Hello everyone, I’m Mattias and to recap my idea presented in today’s RToken Lab i will be illustrating here how the RSR Burn RToken could look like and how a Burning mechanism could be integrated in RTokens.
First of all i’d like to state that anything shown here is not final and will change based upon the decisions taken with the community.
I haven’t come up with a name for the RToken yet since it’s still just a raw idea, so at the moment i will be referring to it as “RSR Burn RToken”, such concept’s goals can be divided between two categories:
Main Goal: Burn RSR and demonstrate that a succesful burning mechanism can be implemented in RTokens.
Secondary Goal: Generate revenue to RToken holders and RSR Stakers.
This can be achieved with the subsequent subdivision of yield between RSR stakers, RToken holders and RSR burned:
The 33% yield to RToken holders was initially there to give an additional incentive to hold the RToken but on today’s RToken lab @0xJMG suggested that a more decisive route could be taken on what the purpose of the RToken will be, taking in account his opinion, maybe rather than giving 33% of the yield revenue to RToken holders, the better decision would be something like 69% yield to burn RSR, 30% to stakers and 1% to a treasury to finance advertising and overall costs for the RToken.
The part of the yield generated by the stablecoin that is assigned to be used to burn RSR will be automatically sent to a burn address by the protocol in the form of RSR and no human action is required to do so.
I haven’t thought yet about the specific backing assets for the RToken but instead differentiated in three categories that could represent them. A basket with higher safety and lower yield could be something similar to eUSD while a “Higher Yield - Lower Safety” basket could be something looking like hyUSD, my personal opinion is leaning towards the “Mid Yield - Mid Safety” option between the three; while the main goal of this RToken is to burn RSR, big part of the goal is also to set an example that a burning mechanism can be implemented and i’d rather see that happen in a more secure way.
And at the moment this is pretty much everything, my ultimate call to action would be that anyone interested in this RToken is welcome to lend their knowledge and take part in this community project, whether it is by offering their skills or simply sharing an opinion.
Any messages in the Discord RToken Brainstorm channel are welcome, i also created a Telegram Group that anyone can join but i’d also like to keep the conversation alive under this forum post so that everyone in the future can see all the opinions here! I will be updating the conversation here when more final decisions are taken.
Thanks for reading and looking forward to knowing your opinion
Also my Twitter account if anyone is interested about sending me a DM: @ottokili