Tokenomic : Fee Switch

General
1

Hello everyone,

I’ve been in the crypto world since 2019 and it’s not my job at all, I’m an electrician.
I don’t know if this belongs here I do know that the crypto world works well with narratives. And the narrative that’s starting to catch on is Fee Switch.
I’ll give it a shot :slight_smile:
We all know that $BLD is a central part of the Agoric ecosystem, providing network security and a role in governance.
But I find that its economic usefulness remains limited, which may slow down its adoption.
Is it possible to broaden the use cases for $BLD while protecting the stability of IST, by encouraging more staking, which would strengthen the whole system?

Currently, IST relies on Vaults (ATOM, stATOM, stOSMO, stTIA, stkATOM) to lock assets. $BLD (if I’m not mistaken) also plays a “backstop” role, but could it also be used in Vaults?

I know that Agoric aims to unify DeFi across blockchains, so fees will be applied. Is it also possible to take a percentage of these fees and distribute them to stakers? This would bring Agoric into the narrative of the moment, and put it in the spotlight even more than is currently the case, and thus accelerate its adoption.

I should point out that I’m a little noob in this world, and these are just ideas that cross my mind. This is to create a debate, and if this idea is impossible to implement, next ^^

Best regards,

Quentin CERBA (Âmarok)

2 Likes
2

I like the idea, but it seems premature. The token is still very weak and its price remains highly volatile. If it is used as collateral for IST, it could lead to even more unfortunate consequences for the price when the collateral positions are liquidated. It would also create problems for the sustainability of IST itself, as the protocol would not be able to keep the price of IST at one dollar if the collateral is insufficient.

While the idea of expanding the use of BLD is generally sound, I believe that we need to start in other areas. At least until BLD starts trading on large centralized exchanges, which could increase its liquidity.

Why not consider the possibility of liquid staking of BLD using the Stride protocol? Who knows what we need to do to get BLD listing on Stride?

1 Like