Create somethinng bigger than just a hedge fund!

General Discussion
1

Right now, wonderland time feels like being more a fund-collecting vehicle or a hedge fund.

This means the return for the investor has to drop over time if the returns of the market are not sufficient enough to support the APY of the protocol. There is no way around that, also during a bear market if all the underlying assets are losing in value and strategies with stable coins offer only a fixed APR.

A possible solution is adding utility to the TIME token by creating a whole DeFi ecosystem around it. For example: create an algorithmic stable coin that will burn TIME. Invest in early-stage crypto projects with the condition to use our created stable coin as a payment system in their projects. Which will then create more demand for TIME.

This shall only showcase how we can create more demand for the TIME token. I believe creating value by the building will have an exponential effect which then can justify such high APY over a long time.

2

The apy of the protocol is mainly sustainable by the fact that we’re printing our own money (TIME) at hyperinflation speed (1.8% daily increase in token supply).
No offense to you personally (and I really mean it, I’m not talking with negativity) but it baffles me that still so many fail to understand this basic principle.
I’ve seen many people focusing on the apy, or scared that the apy won’t sustain, and apy numbers talking in general.

What high apy+rebase system does is simply preserving our marketshare, so that if we represent 1% of the entire market today with 100 TIME, we will still represent 1% in a month with 200 TIME and double the amount of TIME in circulation.

We’re dividing a pie into smaller pieces at every rebase, but the pie doesn’t become bigger because of that. We’re not creating wealth with that. The apy could literally be 5 quadrillion and you 5x the amount of time you have at every rebase, it would not matter.

The apy we currently have is a ticking time bomb, because for sure it’s not sustainable, in some months we will see the amount of time crashing against the floor given by backing price if we do not lower it substantially, or even better: Switch to revenue sharing model.

I know that 100% return yearly doesn’t shine as bright as a OMG 85K APY LMAO WEN LAMBO ,
but more people need to grasp that with revenue sharing model, they’d be getting “real cash” out of their rebases…aka we would be growing the pie every 8 hours for real and distributing back to investors.

Also, other hidden benefits of such a change would be for TIME to stop being hyperinflated. it could even become slightly deflationary if we implement a small burn on fees…what would that bring us?

Well, right now it wouldn’t make sense for any centralized exchange to trade TIME/whatever pair, because it’s an asset built to depreciation. Also, who would just trade TIME on a cex without the benefit you get off of rebases? While switching our model would transform TIME into a “legit” asset where it’s price really would reflect it’s value.

At some point when I’ll have more time to think it throu I’ll create a detailed thread trying to explain this

14 Likes
3

Please do mate, You have had some solid ideas thus far in these discussions. Thanks for spreading awareness.

1 Like
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Looking forward to the detailed thread my friend it seems we are on the same thread you just articulate the point better than I can

5

You are not offending me. I guess it is just a language barrier I guess.

What I have understand from your text is that we are meaning the same. Due to the fact that we are printing our own money both APY and the value of time has to decrease over time.

To stop the decrease in value of time token we have to add more utility / more demand to the time token. But I also agree that a APY of 85 is not sustainable at all.

I don’t know if a revenue shared model is the best solution. This model would only create a community owned whale to play with the big boys I guess.

Personally, I’m a fan of building things to create more demand for the token. I’m really looking forward to your detailed thread.