QRDO Tokenology

[nina.sm]

QRDO Tokenology

Please find the latest Tokenology update here:

QPIP-1 - QRDO Tokenology Update

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We are excited to announce the launch of our new Qredo Tokenology paper!

This new tokenology enhances QRDO’s utility across staking, network usage, governance, payments and rewards – capturing value created by the Qredo ecosystem.

We encourage you to share your thoughts on the Tokenology paper in this discussion. Our aim is to gather community feedback and draft and submit the first QPIP (Qredo Protocol Improvement Proposal) on QRDO Tokenology in the governance forum for an up-or-down community vote in Snapshot.

Read the QRDO Tokenology Proposal

TL;DR

We’re taking a monumental step forward in optimizing the functionality and growth potential of the Qredo Network, with QRDO at the heart of it all.

Here’s what’s new:

• Implementing a new staking model that requires users to lock their tokens to receive rewards.
• Creating an Ecosystem Fund that will serve as a primary repository for service fees tipped and will have a market-driven reward release function.
• Creating a Staking Support Fund with an exponential decay vesting to support the early adopters of the new FPoS consensus.
• Introducing Protocol Fees, making QRDO an essential element for operating and using the protocol.
• Introducing Service Fee tip deposited in the Ecosystem Fund to support the network security.
• Introducing Protocol Fee burn function - all protocol fees will be burned.
• Allocating the remaining tokens from the outstanding token supply, with 160 million tokens burned.
• Accelerating vesting to decrease uncertainty in the market and reduce the total circulating supply to total supply gap. Total circulating supply will increase to 639 million QRDO, but staking, locking, and burning will decrease inflation compared to the current model.
• Turning the roadmap over to our community with a discussion on Qredo Community Governance Forum and QRDO-enabled voting.

Thank you for sharing your thoughts earlier on the QRDO Tokenology Framework!

As the Qredo Protocol becomes further decentralized and community-driven, we look forward to putting decision-making power about the protocol’s future directly in our community’s hands.

[fathercryptmas]

Great to see this framework go live. Looking forward to seeing details.

[rothwellian]

Long time holder, past the point of disappointment and anger, now just accepting what is. For the most part, I would not waste time here on the DAO with a non existant community in the short term. The entirety of CT laughs at QRDO as the poster child of failure. That being said, it might be prudent to just get things moving on tokenology ASAP so you can bring some interest back. We’ve seen comebacks from ridiculous downdraws before like DMTR, so I will encourage the team to start kicking some butt and make some moves. Cheers!

[Rickyquaz]

By releasing the tokens and locking them, will we be able to keep track on how they are vested, will we be see all these details outlined?

They are also put in a locking period how long will this be?

Also what other way do you plan to bring demand to token holder? There is alotta talk of staking tokens, to create scarcity.

But how will we get current demand up now that validators are goong live, by adding more tokens to supply, would love some clarity on all above points ?

[fathercryptmas]

Hi all.

FC here… some initial thoughts and hope to spark some discussion on here and bring talk out of our private telegram group of 200 hodlers into the public online forum for all to see. Please feel free to comment, engage with me and lets see what we can do to breakdown this proposal fully.

Team, i would be delighted if you would engage with me here and answer some of my questions. This is a learning curve for a lot of your token holders so i suggest speak in some laymans terms. Many of the community are apept in economics but the tech talk of crypto can be lost in translation.

UTILITY ECONOMICS •

Increased decentralisation through Delegated proof-of-stake…

When will this be launched? We have a node in preparation ready to go and there are some pressing questions that need answered.

What is the minimum stake required to run a node?
Why is it set to that amount?
When will we transition from fPOS to dPOS?

FEES •

Why was the decision made to charge 1 QRDO per transaction? This seems to limit usage when token appreciates hindering adoption. Perhaps there is a better solution with fees denominated in USD? Or a scaled model with different fees charged for differing levels of txn.

STAKING MODEL •

Please elaborate why it is a necessity to have a 21 day unbending cycle?
Is this a cosmos dependant aspect of decentralisation?

REWARDS TOKEN DISTRIBUTION •

ALLOCATION •

Team & Advisors 15%
Sale & Investors 27%

Are some team members also investors?

VESTING •

This has long been the concern of the community. The base case sends us to 1.2Bn tokens within 2 years. This means that to reach ICO price of 50c we need to reach a market cap of 600m. This is a large increase from today - with current ten volume the estimated no. of tokens burned from qrdo protocol fees would be around 150-250k pcm. At that rate, the 160m burn equates to 160 years of fees. Now obviously we would hope adoption continues and fees will rise. Perhaps there is a more effective solution to burn additional tokens to increase the amount burned per month? Even a reduced staking reward to holders is fine as long as we could vote to burn them instead… Open to suggestions and perhaps we could spark a community vote on that.

DEFLATIONARY MEASURES •

Are we looking at tiered lock time frames for additional yield as options?

Burning of protocol fees initially will have a negligible impact on the total circulating supply. However, with the introduction of features like ClearVault and Web3 API, which facilitate high transaction velocity, we can expect the impact to grow.

THIS NEEDS ELABORATING ON WITH REAL USE CASE SCENARIOS DEFINED

Further to this I propose that we double the burn amount to 320m from 160m with reductions from treasury and ecosystem fund. Our immediate issue in we are 99.3% down and we are fighting a bad narrative, loss of token investor confidence and increased inflation. Its hard to see the forest through the trees.

Merry Cryptmas love Father.

[AdamT]

Can only echo FCs questions and would love to get answers to them.

Until we see some real world use cases presented and defined on how exactly token appreciation will happen we as a community are 100% fighting an uphill losing battle to get any interest in the project by the crypto community at large.
No matter how fancy a blog is worded and how solid the foundations are, as long as we keep hitting ATLs way below ICO barely anyone, if at all will be willing to take a deeper look at the project.
I understand that clearly the teams focus isn’t getting community hype but I think they truly underestimate how much a growing community can help grow the projects reach.

Those of us who’ve been holding on and been an active community member trough almost two years now do absolutely believe in the companys vision, we wouldn’t be here otherwise. But we really need something concrete regarding token appropriation if Qredo ever wants to become more than a hidden gem.

[JohnSocks]

Greetings, still yet to do my deep dive on the tokenology paper but i think gut feel is important…some initial reflections below.

After our COO committed to an arsenal of deflationary measures in December 2021 during the coin metro AMA…I think it’s hight time we saw some follow through. To date nothing has been deflationary and a removal of non circ supply doesn’t count.

ultimately we have seen INFLATION AND LOTS OF IT.

Whilst i recognise the new tokenology gives us a path to deflation; it is 2 years away…which let’s fact it…is a millennium in crypto.

with this in mind i would consider retaining the team vesting schedule to maintain long term commitment; whilst accelerating seed to dilute in full. This will cause rapid inflation but rips the band aid off whilst ensuring token sales going forward are from weak hands to strong hands.

with the token so far from even ICO prizes; there isn’t any PA to protect…but if it helps newcomers see the token is immediately on a path to deflation, i think it can help us to win people over…especially when we couple it with utility, protocol fees, burns and external narrative lined to cryptoinfo.fees etc

The need for deflation IS NOW, not tomorrow and certainly not two years away. Too many folks are rekt from inflation/vesting…people will simply wait 2 years before even considering this project investable going forward

With this in mind, vest anything and everything now…with exception of team schedule; this is my gut feel after high level review.

more to come…

[AdamT]

+1 We NEED deflation.
Price will be worse before it gets better and better to get worse fast and short rather than slowly for two years.

[fathercryptmas]

How’s this for an idea? Instead of burning 160m tokens. Let’s burn 159m

And for the other 1m….

Let’s pledge 1m QRDO for new wallet sign ups - 100 QRDO per user, in a locked fee wallet, can’t remove them, but gives users 100 txns for free. Sign up before September 1st. This will help get new user numbers up.

These 100 tokens per user are locked (can never be sold) and get used for fees (encourage txn vol) and will bring customers on chain. They will still be burned as protocol fees

LFG

[fathercryptmas]

This is a very interesting idea. It turns out extending the vesting schedule at the time of 2nd tokenomics adaption was not a great idea. I think many would agree with that. If VCs want to sell they will sell. I would rather we do away with the tax raker hands that are long term believers sooner than later and as John rightly points out it’s the team that we want to retain from a vesting perspective. I would vote that if it I was in the proposal.

[Rickyquaz]

Hello fellow qredorians

Its been awhile since i put pen to paper.

What have we seen, TALK, and LOTS off it.

Over the course of 2022 we where told no real inflation although the cir supply went up faster then a fella that necked 2 viagra on a saturday night.

I agree with mister socks, pull the band aid off, 2 years is a mess in crypto and will wreck us going into the next bull, release the seed and investors tokens and if they are in it for the long haul like we have been told; to be fair it not right that we will onky go into deflation in 2026 at the end of the next cycle as we where promised stuff well over a year ago and if it was done then we wouldnt be in this mess and deflation would of started sooner.

Kind regards
Cto

[JohnSocks]

Our CTO has a hell of a way with words

But in all seriousness…I fail to see a path to a Pico bottom without a more immediate route to deflation

Qrdo is synonymous with inflation…let’s change that

[ribeye]

I have one and only one question. How is Qredo, the private company making money? Anyone explains that will help me put these tokenomics into perspective

[fathercryptmas]

PROPOSAL TO DENOMINATE PROTOCOL FEE IN USD INSTEAD OF QRDO

John and I discussed this at length and we both agree that we think it it a better solution to charge 1 usd of QRDO per txn as a protocol fee. When the QRDO price is low at 0.08c that will incur approx a fee of 12 QRDO, which will amount to a substantial burn pcm. The transaction volume on the network is very impressive - but charging 1 QRDO per txn is not a fair alignment between this txn vol and subsequent protocol fee burn.

We need a faster and more drastic approach to generate interest in the project.
Denominating the protocol fee in USD will also give a stable price regardless of network activity so you won’t have a situation where if/when the token valuation rockets higher fees wont become more expensive and been seen as a deterrent to user adoption.

If/when token price does appreciate, the amount of QRDO burnt will reduce (due to the USD denomination), however, it stands to reason that the price appreciation will be linked to a higher txn vol on the network meaning we will have a steadier more predictable and impressive burn rate.

LET’S DISCUSS

LFG x

[The_Crypto_Prophet]

Is it worth thinking about taking a percentage of ALL fees and having a set burn. This could be on going or could be for a fixed period.

For Example:
Have 20% of all fees burnt for 5 years then 10% for 2.5years and then 5% for 2.5 years?

[QredoAl]

I propose instead of burning 160m from non circulation the team purchase at least 50% from the spot market and burn theses.

80m tokens from spot 80m from non circulation to burn

The 80m they were going to bring from non circulation can be added to the supply once deflationary burns are in full effect and supply is under today’s circulation.

Buying from spot will give the PA of the token the CPR it needs but also reduced the downward pressure on the token. Burning from non circulation has no effect. If Qredo does not take drastic action the tokens value will keep falling for the next year or so. This including John socks idea of delay team vesting might be enough to stabilise the value

[JB_Qrdo]

Great suggestion - the current 1 QRDO transaction is, in my opinion, short sited and does not scale well at all.

A proposal like FC has put forwards maintains a flat cost / price expectation, whilst supporting the token at lower prices (as more tokens are used in the fee) and does not become prohibitively expensive should the token price rise substantially.

Team please strongly consider this amendment

JB

[Hosimpson]

This is the way to go!

[JohnSocks]

What % of service fees go to OPEX Vs those that go to ecosystem fund. What is the definition of ‘tipped fees’ per the paper

See attached

[JohnSocks]

In addition to the above…service fees that are paid in stable coins wil be used to buy QRDO…how? And if qrdo is purchased with all service fees either directly or indirectly…how do you pay for OPEX such as wages or utilities/running costs that require fiat?