I have been thinking about something.. just like coins with masternodes. They lock their coins to validate transactions and in return they get coins
What if we try to do something like this with Iconomi ?
What if Iconomi provides a service to lock ICNs on the website. Locking ICNs will reduce the market supply and in return, people who locked their coins would get ICNX coins for their service ? Those ICNX coins could be bought from a fixed % profits made on the platform. Locking would be for 6 months to 1 year. We dont go full 100% on buybacks but we reserve a small % for the locking of coins reward
What do you guys think. Is it feasible ?
This sounds like a good idea. 2 possible effects from this:
- could market ICN as a usage token
- it would theoretically pump up the price by locking portions of the supply
I think it would be better if this system was smart-contract-based instead of having to signup to website in order to lock your ICN.
Why do you propose giving people who lock their ICN interest in the form of ICNX instead of ICN?
I don't think locking up ICN tokens and thus constraining the supply is a good idea. Sure, it could pump up the price, but look at what happened to Bitconnect because of its lending program (
https://bitconnect.co/bitcoin-information/19/investing-in-bitconnect-lending). The price is clearly in a bubble, probably because of this lending, and there is likely to be a big correction or sell-off soon. Similarly, Dash got into a bubble because the supply was constrained - most coins were locked up in masternodes (either a soft-lock if you had a full masternode, i.e you could still move coins if needed or there were some services offering a stake in a masternode in exchange for locking up coins for a period).
I would prefer steady growth, which will happen once the platform launches and it sees growing usage. I'm fairly certain it will bring in a lot of money into all of crypto, given that the platform will make it incredibly simple for the average person to invest.
There were some talks about making ICN into a usage token for marketing or regulation purposes.
This is one of the first ICN usage token proposals I have heard. Another one would be to require array managers on DAMP to hold or burn some ICN in order to create a new array.
Yeah, I remember those talks too. Burning/holding tokens to create a new array could be beneficial, too, as it acts as a sort of barrier to entry - basically ensuring that only serious fund managers open digital arrays and making the platform more high-quality. I can see this working in a couple of ways:
1. Fund managers commit to locking up X amount of ICN for a certain period, in order to start a digital asset array. I don't think this should act as insurance, i.e, ICN shouldn't be burned/taken away if the array performs badly - the whole crypto market could turn bearish and many arrays would perform badly. But it at least shows that managers are willing make some financial commitment of their own. After the initial lockup period, managers can get their ICN back.
2. Fund managers burn Y amount of ICN (Y being smaller than X) as a one-time fee, in order to start a digital asset array. It won't be some crazy amount, perhaps between $100-1000 worth. This is an even stronger financial commitment. And this would benefit existing holders in the same way the token buyback would.
To take this idea further, why not even incentivize well-performing arrays by awarding their managers some ICN (kind of like how Augur rewards REP tokens for correct predictions)? In this case, we may be able to modify #2 above: instead of burning ICN, fund managers contribute to an ICN pool, which is periodically distributed to top-performing digital asset arrays. The only caveat is that this is probably not necessary because fund managers already get management fees (and can charge more if they do better).
Anyway, these are just some crazy ideas, but I think they can help make ICN more of a usage token.
? looks like next GREAT pump opportuninty but...