Proposal for Grant, personal APY is a staking protocol with the ability to choose your daily apy

Grants
,
#1

Overview

Personal APY is a new model of staking, it’s based on the ability to purchase % APY as much as you want, it consists of two coins $PER and $APY there is a basic daily %2 for $PER
there is an additional 1% from every 1 $APY staked
there is also 0.001% $APY from $PER .

What problems this model solves:

1-Price depreciation, in most staking protocols reward assets lose upward pressure overtime due to weakness of motive to buy more , in this model there is a huge motivation to buy more of both coins, $PER to generate more $APY and to buy more $APY to raise up your daily yield.
2-The balance between institutional investors and retail investors, many protocols face this dilemma ie the conflict of best interest of both groups, in this model they are in a harmonious sympioses , overtime $APY coin will be too expensive so only the first group would be able to buy more of it and second group will be generating $APY and rewarded for it while getting basic 2% .

Elaboration by example:

example:1
UserA staked 1000 $PER
DailyRewardForPersonal = 1000 * 0.02 = 20($Per) And 1000 * 0.00001 = 0.01($apy)

example:2
UserB staked 1000 $per and 150 $apy
DailyRewardForPersonal = 1000 * (0.02 + 1.5) = 15020($Per) And 1000 * 0.00001 = 0.01($apy)

Buy back engine:
Developing a buyback engine for price stabilization

Expected market behavior:
Price of $APY coin will skyrocket fast because of high demand, and price of $per coin will slowly depreciate because of high selling pressure, then ppl will start buy $per to generate more $apy this will put buying pressure again on $per raising its price, so its forever changing and there will be a battern but overall its the only protocol where you can 10x or even 100x in short time span if you have the right amount of $APY.

#2

I think you are entering very dangerous territory of becoming a *onzi when the main demand driver and utility relies on new money coming in, which then gets redistributed to existing participants…

1 Like
#3

Any system depends on new clients coming in, take aave for example you have to make new borrows to give lenders %, banks Fiat banks are the same, Olympus DAO you have to keep supply from new clients bonding and buying ohm so % keep going, USD as fiat currency you have to keep the world buying oil to keep its value, so the idea of *onzi doesn’t relate to the supply on new clients it revolve around promise not being excuted or selling something doesn’t exist, if you review it carefully you will realize that the post stamps wasn’t being sold as they advertised.

#4

All you are doing is offsetting inflation by adding another token, inflation is still there you are just trying to hide it with this model. Any protocol that claims 10x or 100x in short span is not sustainable and more than likely benefits early adopters only, seen many systems like this and they do not work.

Instead of adding a token to try offset inflation, just add levels of use and utility, the reason most staking protocols fail is because they are simply built with its only use case being to generate more of that same token you are staking which only use is to stake, a system like that can and will never sustain long term. If the tokens being generated have an actual use/utility then people will want it, so you would have created demand for your inflation which will help sustain price.

#5

If you run a good simulation of how the market would react you will find a good utility for both of the tokens, $Apy increase your daily yield, $per generate $Apy, what utility out there is better than making yield if you could think of one let me know to add it to this protocol, as for inflation there will be a buyback engine its being developed rn.

#6

The point I am making is that these protocols are not sustainable long term, short term yes but not long term. If you want these types of protocols to sustain long term the token being generated needs to have demand beyond people wanting it to simply boost rewards. I could sit here all day and pick flaws and explain how it won’t sustain long term.

#7

Long term ppl will always want more yield, if you would imagine a point in time ppl will cease to want it what would be the reason for such behavior.

#8

It is not sustainable long term, rewards will become saturated and once that happens people dump tokens, early adopters with huge amount of tokens crash price and it doesn’t matter if a token that crashes has use of boosting rewards as at that point no one will want them. Honestly, this system has been tried by many and will always fail, it, among most other methods are not long term methods. They are pyramid schemes with extra steps. The long term methods need to have other incentives that drive demand other than creating inflation and wealth out of nothing.

#9

So once price drops ppl will dump, thats great and also ppl will buy again to make more of whatever low price it is, i can apply your line of thinking on any system out there like Bitcoin or Ethereum why do you think they are high volatile but they never die.

#10

Have you even studied what you are trying to do? I have studied it a hell of a lot and it does not work like that at all. Unless the token has another stream of demand, once it crashes people will loose interest. With your logic it would have been a great time to buy Bitconnect when it crashed from $300+ down to less than $0.10. I think you have a lot more studying to do, I mean no offence whatsoever in that. Find a another stream of demand for the token. PS you can not compare BTC or ETH to this kind of system, you can’t really compare BTC to ETH either.

#11

Offcourse you can have a negative spiculation of a crash we are in a bear cycle after all, but without providing a rational reason for a crash its considered as a psychological spiculation not a rational one, and for your point of a side utility for the token i think i replied to it earlier so if you don’t see a utility in making yield I can’t really show you a greater one.

#12

I don’t think you understand what I am trying to get at, maybe I am not making it clear. Creating a yield out of nothing is not sustainable long term no matter what, unless it has another use case or demand it will not work long term. I can not think of any that have sustained long term and there is a reason for that, two token systems are not new, I have seen many try this system you mentioned. You tried comparing this system to ETH, that alone shows you need to learn a lot more. ETH is not there to simply create a yield, its where it is due to its smart contracts and it solved an issue at the time. Yield generators are short lived unless more utilities are added to create more demand to deal with inflation, two token systems where one token boosts yield is a recipe for disaster long term.

#13

Saying “out of nothing” is illogical and unscientific if you say that ppl will buy a product and pay for nothing then i will start to doubt your judgement on anything, and if you’re representing or part of the team in this Blockchain then i really would consider withdraw this proposal and present it somewhere else.

#14

I really think you are missing the point, have you done any research on such systems? I guess not as the system you presented is not new and been tried and failed by many. It is a flawed system that has been proven not to work, I give you a solution which could help it work and you ignore it. I am not a member of the ICON team but I personally would not participate in this system unless you tweak it, it is a very complex thing you are trying to achieve. It really is not as simple as adding another token which boost yields, that solution was one of the first to be tried after the first few failed attempts at yield generators.

#15

I appreciate your input .

#16

Sorry if I come off as an A**, don’t mean to try shut it down but I have seen so many systems like this fail. I think if you tweak it, try add another use case/stream of demand and put together a proper in depth proposal and see where things go. One idea to add utility is via partnering with a project, perhaps a gaming project where they use your token for in game benefits etc, it then gives the token more demand etc. Either way, keep building!