Today we published an income statement that shows revenue growth from $11K in November 2020 to near $445 in May 2021. Then there is the metagovernance aspect of Index Coop. I encourage everyone to try be across everything that is happening at Index Coop. I really believe we are building something unique with a strong moat.
5% of daily trading volume is drip feeding INDEX into the market. It is structured, controlled and aligns with the goals we set when we created the Treasury Working Group.
Sure. When opportunities present themselves an IIP is drafted and presented to the community. This proposal is just like any other proposal and is subject to the same governance process.
This data uses an INDEX price of $30 (APR_MAY) and makes the assumption 30% of INDEX circulating supply is deposited into a staking contract receiving just 5% APR in INDEX incentives. $850K per month is what that would cost. That offers no diversification, no ROI and would be a large expenses to incur. If we did LM on INDEX, then we would probably go Sushiswap as there was SUSHI incentives on INDEX-ETH already. SUSHI incentives did not create a very large pool.
This option creates liquidity, diversifies a small portion of our treasury and is a lot cheaper. Some may argue we are socialising losses. The counter view, we believe 5% of trading volume will not determine the direction of INDEX’s price. If anything doesn’t go to plan, then we can pause swaps on the Balance Pool.
I will go as far to say by being sufficiently well capitalised - INDEX is actually a lower risk investment. INDEX’s risk profile is reduced by holding ETH. I am glad you hold INDEX, we both do 