 parts:

  1. Supply decrease from 2nd billion tokens minted in 2023.

Reduce the supply by burning 160,000,000 QRDOs as follows:

  • 120,000,000 burn from Ecosystem Fund

  • 40M from Staking Fund

  1. Incentivize participation in Governance for QPIP-5 and QPIP-6 by distributing an airdrop of 1,000,000 QRDO from the Public Goods Fund.

[EDIT/UPDATE - 22/02/2024]

Thanks a lot for your participation and inputs. Please find below some updates:

  • We will keep the burn of 160M as explained in the original post
  • We will allocate 1M QRDO tokens from Public Funds to distribute as an airdrop for participants in QPIP5, QPIP-6

TL;DR

  • Token Burn: 160M QRDO tokens to be burned (40M from Staking Fund, 120M from Ecosystem Fund).
  • Staking Fund Optimization: Reducing by 41.9% to ensure sustainable staking rewards.
  • Ecosystem Fund Refinement: Decrease by 40.9% and expedite unlock of 40M tokens for development and marketing initiatives with focus on high-impact projects that boost the presence and utility of QRDO in multiple ecosystems.
  • Strategic Pivot: Aimed at a resilient and flourishing QRDO ecosystem. Allocation from the Ecosystem Fund of 20M QRDO tokens for marketing initiatives and 20M QRDO tokens for development
  • Community Engagement: Encouraging active participation in shaping QRDO’s future.

Dear QRDO Community and Stakeholders,

We are excited to present a draft proposal that aligns closely with our community’s vision and governance discussions. This proposal is designed to strengthen the QRDO network’s future, ensuring long-term sustainability, development, and operational excellence.

In response to the valuable feedback from our community governance forum regarding the supply adjustment, we have carefully crafted a balanced approach. Our strategy focuses on enhancing the network’s economic model while safeguarding its robustness and future sustainability potential.

Key Highlights of the Draft Proposal

Optimization of the Staking Fund: We propose a strategic reduction of the Staking Fund by 41.9%, from 95,456,052 tokens to 55,456,052 tokens. This adjustment is meticulously planned to ensure a sustainable staking environment for the next three years, based on current participation rates. This proactive measure not only secures the staking rewards pool but also amplifies the value proposition for our stakeholders.

Refinement of the Ecosystem Fund: Similarly, the Ecosystem Fund will see a thoughtful reduction of 40.9%, decreasing from 293,384,821 tokens to 173,384,821 tokens. Expedite unlock of 40M QRDO (20M for marketing initiatives and 20M for developer incentives). This recalibration is aimed at streamlining our resources towards high-impact projects and initiatives that drive QRDO’s growth and adoption.

Total Token Burn of 160 Million Tokens: Collectively, these adjustments will result in a significant burn of 160 million tokens. This action demonstrates our commitment to enhancing token scarcity, potentially increasing value for all network participants while maintaining ample reserves for strategic initiatives and ecosystem development.

Our Vision Moving Forward

This proposal is more than just a token burn; it’s a strategic pivot towards a more resilient and flourishing QRDO ecosystem. By recalibrating our resource allocation, we are laying the groundwork for innovative developments, community empowerment, and enhanced upcoming token utility.

We believe that these adjustments strike the perfect balance between reducing supply, as passionately discussed within our community, and preserving the network’s long-term viability and developmental flexibility. This approach underscores our dedication to QRDO’s success and our unwavering commitment to our community’s aspirations.

We invite you to engage with this proposal, share your thoughts, and participate actively in shaping the future of QRDO.

Proposed Timeline

  • Discussion until the 25th of February
  • Vote from 26/02/24 to 01/03/24
13 Likes
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C’mon guys are you kidding me??? The token is down 99.7% from ath and you’re burning only 160mil out of 1.5bil total supply?

Us, the holders really trusted you with our money and you got us rekt.

My proposal is to burn those 460mil tokens Father Christmas proposed.

Burning 160mil only is again a delayed baby step in the right direction, we need to slash the supply and regain momentum!!!

The bull market is on, BTC is 52k, back in 2022 when BTC was 40k, QRDO was 3-4$, now BTC is up 30% since then and QRDO became QRDO/100.

Please realize that we need to turn the wave quickly, the bull market won’t last forever.

Thanks.

11 Likes
3

I would consider this proposal if a solid plan for the future of the qrdo token was presented.

So have everyone is very unclear what qrdo will be after the release of Ward and Fusion

What is the ultity of $qrdo

What future does it have if fusion labs bought the custody platform and move it cosmos chain.

Where will the transactions come from?

Release the tokens for developer grants

Developer grants to whom no one is developing on Qredo chain.

12 Likes
4

I agree with everyone up.

We need more.

Burns
Transparency

Why would you need funds for the next 3 years if you don’t know if the QRDO token will be used as a tx fee burn token for fusionchain.

Please, reconsider.

5 Likes
5

Absolutely insignificant burn. In my opinion the burn is to cover the fact you’re wanting to unlock 40M tokens for marketing / development.

The community shouldn’t forget Josh and Luis were largely responsible for burning through 80M cash without any results. Present a clear plan for marketing / development before asking the community to endure more selling pressure (in other words, begging for more money).

Also, where is the 40% staking APR that was promised in the proposal where those funds were allocated?

Not a good look.

4 Likes
6

Josh and Luis not fully responsible they are the most public members of the team. Please keep it constructive

2 Likes
7

Hi everyone,

Nice to see a fast response. This is the main reason why this propsoal is past as a draft in the forum, so that we can all discuss it and reach to a point in which it can be taken to governance vote.

Really happy to listen to all the comments and explore the ways in which it can be improved.

I will share my thoughts too over the coming days.

2 Likes
8

Hello all - it seems there are 2 points in particular that people on the forum and also more vocally in the telegram groups are stuck on.

  1. BURN SIZE

@JohnSocks raised a good point in the hero club

“QPIP5 burn 160m tokens :white_check_mark:
Can always burn more in QPIP6…but once they’re gone they’re gone
I prefer little and often to ensure continuity”.

I agree that the burn isnt big enough. We dont need to burn all the tokens that I proposed in one go - we can hold back ammo and run 2-3 more QPIPs over the coming week as an option. I tend to agree - If burn everything immediately it leaves us with little firepower down the road. Little and often is a valid approach also. Therefore I would like to see the QPIP expanded into 3 stages.

stage 1: 160m
stage 2: secondary burn
stage 3: final burn

I request Foundation to return to the discussion with a 2nd more advanced proposal

  1. 40M UNLOCK

Its clear this has caused a lot more concern. Clarity here needs to be much more elaborate and this figure needs to be considered strongly as part of a 2nd and separate QPIP. The two do not need to be linked as are not connected. People can choose to vote for the burn and against the deployment of funds and this should be offered for the voting community in the spirit of governance.

Ultimately this needs to be about securing a sustainable future for QRDO - and how we go about that. Educate us please on this and the more information we receive the better about both Fusion Labs and Warden Protocols intentions. Looking forward to a healthy and respectful debate.

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12 Likes
9

Honestly I didn’t get why you want to decrease the staking pool by 40%? that’s actually the only benefit for holding qrdo currently, the justification in the proposal is not clear enough for me and many others.

Regarding the 40m release more transparency is needed about

  • How are you going to use that? There isn’t enough liquidity to sell 40m tokens. Are you going to OTC the tokens to a buyer or what is the plan?
  • If released, when are you going to use those tokens, right away?
  • If sold, what are you going to use the funds for in details? just marketing and dev incentives is too generic.

We need a detailed plan for what’s coming next to be able to judge and vote accordingly.

5 Likes
10

I agree burn size is definitely key. We should be aiming to get the tokenology appealing for outside investors . Burn as many as possible . The bull market is here. Let’s capitalise and have the world see Qredo for what it is.

1 Like
11

there is no reason for the two to be connected and unlocking 40m tokens is a big ask that needs to be voted on indeoendently. Masking both together will only make a community in pain even more sceptical of the motives.

160m burn - not sure it gives anything tbh but sure. the tokens arent even in circulation. They are locked so its window dressing.

40m unlock - there are a lot of questions that needs to be answered.

Unlock

  • are they going to be sold? If so, how? To fund what? Where is the business plan and strategy for the foundation that can be approved by the community?

The purpose of the foundation is to be a steward of the QRDO token and the community. Transparency is critical given the historic journey we have been on. The topics should be debated with well thought out pros and cons arguments.

Pro: the unlock allows the foundation to raise funds to stay alive and deliver on its mission
Cons: What these funds would be spent on is opaque.

Until there is transparency and a strategy, this should not come to a vote

7 Likes
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Despite the project setbacks, I still appreciate Qredo’s dMPC solution, and still believe it’s what’s needed for building a playground for institutions.

However, the community needed transparency: An informed community is an engaged, trusting community, and Qredo failed at transparency.

QFL should have a second thought about the amount of tokens to be burned either in this QPIP or the next ones in stages. As @fathercryptmas suggested previously, holders would not only see increased percentage of ownership, but that will bring much needed positive market sentiment.

The marketing strategies and focusing on high-impact projects that boost utility is great proposal that needs it own QPIP with laid out market research and plan.

Be certain, a strong community can contribute to a project in various ways, including marketing efforts. This collective engagement can acts as a growth engine. Please, think about introducing loyalty and reward programs to incentivize long-term holding and use of the token, that can stabilize its value and foster a committed user base.

1 Like
13

Completely agree with dez

These need to be voted separately Completely makes no sense having both together. As they are two difficult things.

Also while we burn these staking tokens why dont we do something positive with them and try give back to the community who are wrecked and believed in the team for so long and do a hige airdrop of qrdo to loyal community memebers. I mean if we are putting 40mil tokens for marketing and are willing to give these to random people or to pay why dont we try take care of the people who stayed around longest

2 Likes
14

I totally agree with Father about staggered burning but giving the dates in advance for said burning

1 Like
15

Qrdo Token is no more connected to Qredo Ltd who is now under administration.

So you are no more connected to a private company.

Now all we ask is 100% transparency.

As my Qrdo holders colleagues I agree with all what was written above.

TRANPARENCY

3 Likes
16

Please no more marketing proposals of handing out qrdo like candy or through terrible zealy rewards that creates nothing.

Time and time again Qredo has done this, the Qreed (shudder) or handed out qrdo to KOLs that do little anymore as the market is very aware of KOLs and them being paid to tweet.

Community has laid out time and time again that you need clear communication, images, no wordy blogs written with chat gpt. Please look at other projects and see what works and stop doing the same dumb thing over and over and over again.

The saying is not if you at first don’t succeed blog and blog blog again. It’s trial and error.

I don’t need to remind you of the blog you wrote about TTE or the RWA one. Please no more.

17

100% against ANY token unlocks , the burn is from non-circulating supply and this will further dump the price of the token. I will vote with all tokens against the change in this draft variant.

18

160 millions is not enough please increase the Number of burning to not less than 200 million so this will have a positive feedback on the token Reputation and price

1 Like
19

Agree with many others mentioned. We can split the QPIP into two.

  1. Burning 160M is fine, and I am not in a favor of reducing the staking rewards.
  2. Maybe the team could share the plans for the 40M Eco-System fund tokens. We are glad to review and approve if there are real solid plans.
1 Like
20

im voting no on this one. sorry!

1 Like