elective-stereophonic
elective-stereophonic
Aligning incentives - IPO and fNXT singapore
Please login or register.

Login with username, password and session length
Advanced search  

News:

Latest Nxt Client: Nxt 1.11.15

Author Topic: Aligning incentives - IPO and fNXT  (Read 1198 times)

Cassius

  • Hero Member
  • *****
  • Karma: +207/-18
  • Offline Offline
  • Posts: 2459
  • Rather be a pirate than join the navy
    • View Profile
Aligning incentives - IPO and fNXT
« on: April 02, 2016, 01:34:02 pm »

A quick shoot-from-the-hip proposal for discussion:

We need funds for development. I think it's only fair that devs should be paid for their work if we want them to continue. Additionally, people are worried about what will happen to NXT if/when fNXT is released. This also seems like a very valid concern and one that hasn't been addressed satisfactorily to my knowledge.

What about holding something like an IPO for fNXT that raises funds for the devs in NXT alone? fNXT would be treated like an asset that was distributed to investors. I saw a figure of 100m NXT mentioned for dev work recently; personally I'd be happy to give up 10% or more of my NXT for a stake in fNXT.

This has some advantages, I think:
- Money comes into NXT from other currencies for the IPO
- Dilution is less of an issue (I'm not 100% sure what the dynamics would be here, but you're treating fNXT more like a revenue-generating asset)
- Critically, it means the devs have to be committed to the Nxt 1.0 child chain, because their funding is all in NXT. Dumping would kill the value, whilst adding value is good for them too.

If the devs do not want funding in NXT because they see it as a dead end, then I think that answers an important question for us too.
Logged
I head up content for BitScan, crypto business hub.

Cassius

  • Hero Member
  • *****
  • Karma: +207/-18
  • Offline Offline
  • Posts: 2459
  • Rather be a pirate than join the navy
    • View Profile
Re: Aligning incentives - IPO and fNXT
« Reply #1 on: April 05, 2016, 09:40:38 am »

No one?
Logged
I head up content for BitScan, crypto business hub.

abctc

  • Hero Member
  • *****
  • Karma: +148/-13
  • Offline Offline
  • Posts: 1396
    • View Profile
Re: Aligning incentives - IPO and fNXT
« Reply #2 on: April 05, 2016, 11:53:54 am »

No one?
- it seems one concern has already been voiced:

A pump in the value of NXT will just allow some more stakeholders to dump and exit.
Logged
Welcome to the Nxt generation of crypto!   Magis quam Moneta (More than a Coin)
"Do not worry, it is an attack" (c) Jean-Luc

Riker

  • Core Dev
  • Hero Member
  • *****
  • Karma: +439/-42
  • Offline Offline
  • Posts: 1792
    • View Profile
Re: Aligning incentives - IPO and fNXT
« Reply #3 on: April 05, 2016, 12:28:37 pm »

@Cassius - to start with, rest assured that the devs are committed to NXT 1.x and I think the release of 1.8.0e last week reaffirms that.

Regarding your proposal, my concern is that even if we raise 100M NXT for FXT we'll have two problems:
1. It might be nearly impossible to monetize, the moment we start selling NXT from this account the NXT price would collapse. Perhaps we can use shuffling to mitigate this.
2. It might create a centralization problem and accusations that the devs has big enough stake to manipulate the token.

Following the polls, our current thinking is to try a different route, I'll post something about this later this week.
Logged
NXT Core Dev
Account: NXT-HBFW-X8TE-WXPW-DZFAG
Public Key: D8311651 Key fingerprint: 0560 443B 035C EE08 0EC0  D2DD 275E 94A7 D831 1651

maftol

  • Full Member
  • ***
  • Karma: +11/-8
  • Offline Offline
  • Posts: 187
    • View Profile
    • BGI
Re: Aligning incentives - IPO and fNXT
« Reply #4 on: April 05, 2016, 01:35:30 pm »

@Cassius - to start with, rest assured that the devs are committed to NXT 1.x and I think the release of 1.8.0e last week reaffirms that.

Regarding your proposal, my concern is that even if we raise 100M NXT for FXT we'll have two problems:
1. It might be nearly impossible to monetize, the moment we start selling NXT from this account the NXT price would collapse. Perhaps we can use shuffling to mitigate this.
2. It might create a centralization problem and accusations that the devs has big enough stake to manipulate the token.

Following the polls, our current thinking is to try a different route, I'll post something about this later this week.

+1440
Logged
BGI (Asset Id:  1261521703868164998 )-monthly dividends 5%-10% (payout 2 times per month ). https://nxtforum.org/assets-board/(ann)-bgi-investment-in-research/

Cassius

  • Hero Member
  • *****
  • Karma: +207/-18
  • Offline Offline
  • Posts: 2459
  • Rather be a pirate than join the navy
    • View Profile
Re: Aligning incentives - IPO and fNXT
« Reply #5 on: April 05, 2016, 02:27:04 pm »

@Cassius - to start with, rest assured that the devs are committed to NXT 1.x and I think the release of 1.8.0e last week reaffirms that.

Regarding your proposal, my concern is that even if we raise 100M NXT for FXT we'll have two problems:
1. It might be nearly impossible to monetize, the moment we start selling NXT from this account the NXT price would collapse. Perhaps we can use shuffling to mitigate this.
2. It might create a centralization problem and accusations that the devs has big enough stake to manipulate the token.

Following the polls, our current thinking is to try a different route, I'll post something about this later this week.

Thanks for your reply - I'll look forward to finding out more.
Logged
I head up content for BitScan, crypto business hub.
 

elective-stereophonic
elective-stereophonic
assembly
assembly