It seems I have followed the incorrect process, so although this is currently an active snapshot vote - it should have started here. This means the outcome of the current vote will be disregarded for now - and if there is enough interest I will again post the vote after we have discussed and fine tuned this pre-proposal. Let’s get to it. Please help me share and get exposure to this discussion.
After today’s AMA things are starting to look up. But the most important takeaway is that there are outstanding issues. Let’s break these problems down into their individual components and try solve them bit by bit. Here we will focus on the rage quit option.
The voting options on this proposal will be designed to force people to read and understand for themselves. One of the biggest problems we all face right now. So please, once you have done the reading, don’t go giving people a TLDR to try force them to vote with you. Every person should make their own decision.
What is the Rage Quit Option?
Basically, it would be an option to allow wMEMO holders to swap their tokens directly with the treasury for the corresponding amount of assets at the backing value per wMEMO.
Why is it important?
Even though some of us have undying loyalty for Dani and his projects no matter what, the fact of the matter is that he made some mistakes that in the eyes of many others is not excusable. They have lost faith in the project, they want out and for that we cannot blame them. These are the same people who will be most likely to hold the project back in the future because they don’t want to be involved, they feel forced/trapped to HODL, and that will inevitably be bad for the community and our progress. So it is important to give these people the option to leave so that we can all focus on up only in the future. No holdbacks.
How can this be done without hurting the frogs who are still HODLing?
I came across this Medium article (Can Frogs Exiting At Backing = Bank Run for Wonderland? & A Potential Path Forward | by Bee DeGee | Feb, 2022 | Medium) that I think people should read. It explains the impact to the treasury in numbers and proves that it won’t be as bad as people think. Basically, there would be a 0.06% loss to the treasury assets from the arb traders allowed to buy off the market before snapshot and then redeem at backing. This is so small its minimal. And it’s small because people forget to consider that when an arb trader buys wMEMO for the sake of redeeming assets at backing, they are effectively sending more MIM into the LP pool in exchange for the wMEMO swap. So this increases the total treasury. Basically the total loss when you actually calculate is a lot smaller than what people think based on incorrect calculations (check Medium article for more detail and exact numbers).
Though I would still suggest doing things a little differently than in the medium article:
Take a snapshot once this vote closes (this keeps it most fair for everyone) to determine who is eligible for the Rage Quit option, only holders of wMEMO before snapshot will be eligible. This accounts for frogs who may have panic sold at all time lows and allows them time to buy back in if their original intent was always to exit at backing regardless.
Have the Rage Quit option be available during Saturday Feb 5th and Sunday Feb 6th, 2022 (UTC) to allow people a fair chance at exiting.
For the duration of the Rage Quit, from start to close, remove ALL wMEMO-MIM liquidity from Sushi so that trading is effectively paused.
All the wMEMO that is collected by the treasury from those who exit should be kept in a pool. All the wMEMO from people who Rage Quit then gets distributed proportionately back to all the wMEMO holders who remain after the Rage Quit period has closed. This way if half the people choose to rage quit - every single remaining wMEMO holder will basically double their position in wMEMO. This will effectively make up for any loss in treasury assets and decrease in backing per wMEMO. Because remaining holders will basically have more wMEMO despite the backing being proportionately lower. I think this is a great option because it will, in my opinion, really reward the most loyal holders most. I believe that Dani and team will get this project to be successful again and grow the treasury way past its previous highs. If that were to happen after people Rage Quit and give us their wMEMO, not only would the backing price surpass its current level but those of us remaining would all be HODLing much more wMEMO without having to pay for it.
The voting options that I had put out were as follows: Yes to the proposal, No to the proposal and Maybe it needs work. So please start discussion below either commenting what you vote, or what you are concerned about. If you state a concern, please try your best to provide supporting information. If you absolutely can’t, then i would suggest that before voicing a concern, first ask a question to gather the supporting information required.
I think I can see a way forward here where mostly everyone can get what they want. Those who lost faith and wanna exit can exit, but they will be lining our pockets with more wMEMO by doing so. And will basically be rekking themselves when Wonderland rises up again. And at the same time, the traders and price manipulators won’t play a role since during the rage quit option there will be zero wMEMO-MIM liquidity to trade.
There are still more issues ahead, but let’s focus on one thing at a time. Please understand the advantages/disadvantages of each voting option for yourselves and vote knowing that you made this decision for yourself. Thanks for reading!
You are being part of the problem. Everyone is trying their best to come up with a solution because the truth is being in limbo without being able to move forward will end up being the worst outcome.
Please describe exactly what makes you feel this is a ‘nuclear option’ for whales? I may have overlooked something and you might be right. So please give more detail and explain yourself. Keep your emotions in check.
I think we have to point focus at the Voting Power system. If we can fix this quick and make something that takes both small and huge wallet into account and also long and short term holders at the same time we actually have a solution for both “the DAO voting system”, the rewards percentage system and a solution for those who want to Rage Quit.
But we have to take into account that newcomers won’t have moch to say, even with huge bags, bechause they can always leave with the bag they came in with.
And bags who have Ben here for several months can leave at backing bechause of their support and time, in the project.
No, I’m the solution. You are not in limbo. You can literally get out whenever you want by selling. You’re just mad that it won’t be at backing price so people can’t buy in now then plunder the treasury by getting double what they paid in for. I’m not about it. If you’re not in for the long term, sell your bags, take the L, and reinvest in something else.
Please implement something ASAP…I’m so tired waiting day after day, week after week for something to be done. Right now it’s a zombie project waiting for some solution. I have my money stuck in here and I do not want to sell it below book value. Please free us from prison, I am tired waiting for to cashed out as other opportunities slip by every single second.
Appreciate your “feedback”. A 20 times less than 1% decrease in treasury can’t be classified as ‘plundering’ the treasury. It honestly sounds like you are just mad that others may have a chance to buy at a lower price than you and benefit from that. It’s crypto. Grow up. There is no perfect solution here, but we need a solution nonetheless. At this point I will stop responding unless you can be more reasonable and detailed with your claims. Start with explaining how the treasury would be ‘plundered’? How much does it stand to lose when you actually perform the calculations? If you can’t provide that info, your arguments are more like emotional rants and will be dismissed.
those who bought under backing price are the only ones that will profit from ragequit. that means that they have no right to ask nothing. they tried to speculate now got fucked. if you bought when the price was higher you might have the right to ask for your piece. those for the ragequit option should come up with a smarter idea. this is just give free money to those who wanted to profit from us.
This is an excellent proposal and I absolutely agree that there can be no path forward without a solution like this. The value of the treasury is truly a huge accomplishment and something that we should all feel very proud to have contributed to. In the same breath, we must also understand that the reason that most of the users did not sell Time/Memo/wMEMO as the price started to tank was because of the backing price. We had assurances from Dani that the backing price would be honored. Doing simple runway times backing price calculations were what kept me invested in the project while the price tanked.
This wasn’t a simple statement that was made in a Discord. These values were listed on the dashboard for every new investor to see. We as investors did our part and held, we need Wonderland to do its part and honor that price.
Yes I have. In order to make anything like a new DAO voting System we might need to vote for that to be implemented. In this situation like a democratic vote its fair to have 1 vote pr wallet. When that’s said, my personal opinion would be to use the “Sifu Gate” Snap shot to direct who’s able to vote and who is not.
The actual idea of the voting power system is based on amount of tokens in wallet, and the time wallet in the project - one week, bechause (my personal opinion) is that peops who jumps in and out of any project, not just wonderland, should be free to earn on the Token if it goes weel, but should not have anything to say about the project unless they stay for at least a week.
So now, I think it might be possible to create a bot who can “crawl” any wallet and sniff at the timestamps for the tokens in wallet.
When you hook up yor wallet in order to cash out, the crawler will do its job and calculate your tokens time in TIME, Memo or wMEMO.
From that i would recommend if you wanna leave.
less than one week - leaves at market price.
more than one week - market + 10% (of difference from market to backing price)
more than 2 weeks - market + 20%
and so on till two months where you have earned 100% and can get out at backing if you want.
This can be the voting power system also. 2 months before you have earned full voting power for your tokens and maby full rewards.
The time scheme could be recalculated but I think two months is quite fair.
And one week isn’t too much to ask people to stay, if they want to start earning.
In the end. If a new wallet who invested 100 bucks yesterday, can leave at market price.
A two month old wallet who invested 100 bucks can leave with his loss added up from today’s price to backing price.
Agreed, regardless of whether the refund comes from Danni or from the treasury which is where the money initially went when the tokens were purchased. Reading these forums I sense that this must be done quickly and amicably because some investors are getting really mad and might decide to take further steps.
I mean, be as snarky as you want but it looks like your argument is boiling down to “It’ll only hurt you a little and will benefit me a lot!” The solution you seek is selling. Get your money out and find a new project. Stop trying to beg people like me who support the project to take some of the project’s investment capital and hand it over to opportunists. Have a great day!
I like this proposal and agree with it. I think that it is not the perfect solution, since one really doesn’t exist, but it is the most fair solution that takes into account everyone and what everyone would like out of all this.
Backing price was a core promise that the team used to instill confidence from the beginning. They should be held to delivering on that promise.
Yes some people will stand to gain from the short term mechanics of how things played out. But what’s important is the impact to treasury is basically unnoticeable, and the frogs claiming to be the biggest supporters no matter what and claiming that they want to continue holding wMEMO instead of exiting at backing will get even more wMEMO. So if they really believe in the project then they should have no problem with this.
And if they do have a problem with receiving more wMEMO from all the people who exit, then really they are telling us they just want others to be trapped holding wMEMO because they made the mistake of buying too much when it was too high. Finally, everyone has the chance now to benefit from buying at the current prices and then exiting at backing. The playing field is level. Just because some people have more capital than you and can buy more doesn’t mean its unfair. This is fair in EVERY project. People who bought ETH at all time highs don’t go asking Vitalik for money back and they don’t cry that whales can now buy much more ETH than they bought when ETH at all time highs. This mentality is ridiculous and needs to stop.
also remember we can use abracadabra as well for this. They have already signaled that they want wmemo so they can fight their curve wars. Lets get them a backing price and that also will take some pressure off treasury becasue trading for spell would be a option. I would trade all my wmemo rn for spell. Let us go we dont want to be here and if we have to sell we aint buying it back.
I would suggest you stop focusing on how much it benefits others and getting jealous over that because it is clouding your ability to make a decision that is best for the protocol overall.
Has the team not promised the backing price from the beginning? Have they not used the backing price as an assurance to investors that the price should never technically fall below backing? And that there would either be buybacks or ultimately people would be able to claim to appropriate backing-valued amount of assets?
The answers to all those questions is yes they have!
And if you are so gung-ho on holding wMEMO (probably because you have no other option at this point) why do you feel the need to trap other frogs in with you? Some frogs want out. They don’t believe in the team anymore. It’s important to consider a solution for them too while remembering that the team has been promising them backing price all along the way.
Ultimately you would the same options so it would be fair to you too. You can also buy more wMEMO now. Then exit if you like.
Lastly, if honestly believe in the project so much that you have som much conviction that you’re still willing to HODL your wMEMO, then that’s great - you should have no problem with the suggested solution because your amount of wMEMO would increase proportionately with any relative decrease in treasury. Also, didn’t you see the vote to wind down? Over 50% of people still wanted to stay. So don’t worry, your treasury would still have LOADS of capital left only now you would be holding much more wMEMO so you would basically be averaging down your cost.
If you can reasonably still say you have issues with this, then that would make me seriously question whether you are a true supporter and long term holder or someone who is just hurt and being irrational because they took a risk, it didn’t pay off, and now they need others to blame.
A lot of ad-hom that I really don’t care to address. We don’t need to address my feelings, you just have to prove to me and everyone else that the rage quit option is beneficial to them. I see how rage quit benefits people who bought below backing price. Now show me how it benefits the majority who bought it above. The fact that you are spending your time attacking me instead of making an airtight proposal that addresses my concerns shows me all I need to know.