Debaseonomics x Satoshi Club AMA Recap from 15th of November

Debaseonomics x Satoshi Club AMA Recap from 15th of November



Today we are glad to tell you about the AMA session with our friends from Debaseonomics. The AMA took place on November 15 and our guests were @icocountdown, @VidarTheAuditor and anon18382

The total reward pool was 1000$ and was divided into three parts. In this AMA Recap we will try to summarize some of the most interesting points for you.

PART 1, INTRODUCTION AND COMMUNITY QUESTIONS

Mary | Satoshi Club: Hello, Satoshi Club! We are happy to announce our AMA session with Debaseonomics! @icocountdown, @VidarTheAuditor and @anon18382 welcome to Satoshi Club.

Icocountdown: Thank you for having us, we really appreciate it.

Mary | Satoshi Club: …you can start now with your introduction

and of course with introduction of Debaseonomics.

Icocountdown: For sure, so debase is based on monetary policy for sure so debase is based on monetary policy, however the governance of compound it allows dictation of monetary policy, so its extremely dynamic you can change oracles with governance and dictate pegs as well, we also have stabilization pools which allows for less fluctuations with liquidity mining incentives, you can also just mine it with DAI. Without any risk since we have retained the auditor https://twitter.com/VidarTheAuditor/status/1327009463728033798?s=20 this is the newest audit that we have and we are working on cybersecurity deployment directly with the auditor in the world currently there is alot of debasement this means that inflation is happening, so its important to work on a decentralized federal reserve.

VidarTheAuditor: I am helping the team in securing the deployments.

Mary | Satoshi Club: Can you give me examples of debasement in the world?

Icocountdown: yeah well right now currency is inflating due to covid 19 and otherwise this is due to central banks printing capital, since they have to give the populace aid, when this happens inflation occurs, debase gives people a chance to look at whats happening in the world and change governance models, so if inflation happens it will be important to deflate the currency.

Mary | Satoshi Club: It’s like you will burn a part of the money?

Icocountdown: No we don’t burn money we make choices about governance structures, there is too components, the DEBASE coin and the DEBASEgov coin. The rebase coin works to a peg which is pegged to dai which is the dollar, the debasegov token and the debase coin generally. So what happens is people determine through the governance token what to do with the monetary policy of the debase coin and then think that users in a decentralized way can change oracles and monetary policy.

D. | Satoshi Club: So you have two tokens?

Icocountdown: Yes, one is the governance and one is the monetary supply itself, DEBASE AND DEBASEGOV tokens, you can see it on the website along with all the contracts.

D. | Satoshi Club: Both these tokens in circulation?

Icocountdown: The debasegov tokens are not, there is two pools currently, one is a dai pool when you mint the intiial tokens which is DEBASE, and a second pool DEBASE/DAI UNI LP 2 tokens where you can mine also, obviously the second pool is riskier due to impermanent loss. However you can unstake both at anytime, you will be able to farm the debase governance once initial mining ends.

Q1 from Telegram user @iulya_i

I was trying for 10 times to remember the name of your project. It is quite hard. How was the process to select it? I propose you to make a rebranding to make it easy to remember.

Icocountdown: The name is based on monetary currency value to debase a currency means to make it lose its value, so i think its fitting we keep the name as inflation is occurring in the real world and people need a hedge so i dont think we will rebrand it.

Mary | Satoshi Club: Ok, do you plan to educate your users? May be some simple educational articles?

Icocountdown: Its already done, we do this daily and tell them what the project is and why it has a format we have a medium here and this gives some educational construct.

https://punkunknown.medium.com/uniswap-and-elastic-supply-tokens-troubled-co-dependence-ba3ecfcfcc76

This is the most recent article about uniswap and co-dependence if you want to ask more questions you can talk to us on telegram directly and we can educate here https://t.me/debaseonomics

Q2 from Telegram user @nadynas

How can you incetivize the DEBASE hodlers to stabilize the price? Does it mean that you intervene with incentives when the price is low?

Icocountdown: So we have stabilizer pools which the governance token determines you can see this on the website, mining/farming is not finished yet we incetivize users with zero risk through audits and free coins, we cannot intervene with incentives the governance token is mined and user owned, users dictate the monetary policy, there was no presale or premine / prefarm, you can see this here on the website and learn more about it. https://debaseonomics.io/

Stabilizers are custom pools built and approved by governance to help reward behaviors that could help stabilize DEBASE to its target price in the long or short term. These pools will initially have no funding and will have custom triggers that will be checked against, during every rebase. If an approved pool’s conditions are met, then the policy contract, which initially contains all 90% of Debase tokens, will transfer funds to the stabilizer pool (reward amount is configured by governance during approval). The pool can then use its own unique strategies to distribute these funds.

An example of a simple stabilizer pool that is currently launched counts the number of times debase hits its target price when a rebase happens. If the count goes above a configurable threshold, then the stabilizer pool will be funded with a configurable amount of Debase tokens to be rewarded to the community. To earn this reward, the community will be staking in Debase/Dai-LP tokens, providing more long-term liquidity when the distribution pools have dried up. The neutral rebase count can also be configured to reset its count when the target price is not hit during a rebase.

Other examples of potential pools include one where users will be rewarded wrapped DEBASE tokens with specialized time-based behaviors to incentivize it’s holding or selling when DEBASE is not at its target price, or pools that encapsulate behaviors used by other rebasing token like random rebases implemented by RMPL. Finding the ideal solution to the price stability of DEBASE will be main focus of the community and governance going forward.

This is the methodology of stabilization with the pools they earn coins from contributing to stabilizer pools.

D. | Satoshi Club: When mining/farming will be finished?

Icocountdown: It will be around 6–8 days initial supply is around 95k, halving happens everday like bitcoin, bitcoin doesnt halve everyday but we use the halving procedure bitcoin halves every couple of years :3, we used halving to incentivize the mining.

Mary | Satoshi Club: And which feedbacks do you now have from your community? Do they enjoy mining?

Icocountdown: Yup its free capital, anyone can mine if they have dai with extremely low risk since we paid for audits and if they want to be apart of the governance structure they can be mining for the governance token hasn’t started yet.

Q3 from Telegram user @ibramladen

Why you have decided to start the rebase at least 1 week after the launch? What advantage is given by this?

Icocountdown: That is when mining ends, so there is 95–100k depending on mining and halving, 95k is the end basically and thats when the rebase starts then there is 900k that goes to stabilization pools all this is decentralized and automated with contracts as per our audit, mining / farming same thing essentially.

Mary | Satoshi Club: Didn’t you think that it is very short term?

Icocountdown: No because we see that this is needed in the world now, longer periods of mining is boring and not super interesting only apart from bitcoin and Ethereum traditional proof of work for coins like bitcoin and ethereum is now down to large mining farms and we need to gain attention for the project quickly and succinctly.

D. | Satoshi Club: So final supply will be 95k tokens and after end of the mining this supply can change depends on rebase?

Apple Cider: Debases total supply is 1 million. The distributed part is 100k. As rebases happen the supply changes. In doing so holding of each holder.

Mary | Satoshi Club: So, if i have, for example 100 DEBASE on my wallet, tomorrow i can have 99 or 101?

Apple Cider: Easiest way to think of it is. Like. Say you have a pie of some set size and every has their set pieces in the pie. When a rebase happens. I give you a new pie but in the pie you will get the same sized pieces as before. So you always own an equal % of the token no matter the supply.

Icocountdown: Rebases have started yet with DEBASE, you have to wait until the end of the mining period at the end of the mining period it uses the UNISWAP oracle currently which can be changed, so your coin amount at this current value will go up.

Mary | Satoshi Club: Do you plan to list DEBASE in the future on CEXs?

Icocountdown: Its completely open source but we have been in contact with some exchanges that are interested in listing, but again anyone can add it and i believe because of its decentralized nature it will be opportunistic for them to list it, * centralized exchanges.

Mary | Satoshi Club: As i know rebase tokens cam have some problems with CEXs listings, or let’s call this issues?

Icocountdown: Yes for sure they cannot be added currently since users get annoyed by their devaluation i believe and inflation however we are fixing this with the stabilization pools this is the idea of the project we are aiming to be the primary decentralized stablecoin in the market.

Mary | Satoshi Club: At which price you want to be stable?

Apple Cider: Our current target is 1 Debase: 1 Dai, but this can be changed with governance.

Q4 from Telegram user @boeingbadge

Asymmetrical lag seems to be a mechanism that will be governed by the community. Can you tell us firstly if this action does not require some special knowledge on part of the people deciding, and where do the funds for it come from?

Icocountdown: That is built into the code already, the main rationale is understanding it and what it does, so this is the definition of it:

Debaseonomics allows for the governance to adjust the smoothing parameter (Rebase Lag) over configurable ranges that is applied in-order to dampen supply changes during a rebase. The rebase lag can be configured to behave in accordance with both the amplitude and sign of deviation between the current price and the target price thus allowing for asymmetric lag. This flexibility prevents the protocol from increasing or decreasing the supply too fast if suitable to circumstance. For instance, say the supply needs to increase by an addition of 1000 DEBASE tokens to account for the price difference from the target price, and governance has configured a lag parameter of 20 to be applied for the supply change range of 500–1500. Here, the supply increase will dampen by a factor of 20 and to reduce the supply increase to 50 Debase only. Thus a dramatic increase in supply will not be seen.

On the other hand, if 10000 DEBASE tokens are to be added in rebase, a lower lag parameter of 5 can be used to lessen the smoothing effect on the supply change. In theory, this enforces a more dramatic supply change (and presumably, price change) relative to the previous example.

Apple Cider: The simply when we change the supply of the token. If the supply is too dramatic it will cause shocks in the price of the token. So say we increase the supply from 1000 Debase to 2000 Debase. Having a 100% jump is supply is not advised. So the lag parameter is there to dampen the supply change, what asymmetric lag does is that say. …Debase is current priced at 2$, meaning its 1$ far away from the target price. So we would want to induce a big supply change.

So that the selloff action can induce the price to go down. So our lag damper would be left. Meaning sharp supply increase. More likely to give a drop. Now if the price is at 1.5$

Icocountdown: It can scale up and down due to the governance essentially and is slowed due to supply shock a lot like tether where supply is increased however this is decentralized and community run. Its to stabilize essentially so the market can react in due course.

Apple Cider: We would apply a bigger lag damper. So supply doesn’t increase too much, If it did the price would over correct to below the target. The think of it like ranges of lags to apply at different pricings.

Mary | Satoshi Club: So, it will correct community decisions if they would be extreme? Or i still didn’t get it?

Icocountdown: It doesnt give an intial supply shock of huge amounts up or down either way. It goes up and down gradually essentially, if supply is increased or decreased, so the market doesnt get too constricted or flooded.

Apple Cider: The idea of correctness would depend on the performance of the coin, meaning governance could add a lag parameter.

Q5 from Telegram user @piccoloclub

You have Ampleforth white paper on your website, but don’t have your own. Are you somehow related to this project and don’t you find it strange to lack a whitepaper?

Icocountdown: The whitepaper is listed because we forked the ampleforth codebase along with some other codebases and modified them along with COMPOUND and others, the whitepaper is the website, all the data is on the main page of the website along with individual contracts, that anyone can verify and audit the main website is the whitepaper. https://debaseonomics.io/ the main site contains all data as a whitepaper along with a verified and audited codebase.

Mary | Satoshi Club: But you have your own concept, right? Didn’t you think that you will need your own White Paper?

Icocountdown: As i said, the whitepaper is the main website, it defines everything including data and the verified codebase.

Apple Cider: The rebasing model is based upon Ampleforth. The governance model is based upon Compound Finance. The point here is that contracts have been tried and tested. So building your code upon good work.

Icocountdown: We also use the oracle system from uniswap, currently but that can be changed or hybridized.

Q6 from Telegram user @Miki_mik

On your Twitter, it’s said by one of your followers that debaseonomics is actually a re-launch. Can you tell us more about this? Is it a project started some time ago that is being brought back to life?

Icocountdown: There was an initial problem with the codebase, which was a rebase bug, which was for 5 mins. That could have sent it to 0 if a rebase happened every 5 mins below oracle levels it would have killed the project. we then we gained venture capital investors and paid for multiple audits and retained @VidarTheAuditor, so that the cybersecurity component is positive for everything.

Mary | Satoshi Club: And now everything is correct)? Can you share link to his audit with us?

Icocountdown: So we paid him and then he analyzed code and we deployed again and did a range of security audits. https://twitter.com/VidarTheAuditor/status/1327009463728033798?s=20

This is the latest audit this it the second, https://ipfs.io/ipfs/QmQaAhGEfWtNhHNFKpN6xSJS3PZxidA9RncGm1YfiVdDuA?filename=Debase_Review_v2.pdf here is the link hosted on IPFS for the latest audit this will show you all the vulnerabilities and how they were fixed.

Mary | Satoshi Club: Thank you) And one more question — you know that there is nothing ideal in this world. If something will happen that will lead to your users losses… Have you think about something like insurance fund?

Icocountdown: Our insurance fund is the auditor and just using DAI for mining since there is no risk, everyone that wants to mine can and extract at anytime there is no timelock for mining, also high grade graphic user interfaces to there is quick extraction if needed.

Mary | Satoshi Club: Btw, i missed one part) Which tokens you locked with TEAM?

Icocountdown: https://team.finance/view-coin/0x9248c485b0B80f76DA451f167A8db30F33C70907?name=Debase&symbol=DEBASE

https://medium.com/@icocountdown/tezos-aml-kyc-tokensoft-io-due-diligence-5e101fb968df

https://medium.com/@icocountdown/due-diligence-pack-for-qtum-7369ef48917b

PART 2, TELEGRAM COMMUNITY LIVE QUESTIONS

The chat was open for 80 seconds; a lot of questions were posted by Satoshi Club community. Our guests chose some of them.

Q1 from Telegram User @Rebel99

Debase slowly increases the amount of tokens a user holds instead of increasing it abruptly to minimize the effect AMMs like Uniswap have on the price of the token when a rebase occurs. What happens in a situation the rebase amount hasn’t been fully added and the price has already gone in the opposite direction prompting a contraction?

Icocountdown: Rebase amounts will be added no matter, its in the code we cannot control that its already deployed if a contraction happens then the supply decreases and it works like ampleforth in that coins in users wallets will reduce. So it will be over time, allowing the market to adapt to the new governance and allow the market adapt to the supply decrease.

Apple Cider: To further answer this question. Please review this article i wrote yesterday to explain and try to solve this exact problem https://punkunknown.medium.com/uniswap-and-elastic-supply-tokens-troubled-co-dependence-ba3ecfcfcc76

Q2 from Telegram User @rockmorti

Some past projects based on these rebasing mechanisms, despite their reduction in supply, the net worth of the holders has dropped considerably and they have abandoned. My question is how Debasenomics intends to keep the demand for tokens strong to avoid depreciation in the token?

Icocountdown: To answer this question, we have stabilization pools to keep 1 DEBASE / 1 DAI so there is mechanisms and inbuilt governance to peg to whatever the users want, to react to economic variables throughout the world with regard to demand its the idea, if you can be a central bank. I would like to own the governance to become a central bank for a stabilized crypto synthetic asset, but its the users choice.

Q3 from Telegram User @huyenvo

Marketing is a central element for every project, so that everyone knows the potential that a project can bring is vital to achieve the goals set. What is your strategy to attract new users and Investor to Your platform and keep them long term?

Icocountdown: We are doing many AMA’s and are gonna work with vc’s like the ones we already have, we are aiming for real world adoption of synthetic assets to help with stabilization of portfolios, we will keep marketing and not let the project die as the concept is just too good to ignore, we will also work with crypto twitter and many others and centralized exchanges and decentralized exchanges, however it does need users to be involved and people that care about monetary policy but we will not stop. With auditing there is little risk so your alpha is increased alot as its basically free capital and free involvement.

……: Well a lot of people think marketing is paying influencers to market the product, but this does not build sustainable volume and leads to short term huge price volatility (PnDs). So we will not be doing that ever. What you really need is sustained volume, and lowered cost of entry. This is achieved by the success of the code, interested parties who are actually invested in Debase for the long run and lowered cost of entry. Cost here doesn’t refer to price, but the idea of how efficiently can someone decide if they want to invest in Debase or not. Which is why we do the Medium articles, as a simple explanation to what Debase is. so people can understand quickly their investment decision. Tbh there are only like 5 questions that people ask over and over to us, so we explain those 5 things well. Then people can decide.

Q4 from Telegram User @brodzonl

DEGOV token has one staking pool. This pool will only be available to people which acquire Debase-DAI-V2 pool tokens by staking into the Debase/DAI Uniswap pool.These pool tokens can then be staked into Degov/Dai-Lp pool to earn DEGOV tokens. Getting to DEGOV tokens seems very complicated and these tokens are used for voting, so is there any way to buy DEGOV tokens and not to get them with staking trough all these pools?

Icocountdown: Degov does have one staking pool you can just buy them when they are added to the uniswap market, if you don’t want to mine/farm it, however I don’t know how valuable they will be when they hit the market, game theory dictates that if you have a good product people will want it and again I want to be the central bank, I don’t know how many others want that, but we know inflation is occurring in the world so I can’t give financial advice but as this project moves forward with a fully audited concept I would believe the value and perception increases but it’s not financial advice we cannot give that. To get DEGOV tokens you can just mine with DAI and take you alpha and stake it into the secondary pool which is the DEBASE/DAI UNI V2 LP pool all that alpha is free if you have DAI your cost is impermanent loss.

……: The reason why Degov is not say just airdropped is because, people need to be actually invested in Degov so they will be incentivized to make the best decisions for Debase. Mining encourages that the distribution of Degov to be in hands that will actually want to do the work of governance.

Q5 from Telegram User @HurricaneLad

Everyone loves DECENTRALIZATION. Why do you design your rebase, price target, price oracles, rebase lag, to be completely controlled through governance? Don’t you think that this process encourages CENTRALIZATION, hence scaring potential investors?

Icocountdown: Its decentralized because anyone can own the tokens and mine for free alpha there is no premine or presale, so anyone can mine it or buy it or sell it that’s the purest form of decentralization to let the users decide and the owners of the token. If you hold something you can dictate theory. Game theory is active here as there is economic incentive people that own tokens have highest incentive to be vigilant.

……: Yea, decentralization is only a meme IF the stake holders are not actually interested, so you need to strike a balance between avoiding centralization and creating some barrier to entry. We think fair launch mining achieves that. It is also in the interest of governance to be seen as fair, and since the governance is flexible enough to be changed. Governance parameters will be changed to ensure that is always the case and there is no centralization to favor a few actors.

Q6 from Telegram User @zaferce

Can community supporters decide what types of balancers to include with DEBASE to control the protocol and how to reorganize the protocol in general? How will governance be implemented in the selection of delegations?

Icocountdown: To answer this, this is the stabilizer pools which the community votes on:

Stabilizers are custom pools built and approved by governance to help reward behaviors that could help stabilize DEBASE to its target price in the long or short term. These pools will initially have no funding and will have custom triggers that will be checked against, during every rebase. If an approved pool’s conditions are met, then the policy contract, which initially contains all 90% of Debase tokens, will transfer funds to the stabilizer pool (reward amount is configured by governance during approval). The pool can then use its own unique strategies to distribute these funds.

An example of a simple stabilizer pool that is currently launched counts the number of times debase hits its target price when a rebase happens. If the count goes above a configurable threshold, then the stabilizer pool will be funded with a configurable amount of Debase tokens to be rewarded to the community. To earn this reward, the community will be staking in Debase/Dai-LP tokens, providing more long-term liquidity when the distribution pools have dried up. The neutral rebase count can also be configured to reset its count when the target price is not hit during a rebase.

Other examples of potential pools include one where users will be rewarded wrapped DEBASE tokens with specialized time-based behaviors to incentivize it’s holding or selling when DEBASE is not at its target price, or pools that encapsulate behaviors used by other rebasing token like random rebases implemented by RMPL. Finding the ideal solution to the price stability of DEBASE will be main focus of the community and governance going forward.

These are custom pools, if you want to re-organize the protocol you need DEBASE/DAI LP2 UNI to farm the DEBASEGOV tokens which hasnt started yet. It’s on a protocol level the project is already done and gone through multiple audits. So there will be a gui where you can dictate the governance directly to the protocol to those that are not familiar with coding methodology, but you must own the tokens and must sign for them directly through a wallet like metamask to implement changes, you can also increase/decrease supply you can do anything with the token you can also peg it to other constants and hybridize oracle systems. DEBASE governance holders can also add pools for stabilization, the first instance of this is what we are currently discussing is DEBASE/ETH pools and DEBASE/BTC pools for stabilization and then we can layer down with synthetics like USDT/DEBASE, USDC/DEBASE and layer down to create stabilization through synthetic assets. Here is our website https://debaseonomics.io/ and here is the telegram https://t.me/debaseonomics and you can learn more there and ask the developers and community and decide the future.

PART 3, QUIZ AND INFO

As usual, for the third part, Satoshi Club Team asked the chat 4 questions about Debaseonomics. A link to a Quiz form were sent into the chat. Participants had 10 minutes to answer. 700$ were distributed between the winners.

For more information and future AMAs, join our Social Media channels:

English Telegram group: https://t.me/Satoshi_club

Russian Telegram group: https://t.me/satoshi_club_ru

Spanish Telegram group: https://t.me/satoshi_club_spanish

Telegram Channel: https://t.me/satoshi_club_channel

Website: https://esatoshi.club/

Twitter: https://twitter.com/esatoshiclub

Our Partners:

Debaseonomics: https://t.me/debaseonomics


Satoshi Club
Satoshi Club

An educational group about crypto and blockchain technologies


Satoshi Club AMA Recaps
Satoshi Club AMA Recaps

A collection of AMAs with crypto teams

Send a $0.01 microtip in crypto to the author, and earn yourself as you read!

20% to author / 80% to me.
We pay the tips from our rewards pool.