DOT Way Forward! (July 21st to July 27th)

Jul 29, 2024

This week the debate within the Polkadot ecosystem has centered around paving the way forward. Our top story will cover DOT debates on Inflation and the Ambassador Program. We will also touch upon the more contentious and hotly debated marketing initiatives.

For those more interested in debating on new investment opportunities, check out this week’s featured update. We explore the way forward for decentralized funding as we recap what’s been happening on Polimec.

Regarding the debate on the Ambassador Program, WagMedia did get a positive mention by Shawn Tabrizi. Perhaps, this sentiment can be backed up by the WagMedia data report volume 4, which covers up to 24th June, and recently published by Vampsy.

The full newsletter can be enjoyed via this link.

Dodow, Chief Editor

Top Story of the Week - DOT debates

Written by yay.oi

In his proposal for adjusting Polkadot’s inflation system, Web3 Foundation’s Jonas Gehrlein argues that the complexity of the current inflation model has become largely redundant. With the introduction of coretime sales and revenue burning, we no longer need a system to try to achieve a balance between staked tokens, bonded crowdloan tokens, and liquid DOT.

Jonas presents a new, simplified model for Polkadot inflation, making use of features available in the next runtime upgrade, that offers the flexibility to lower inflation and provide a fixed rate of treasury income. His model removes the ideal staking rate, so staking APYs would simply decrease as the staking rate increases.

With treasury inflow fixed at 15% of inflation, 6.8% would go to stakers, and 1.2% would go to the treasury. The result would be a fixed treasury income of 1,155,539 DOT per spending period (24 days) and, at the current staking rate, an APY of 11.62%.

Jonas’s model still results in exponential inflation, which has a negative perception by many. According to Alice und Bob’s alternative model, fixing inflation at 100M DOT per year would result in linear inflation, with the effective inflation percentage diminishing over time. This model offers further simplification, which could appeal to the masses.

While stakers anxiously wait to see what the future holds for their APYs, 21 new Polkadot Head Ambassadors may be getting nervous about their promised $120k pa salary. Polkadot Fellow Shawn Tabrizi thinks that the new Ambassador’s Collective should not be funded yet and has proposed a complete restructuring of the Ambassador Program..........….

Check out our full newsletter for the full story

Featured Update - DOTcentralized Funding

Written by Sanchez

The initial community sales for Polkadot ecosystem projects were primarily conducted on Tokensoft. This included presales for highly anticipated, well-supported projects such as Moonbeam, Acala, Manta, and others. In most cases, community members who supported their crowdloans on Kusama significantly benefited from these sales as they had first-class access.

At that time, the markets were booming, with KSM exceeding $300 and Kusama crowdloan projects offering impressive returns. The imminent launch of parachains on Polkadot fueled similar expectations, likely prompting more projects to set up presales to raise funds quickly.

Many were eager to participate in these sales, seizing every opportunity. Projects, in turn, offered their tokens with arguably high FDVs, yet there was still strong uptake, and most sold out.

It all seemed great—until it wasn't. Only a few projects launched and distributed tokens to participants before the market downturn caused their valuations to nosedive. Although there were a few exceptions, many investors have been barely able to break even on their initial investments.

Several projects today still suffer from the impact of what can now be considered expensive token sales. Presale participants frequently berate them for over-promising and under-delivering, even though no explicit promises of returns were made.

Three years later, Polimec has established a transparent and fully decentralized fundraising platform for projects within, and eventually beyond the Polkadot ecosystem. Recently, it completed its first successful fundraising operation, with more in the pipeline..........….

Check out the full story

News from the Finders Program Part 1

Written by yay.oi

After achieving slightly over 33% of their target, Impactscope has accepted $100k for their fundraise on Polimec. Funding participants will receive their tokens, however, evaluator’s bonded PLMC will be slashed by 20%.
Mandala Chain’s Auction Round has commenced on Polimec. They are seeking $250k of funding, with a token floor price of 0.02c.
Astar announces integration of Chainlink’s CCIP, which will enable token transfers and cross-chain communications across numerous chains.
Building with Move VM is now possible on Polkadot and Substrate blockchains thanks to a new pallet built by Eiger.
YOM, a Solana based decentralized cloud gaming compute DePIN, announces its expansion to the Peaq network.
Energy Web has partnered with Acurast to use their decentralized compute network to host their worker nodes.
You may have some extra DOT in your wallet. With the migration of on-chain identities to People Chain, identity deposits have been released.

More here

News from the Finders Program Part 2