Brainstorm new program: fixing missing incentive design

Community
#43

BTW I think that if you do trading competition there should be a minimum trading volume in order to claim the prize.

2 Likes
#44

And i would love to see a arbitrage bot and algo bot for the community (next to the mm bot). I think that would also increase the option for users to be active on the platform!

#45

What i feel was no need to completely restructuring fee reward programs as we still not in GA.

  1. I would like to suggest to conduct a trading competitions for all new listings. And do marketing about it like other exchangers do. At least for a week. Then all new listings have some active tradings and also it will bring new traders to exchange. Otherwise in nash most of new listings Dead pairs from listing. For new listings if some pairs dont have liqudity and volume in start. Then no one use it. It also cant recover Later. Like all alt listings in nash.
    We need to bring traders who trade these pairs to nash by giving some interesting rewards.

  2. Success of nash 90% depend on volume on it. So if any affiliate program conduct it should be with trading activities. Like distribute proportion of trading fees with affiliates. Or to receive reward, referral person’s trading volume need to be greater than $1000. That will bring active users to nash.

1 Like
#46

Hello,

I have 2 ideas that try 2 different things:
I idea is to make people come back to the exchange and trade to receive rewards based on their trading volume, something like this:

Tier1: 1k USD per day for 1 week - 10 NEX
Tier 2: 5k USD per day for 1 week - 25 nex
Tier 3: 20k USD per day for 1 week - 50 NEX
Tier 4: Max allowed trading for 1 week - 100 NEX

Tier 1 VIP: 1k USD per day for 1 month - 30 NEX
Tier 2 VIP: 5k USD per day for 1 month - 75 nex
Tier 3 VIP: 20k USD per day for 1 month - 150 NEX
Tier 4: VIP Max allowed trading for 1 month - 300 NEX

Another idea I have is to provide access to an arbitrage/liquidity/MM bot for people who reach a certain trading fee for month:

Once you have 100k trading volume you receive access to the trading bot(simple bot like fabibi) (enabled only for Nash) - Only 100 people might obtain this
Once you have 1 mil trading volume you receive for arbitrage betwen 2 exchanges, etc

1 Like
#47

Why not use the remaining percentage that could have been staked by holders, but are not. So for example if someone is staking for 1 year he receives 50% and the remaining 25% could go to the liquidity mining program.

The company is now receiving this proportion of the fees but could have otherwise gone to the holders anyway.

Holders then have the opportunity to participate in the liquidity mining program if they choose to by staking less. And those who forgot to stake or don’t want to stake automatically participate.

4 Likes
#48

All 3 programs sounds good.

How about paying the incentives for the liqudity farming in USDC ? In a way we are fuelling the order books in Nash as some of the traders would try to convert it to their choice of crypto with the received incentive, even otherwise USDC would be seen as a neutral solution for traders favoring different blockchains.

#49

I think a lot of these suggestions are great. It is very important right now to create incentives for people to use the platform, especially new users, as I think most volume will come from new leads, as well as bot trading and big users/traders. The existing community seems to consist of more investors than traders, so I wouldn’t expect a huge increase in volume from the existing community. However, as marketing ramps up, these incentives could encourage new users to start driving trading volume, as well as encouraging other programmes and services, such as Nash Savings. Nash Savings has the potential to be a great winner for Nash, as it will compete directly with banks (which provide low interest rates) as well as other cryptocurrency savings platforms.

I don’t think the current NEX token has any flaws. The existing tokenomics are great as they attract people to Nash. Like most investors, I think, I am attracted by the prospect of passive income. There are some FUDders at the present time, but I think those will gradually disappear as volume picks up and the rewards for staking increase. So I see the current situation as temporary. People won’t be FUDding their investment when NEX staking starts giving genuine passive income to stakers.

The referral programme will be a great way of bringing crypto influencers on board, e.g. on YouTube and Twitter. The MM programme should also bring in volume and liquidity, which are both important.

I agree with all the new initiatives. The only thing I should emphasise is that I don’t think there should be any changes to the current NEX token, either in terms of total supply, staking rewards or otherwise. It’s important that these remain the same, almost sacrosanct. I’m not sure how burning would work, but I’d suggest leaving the NEX token as it is, and focusing on bringing in new users through the incentives programmes and marketing/advertising.

Finding ways to engage with Twitter and YouTube influencers will be important, and getting them to share their referral links will be important, as they have a wide audience who can be encouraged to sign up for Nash and share their own referral codes, creating a network effect. Even if they don’t all trade, new users can be encouraged to save their cryptocurrency via Nash Savings, and shill their own referral links, thus increasing the number of users and engagement.

Just a few thoughts.

7 Likes
#50

This is what TenX PAY did, they added a new token called ‘TENX’, it was used for their rewards based system. It didn’t go down very well at all based on this and other factors.

  • Investors/token holders were furious (from what I’ve seen a large stake of them have sold out and taken a loss on the token), me being one of them.

  • The community leaders actually left TenX and posted a lengthy departure on why (was on reddit).

All in all they angered their investors, the community and from what I’ve seen it ended terribly for them. The company did a good job raising $100M, they have a product - however they barely have a community (no where near as strong as Nash’s), they once did and this is all gone for a very good reason - bad decision making by someone who’s never understood/ran a large business before.

2 Likes
#51

Personally I think this is an ugly can of worms we have opened here.

Already we have talk of changing the Token economics by reducing fees and decreasing Staking rewards.

This gives me ‘The Fear’…

6 Likes
#52

My thoughts are revolving around the idea of letting stakers cancel their stakes. However, not 100 % of the funds will be freed, only about 80 %. The other 20 % would then go to company fund, which could redistribute in some referral program or other incentive programs discussed above.

I think this might have several advantages to nash. Firstly, you give some “toxic stakers” and bad actors the possibility to leave. You do not force them to stay even though it was their decision to stake. Secondly, you will have a way to get your hands on more NEX tokens without the need for inflation. The NEX would then be in better hands with individuals that create the most value.

Such a practice is common with illiquid assets. For example, large funds are buying out venture capital LP commitments. It is always done with a discount of 30-15 % to the original price.

3 Likes
#53

This.

5 Likes
#54

Great comment :+1:

1 Like
#55

Hey, firstly thank you for always involving the community!

If we want something which benefits the whole Nash-Community we need something what is independent from personal

  • Nex-Holdings
  • Tradingvolumen
  • Technical background like setting up a trading bot
  • increasing Maxsupply of Nex ( My personal opinion)

So here is my rough draft

NashLotto - from the community for the community

Basic structure:

Nash creates a new Nexadress and maybe boost its Nexstartingholdings.
All Nex in this adress will be staked forever.
The dividends this adress creates are given back to some lucky nexholders.
Drawings could be 2 times a week(in germany we have wednesday and saturday), weekly or monthly.
Every Nexadress has 1 entry for every drawing.

Refinements:

Nexholder can buy more entrys (paid with Nex and sended to the Nexlotteryadress)
Dividends and also the locked Nex would increase.
We would need to find a price structure for example 1 nex = 1 entry
High tradingvolumen or other community contributors could also get free entrys.
A small share of the pricepool(dividends) could directly go back to the pool (Marketbuy Nex)
Prices could be paid in eth/btc/usdc/nex.

Final words:

Maybe you see where this could get us. Biggest crypto lottery and every nexholder would benefit even if he will not win. FreeNex supply will decrease and prices will increase.

#56

Spent some time reflecting on this. I’d wait until the bots are ready and available to the nash community, and we’re comfortable running them for a little more liquidity, then…

  1. Launch Nash Savings, and introduce this liquidity farming program.

  2. When adding new tokens for trading, offer that token’s community 50% extra reward over X period, from using Nash Savings for their community’s token. (this should aid with user retention).

  3. Have the Nash Savings contract boost liquidity/volume somehow (are these funds lent to leverage traders? And in what other ways could this be utilized?)

  4. Fees generated from the increase in volume (then split between various incentives) can:

  • be used to cover the +50% Nash Savings incentive for newcomers, and
  • contribute to the liquidity farming program (the rewards can increase as trading volume increases)
  • start offering “free $5-30 worth of pre-staked NEX” sign-up bonuses, when it financially makes sense to do so (wait for volume to increase first, so that NEX token price also increases and you have more available for this program).
  • fuel any other incentives/ideas discussed in this thread, in a sustainable manner

If you’re not able to utilize those Nash Savings funds in a way that boosts volume, be it technically, legally, or in a short-mid term (timely manner), then perhaps substitute that service with some kind of dedicated trading pool, for this example. I don’t know how many community members reside in countries that prevents them from trading, but liquidity farming program probably feels like a kick in the teeth for them.

  1. “Every week a defined reward in NEX”

Our bots can’t trade NEX, so any reward we get for liquidity farming can’t then be put directly towards our liquidity farming for the following week. It can be staked (in tiny amounts of ~1-5 NEX, which would make one’s staking page look messy/chaotic), and those dividends are paid directly into the contract for the bot to use… but that doesn’t seem ideal, I’d definitely pay the liquidity farming rewards in BTC/ETH/NEO/whatever else, and including newly listed tokens such as RLC/ANT/QNT in this reward program certainly opens the door for additional incentives/announcements/partnership agreements/user adoption.

Prematurely ending a stake with this as a consequence doesn’t seem like a bad idea. Doesn’t seem like a great idea either. Ensure that the act of unstaking prematurely has at least 3-4 positive effects elsewhere (for volume, all nash users, NEX stakers, etc.)

I’m not a fan of rebates or burn models; messy and inconvenient. NEX is easy to understand, and looks and feels nice and clean. Professional. Try to maintain that impression in any future design choices.

4 Likes
#57

@JustUS is not the first time you “raise concerns of a hidden agenda” there is absolutely no hidden agenda - I presented exactly what the pilot idea is.

Thanks for the input @Oldsport but we are not changing how the NEX token works. I have no idea where this is coming from - so to the subsequent comments regarding changes to the NEX token - that is not happening and is not what we are discussing here!

I will repeat for the 4th time on this thread: let’s focus on a new program, which incentivize people using the trading protocol.

As I did my best to be clear on my replies and on the original post we are still:

  • doing a MM program
  • doing a new referral
  • providing tooling like several types of bots
  • partnering with trading services like bots and trading funds

So - community! Back on track! Let’s focus on iterating and providing insight for what we are seeking here, again: a new program, which incentivize users of the trading protocol.

13 Likes
#58

So from what I understand this new liquidity farming program is basically a propotional trading competition.

I have would have some suggestion to changes:

  1. Since there are so many dead pairs, how about doing the payout/calculation for each pair individually to generate volume for them. Not all pairs have to be active every week.

  2. I am not sure, if NEX would be a good way to incentivize traders… Since it can’t be traded here, the reward might be be useless for many of them, who are just looking for some additional short-term gains. BTC/ETH/NEO/USDC etc. might be better. Furthermore, for new coins, the coins themselves could be used as reward (Maybe this can be discussed with the respective teams, if they are providing liquidity anyway).

4 Likes
#59

Another program that I think will bring some interest in the platform is a close collaboration with bot services like GunBot.
Maybe based on your monthly trading volume you receive access to an integrated Gunbot bot specifically made to operate on Nash.

For example:
Tier 1 - 100k volume per month you receive access to basic trading functions 1 Pair for example. To be a Liquidity Maker
Tier 2 - 500k volume per month you receive 2 additional pairs, also the ability to be Market Maker
Tier 3 - 1Mil volume per per month arbitrage with other exchanges functions etc

Just an idea, its like renting the license to people, based on their volume.

I am sure this will also be good in the long run for both bot companies and us due to increase volume.

#60

I believe the MM program, referral system and liquidity farming program are fantastic ideas and fully support them and it is clear the team has put a lot of thought into it for GA.

I am very keen on the whitepaper’s aim of bringing crypto to the masses (being one of the nontech savy backers myself, when I discovered Nash) and with my post I am trying to give the team a sense of what non-crypto sphere people might be thinking.

The burn-mint idea in my opinion is a scary one, given my limited knowledge of crypto.
Nash has the potential (over the competion imo) of bringing in non-crypto people with savings, pay, its clear UI and simple ecosystem. I believe they will be scared off, however, from investing in Nex and as a consequence lose trust in the service due to fear (Mainly from the terminology and what it evokes). It makes average investers from the traditional institutions such as the stock market worry as it evokes fears of buying a token that would be burned after your two years and as an investment, useless. It would not make it feel more like buying a stock (which I believe is the aim of Nex).

A second token therefore used as a reward, or simply paying out in another crypto (USDC would make sense given the amount of pairs on Nash with it making it ideal for generating more volume) would make more sense in “ringfencing” the fantastic idea the Nex token brand has. As we have seen by this conversation, fear spreads quickly and if deceminated to the masses could provoke the opposite effect intended.

I am confident that the burn idea would not damage the backers with the 50million initial nex and I know this is not the case, as it would go against the whitepaper and the whole point of the security investment. I have learned more on this crypto journey than I could imagine. However having come from no knowledge at all, this is what I and my investing non-crypto friends would be thinking. Just some feedback for the team to consider as the angle of non-crypto users is just as important for growth and in meeting the long term vision.

I just want to finish on a positive note, the team is blowing me away with the speed of updates, the clear communication and the interest in their “shareholders” opinions. The stock market has a lot to learn from you and your revolutionary vision!

4 Likes
#61
  1. Agree need market makers. Fees need to be competitive enough for them to swap. Volume attracts more volume.
  2. Referrals - good idea but I wonder how effective it is. Worth a try.
  3. Liquidity farming - rewards would benefit if NEX could be traded on Nash to be honest. Basically you have to use Switcheo to go and trade the NEX! lol - it would be more of a Switcheo promotion than a Nash promotion. If you have a small amount of NEX, staking NEX right now is worthless due to no volume = no incentive.

To be honest, I still use Binance to do my trading. It’s still better in everything that is noticeable (fees, liquidity, range of markets, near-instant fiat gateways in Australia) except the custodial aspect. I really do want to trade on Nash as a supporter and investor, but for small trades that I do I, can’t justify it yet. Really keen to see progress here on these dimensions. We don’t even have like 0.001% market share of volume! (but I am still optimistic!)

2 Likes
#62

This view has been expressed by many of the community members in multiple channels who have a strong interest in something like this, contributing capital to a team/community member for the purpose of driving volume. The challenge is how do we minimise risk, I’ve already taken a huge risk by allocating largest portion of portfolio to Nash anticipating higher volume before the most recent halving. Recently I’ve been adding to Bitcoin and ETH positions as a hedge against Nash in case Nash doesn’t gain traction in this bull market. I’m happy to allocate all my BTC, USDC & ETH savings to a low return strategy such as the robocop method on @fabibi’s website if I can be sure principle capital is safe (early testing shows only small losses in some cases which is good). Ready made bots for users to deploy is great and worth pursuing however if the request to allocate funds to a liquidity pool can be met it’d be a good addition for the inexperienced.

I agree we’re better off giving away assets other than NEX, rotating assets might be a good way to boost volume on the markets with wider spreads and lower liquidity.

implementing

and having a

sounds like a reasonable way to bootstrap liquidity for new listings thereby improving first impressions for new users coming over from other communities.

Although the way the TRAC team seemed to be looking for a way to exploit the Nash trading community group who were trying to do something similar this week wasn’t very encouraging. Maybe we need a method the community can use when approaching teams who’ve had recent listings that makes it obvious that helping out is a win-win for everyone.

GunBot has a large community, HummingBot is also popular maybe we start with the most popular and work our way down the list…?

Finally Stripe has been successful because it’s easy to integrate with their API’s, their documentation and SDK’s are great for developers and as most users have a credit card there’s no on-boarding required for front-end users. This is something that’s a bit more challenging for Nash as users need to acquire funds before depositing them into a state-channel, Nash is well down the path to making this smooth and simple hopefully NashCash goes live soon making it even smoother on the front-end, this just leaves the back-end on-boarding for algo trading, market makers/liquidity providers which Nash seems to have started focusing on by way of the paid MM initiative.

The whole chicken egg problem with retail users, liquidity provides, market makers and institutions whereby liquidity begets liquidity has proven to be quite the conundrum demonstrating a strong need to bootstrap volume. Starting a community liquidity initiative → which attracts retail users (regular and automated) → which in turn attracts more users and gets the flywheel spinning makes me optimistic about the future.

1 Like