Protocol Level Burning of NBT in Exchange for NSR at Dynamic Rate Similar to Park Rates / Voting

[cryptog]

I d definitively favor such a mechanism, too.

[Dhume]

You could also use the pledge for this if no one sets up the burn method, aka trade Nubit for NSR.

[nmei]

OK! Will do!

[woodstockmerkle]

I had some sort of similar idea a while back, but was not articulate enough about it.

The TL;DR-- what if you combined in-chain transactions NBT-for-NSR, combined with time-locking.

i.e.: if market is 1000 NSR per NBT, and in-chain we offered it as 1200 NSR per NBT but time-locked them for say 3-6 months.

If this is done in-chain, we can enforce the locking. This can’t be done on other exchanges (though I presume this could be brought in to B&C – perhaps as a “value-add” service to other cryptos)

A few things
1- the risk is offloaded to whomever wants to speculate on Nu over a period of time … i.e.: the premium of in-chain NSR-for-NBT should be related to the time risk
2- it is a “buy” of NSR instead of a “sell” meaning at the time we need to offer NSR, we are not adding downward pressure
3- they are “locked up”, meaning they won’t all hit the market at the same time, and especially at the time of duress

Three roles that need to be filled by shareholders

Hypothetical mechanics: Presumably the public/private keys used for custodians' NBT addresses can also be used to identify an associated BTC (or PPC, etc.) address. With the cooperation of a liquidity provider, the Tier-4 team would deposit BTC into the BTC version of the address associated with an LP's NBT grant address. In exchange, the liquidity provider would then transfer a like amount of NBT to a limited-use address used by the Tier-4 team. The Tier-4 team then disposes of the …

[teek]

The TL;DR-- what if you combined in-chain transactions NBT-for-NSR, combined with time-locking.

i.e.: if market is 1000 NSR per NBT, and in-chain we offered it as 1200 NSR per NBT but time-locked them for say 3-6 months.

I like it. I think it makes a ton of sense. Different swap rates for different time periods similar to parking as well.

Gives us a very good tool with some actual incentive and forces accountability. If the shareholders don’t want to get diluted to all hell they better keep shit in check.