Brainstorm new program: fixing missing incentive design

Community
#22

you cannot change a contract that has already been signed between the holders and the company

#23

+1 :top:

#24

The main drawbacks I see are:

  1. it’s more complicated to execute than Fabio’s idea
  2. it reduces Nash’s income and pushes its breakeven point that much higher volume-wise

One possibility to solve (2) would be to implement a new kind of stake: one which reduces the passive earning factor (for instance 20-70% instead of 25-75%) but unlocks the active earning incentive on top, giving you the opportunity to go higher than 75%.

I’m not sure how immutable the staking rate is: if it’s not - and personally I’d rather earn 70% of a big volume than 75% of nothing - the new stake could replace the previous one. Otherwise, it adds complexity everywhere (the UI, the user-friendlyness because a newcomer must understand why he can choose between 2 types of stakes, etc).

That converges with @Cornelius’s idea:

…however, there’s always the legal complexity of going back on the initial staking rate.

All in all, I think @canesin’s idea might be a good - easier - start. Depending on the impact, Nash team would then have more data to iterate.

#25

That’s a good idea as well, paying them in BTC.

1 Like
#26

as I said, you cannot change a contract that has already been signed between the holders and the company

#27

That is the question - basically our rights / NASH’s obligations in respect to the original STO are similar to the ones a stock company has towards its shareholders.

If the majority of the shareholders vote for a changew then I think it would be possible from a legal point of view.

More importantly I fully agree with @Oldsport - a slightly smaller dividend in % of a much bigger cake is far better than the 75% percent of the current cake (= 0).

Besides that you can see that this kind of incentivising liquidity farming etc. works - just look at all the other platforms which popped up over the last year and are very sucessful (although I guess it is not very sustainable in many cases).

What I would not do is to start such an endeavor with a small incentive like a few thousand NEX (no offense meant @canesin) - this will probably not be attractive enough.

2 Likes
#29

Hello @canesin,
Great idea all together but I think we are not covering a big part of the community with this proposal. Due to compliance, many community members are not able to trade on Nash and that won’t change in the near term. My suggestion if it is legal is to create a trading pool that allow people to contribute funds and earn monthly reward based on the fund performance. Then Nash can incentivize by making some NEX contribution if necessary that will serve as buffer for loss covering. Even with easy to use bots, some will still not want to stress but would be willing to put in their fund. I could imagine raising a pool of $100,000 to $1m trading fund then deploy bots to trade on the exchange. This will give lots in term of bootstrapping exchange volume and also with some reward.I will be more than happy to contribute to such pool.

8 Likes
#30

How exciting is this to our community?

Three thoughts come to mind:

  1. I usually ignore trading events entirely, because I assume that only a few who generate the highest volume will win, and thus I’d just be wasting my time. I don’t go out of my way to verify whether or not this is true, as I also assume that any reward I’d receive for participating would be minuscule compared to those volume-generating behemoths, and so it’s not worth the effort. (So if you do something like this and are targeting the average user, be sure to bullet point the details succinctly, in a way that immediately outlines why participating is a good idea).
  2. NEX stakers receive dividends based on volume, so if good bots are conveniently available then I’m sure a good number of the Nash community would make use of them, weekly reward or not (long-term success of the exchange is a reward that dwarfs any other, and this liquidity farming idea feels like it would be more of a short-term thing to kick things off?).
  3. It’s probably better to cycle through different token rewards each week or month. Offer BTC one week, and then ETH or USDC during another, or a newly listed token (Accompanying the AMAs preceding new token listings). Might be able to tag other communities on twitter during these weeks. Variety is nice, keeps things interesting and fresh.

I’d try to tie the two together in some way; liquidity farming and Nash Savings. Programs that can synergize well tend to be the most effective. If you add some other community’s token, I’d say it’s better to incentivize that (usually a hodl) community to sign up with Nash and make use of the savings service; you gain new users, they bring over their assets (which helps generate volume/liquidity… somehow?), and having some of the fees generated or these weekly rewards benefit those Nash Savings users in some way for making Nash their new home.

In short, just ensure that the programs, services and features all support one another when designing them. This is what I find exciting. The opportunity to run a bot(which I’d run anyway for free) to generate a little more NEX(which we already hold a lot of) is a really nice perk, but I feel like there might be a far more effective method, if only I knew what.

I’d assume the vast majority of these users would rarely (if ever) trade, so ensuring that the ‘Nash Savings’ service seriously helps to boost liquidity and/or volume in whatever way, feels like a good move.

I’ve spent a lot of time thinking about how I could most effectively convince people to sign up and try out Nash, and I always get stuck in a thought loop with no good solution.

  • 99% of people that I can refer are non-crypto users:
    1. Unless they’re between the age of 18-24, I seriously doubt they’ll ever delve into trading.
    1. If I transfer a small sum of money to their account ($10-50) as an incentive for signing up, then many of them would likely be willing to try out the Nash Savings feature
    1. I’m not crypto-rich enough yet to be able to hand that kind of money to hundreds of people, and while I’d be happy to do it with dividends, to be receiving a viable amount in dividends would mean that Nash has already succeeded in realizing good volume.

I feel that solving this is paramount in both gaining new users and boosting volume simultaneously, whenever the appropriate systems are in place for the volume to benefit from it; incentivizing people to sign up, who then lock said incentive to make it grow, which contributes to liquidity/volume.

Topic for another time though perhaps.

Something along these lines was also a large part of the reason that I avoided investing anything in nOS. It felt to heavily favor developers in its community, which I’m not, and (I think) that’s what put me off. I think the simplicity of the NEX token was very appealing, just as Nash Savings will be appealing.

I’m sure that shared belief in Nash’s vision, and collectively contributing to minimize the odds of that initial investment failing, is the main focus for a lot of people in the community now. Growing the community feels more important to me than growing my own assets by participating in trading, for whatever reason, and I’m personally more excited to do just that.

5 Likes
#31

I like the idea of NASH utility token, paid as a reward for various activities on the platform and used to pay fees so we can finally buy that 1 whole NEO we all dream of!
The downside of this is that stakers will have most of the reward collected in the util. token.
IMHO, we will need few things for this to work:

  • Limited supply only generated as rewards as we go?
  • A way to do price discovery to know how much of the token should be used as fee.
  • A plan to rebuy the token and burn or redistribute as reward again?

Maybe an idea is to issue 50M (or 50B some of us loves many 0s) Nash tokens that are pegged to NEX in price but not in staking power. Rewards paid out of that sum every month/week or compitition.
Users can choose to use the new token they gained from a last month and redeem it for NEX or use it to pay fees with a discount.

#32

I don’t agree with that. At least in terms of number of user. It’s even more obvious in an Altseason like we have right now.
I want my coins/tokens to be safe, easy to manage (not jumping from one exchange to the other too much), and I want to be able to invest in a project quickly after I discover an opportunity.
Binance was successful because they had a low barrier of entry (no KYC), a load of different coins listed,a good UI and some interesting features with BNB.
But it’s a CEX, and other DEXs are too slow and expensive as we all know. So NASH has a true chance to succeed, only if it attracts users. And I think ALTs traders are the best to target at first, because we are the ones ready to go on any exchange, regardless how shitty it looks (I have traded on Etherdelta lol) and how low the volume is, all of that pain in order to get those gems.
So I think that listing of tokens and coins that suffer from a lack of liquidity/exposure to the market should be taken very seriously. That’s also the reason why Uniswap is so successful, it lists the coins before the other exchanges! And we don’t need an other place to trade boring alts like DASH or LTC, we want the new hype projects!

Utility for the NEX token:
The token could be used to vote for the next coin/token listed, kinda like on Binance, but the fund collected could pay the legal fees to list the token.

8 Likes
#33

Another idea I have is centered on the current pain point of transferring funds from wallet to contract:
I don’t know if it is feasible, but I’ll let the team judge on that.

So let’s say users lock there funds in a pool. When a user comes from an external wallet, he can choose to do a normal transfer to the contract, and pay fees in respect to the Blockchain used (ETH being congested ATM would not be ideal for example), or use the pool to do an atomic swap with the cheapest and fastest crypto available currently. Then his funds would be transfer to his trading contract, and traded against his initial crypto. This should be frictionless, and easy for the user, and the fees from the atomic swap and trade should go 100% to participant of the pool.

I really don’t know what an atomic swap is btw ^^

#34

This are my ideas :bulb:

Somehow building honestly is not cool, somehow being kind is associated with weakness.

Stress the point how important self-custody is.

Stress the point on how important it is to get KYC done in order for people to be more safe with their investment and even more safe from regulators, and how unsustainable it is a non-KYC approach ( just explain some legal things for people to understand).

Stress the point on how big is 75% staking reward for investors, and why Nash is so generous.

Stress the point of good things that you are doing in the background (that you are service oriented and the fact that Nash founders are not taking salaries or partial salaries or because firs year the company was funded by the founders) ( explain to people why it was important that you used your money before asking for a investment)

Would be nice to have different options, but my point is that Nash didn’t leverage the advantages that already exist.

In marketing we can learn from Binance and Tron ( the difference will be that Nash is providing a product that is respecting the idea of financial freedom, BTC dream of self-custody and no double spending or risks associated with security of funds). Using great marketing with real products like Nash has, is going to be revolutionary for crypto.

Like in movies: bad guys have the best guns, and in crypto bad guys have the best marketing.

We also can have great marketing.

Let’s get YouTube talking and really show where the value is. People will only benefit from Nash.

All above written, is what I would do in order to get people to use Nash services. And any new service on top of existing ones would be a super nice reminder that Nash is going to be building all along!
Thank you :handshake:

#35

From the point of project announcement leading up to the platform launch i was extremely active in promoting NEX within the community. Since launch I’ve been staking and lurking waiting on volume.

I agree there needs to be something/some incentive for contributions. My opinion is mirrored as some above. Whatever get imposed should be surrounding the NEX token itself to give it more utility and demand. Issuing another token like other platforms just becomes complicated and redundant (I.e. SOUL and KCAL).

Furthermore, I know it’s been refuted above, but any discussion of inflation shouldn’t even be considered or that will kill NEX. Just wanted to add my 2 Satoshi sabbath there.

I think the best solution would be one that doesn’t hurt long term stakers regardless of active participation. Some people believe in the project and stake for 2 years out of dedication but may not have the time to actively participate (I.e. it needs to be an participation incentive without effecting non-participants).

Referral programs are a great start but often the retention base isn’t there. So it needs to be something that promotes active participation over a lengthy duration, not necessarily something that one earns for a week and then exits. I say this with particular mind to a NEX incentive. I’d hate to see users come in only to earn a quick few NEX easily and then dump on the market in order to move into another project, that would only hurt stakers.

With all that mentioned the incentives imo should be paid out in NEX and staked for users who earn it. Or incentives should revolve around platform incentives without additional token creation/issuance.

I advise looking at other known incentive platforms, even minor rewards go a long ways. Discord and twitch have their “status/role” prestige. Something like a weekly leaderboard could be an easy start or a point system that is redeemable in a manner. This is just a start but I’ll be curious to see what the community comes up with. I’ll even start actively contributing again :slight_smile:

10 Likes
#36

I like this overall + I will take part. But…

Would it be possible to create a mechanism that incentivizes MM’s to trade across multiple pairs? not just the usual suspects (like BTC / USDC)

Especially, when we announce a new listings (eg TRAC).

Why? New listings are a ‘shop window’ moment for Nash.

Many potential new traders immediately check Nash out as a potential new place to trade. Opinions are formed within seconds. TRAC’s first day of trading on Nash wasn’t ideal !

New listings should work for us not against us.

Overall I Iike the idea though.

8 Likes
#37

Good Morning

I am looking forward to MM and Ref Programm.

About Liquidity Farming:
In general i think it is a great thing to reward for contribution / boosting volume. I am doing / trying to generate volume even without any incentives. Just by having NEX Token staked you should have a big interesst in bringing volume to the platform.

As possible rewards:
I would definintely not use NEX Token for that, but BTC or ETH. NEX Token is perfect like it is and I would never touch supply or add new features to it. It is the holy grail of crypto :slight_smile: What about: If u just use a x% of the fees which flow to nash from f.e. the top 2 pairs by volume to fund a liquidity farming pool. Base for the payout could be f.e. the fees every user had to pay for bringing the volume he generated. Like a kick back on Fees…Further a Position which I think would be rewardable is to boost liquidity / volume in other pairs. (specially the ones with horrible spreads) (personally I think it just not looks good if u check coinmarketcap for a token u want to buy and see spreads of 10 % + on Nash. So this would be something like “Improving Nash image”

3 Likes
#38

My thought about the situation is that it’s OK to have that talk,

but aren’t it too early?

we are not at GA so there’s no marketing, I think that any suggestion that will come out of here should be saved for after GA/Marketing campain.

I think that our fight should be (among other solutions discussed here) at the legal side of things, that is force regulators to enforce the law on the unregulated (to me illegal space) Defi, Unswap ,exchanges and DEX that even don’t do KYC for example. and truly take action against the operators. IMO such a thing, KYC (not talking about Tier 1 and above) that will be a must among all crypto space will take off the fear some people have on doing KYC and will not be afraid to join NASH.

1 Like
#39

First of all, thanks again Fabio for being so open and reaching out to the community for a bit of brainstorming!

It’s the technology and these sort of core values that Nash hold which keep me so confident Nash will succeed in building it’s vision of the future of finance! :smiley:

I am excited by your ideas for a liquidity farming program…
The basic structure looks good, the first thing that appeals to me is that it comes across fair! Especially for smaller contributors, with rewards being split proportionally as either a taker or maker everybody wins!

Another idea I have seen used and found attractive is syndicate purchasing events with tokens at discounted rates.
It could even be mixed with the referral program, I refer a friend to the platform with the promise of discounted NEX tokens pre staked for a certain duration, I assume we’d have to be the sole Market Maker for that option.
Otherwise discounted Bitcoin or the latest flavor of the month works too…

@Oldsport your original idea sounds interesting! Although, like you said comes with many complexities.

I like this sort of brainstorming, possible combinations of ideas put forward by the everyone start to emerge!

I like this line of thought as well…

Good idea @Moon, I agree, incentive programs should start small and increase

  • maybe we could make it so that if you participated in week 1 and then week 2 you receive a percent more than someone who didn’t participate in week 1 but did in week 2. This could increase exponentially each week until week 4 - In theory this might make people more likely to contribute to trading every single week?

It is quite a lot to digest, I will come back to this thread after I have had some time to read through the other comments and collect my thoughts!

2 Likes
#40

You have to do it simply. Don’t change, break a project, or tinker around like Macgyver. The simpler the better

2 Likes
#41

Hi NateNex, fully agree with the points you are expressing here.

Do you think it’s feasable to combine a trading-leaderbord with users attributing funds to the trader of their choosing? That would be interesting in my opinion, and could potentially incentivise active participation.

That way, you can reward top-traders with a certain percentage of the fees they’ve created with their own trades plus a portion of the fees made on the trades of their ‘followers’. The users following top traders could in turn earn a yield by mimicking a top traders strategy.

Furthermore, a bit redundant at this point: i’m 100 percent against Nex-inflation and agree on your point that adding another token on the platform would complicate things unnecessary.

1 Like
#42

I agree 100% with this @sharkie New listings are a ‘shop window’ moment for Nash!
I think we should be talking about this a bit more!

This is one of the reasons why I find the syndicate purchasing event options attractive that other platforms have tried.

1 Like