No. Because if I bought at Genesis but sold my FEI already, I will buy from those people at 0.9999 and sell at $1.
Fully agree with this
I think the following would improve the proposal:
redemption for Fei genesis investors at $1, with the precondition that all airdropped tribe will have to be burnt.
I think this proposal is fair in that it essentially provides an undo button for any people who aped in without unduly rewarding arbitrageurs. Investors can opt to get exactly their money back (minus gas fees) no more, no less. It is also balanced for both Tribe and Fei holders by burning Tribe when Fei is redeemed. Let me know what you think of this.
The best idea man. I agree 100%
100% behind this one. Best proposal so far. It’s an Undo Button for apes.
Agree this seems to be the best proposal so far!
Will be voting for this one.
@siddharth can you update this post to add the PROPOSAL tag so it shows up on the main feed as a proposal?
Done thanks for the heads up
This is not a good idea, only benificial for the people speculating on TRIBE at the short term. Peg fei to 1 is the only way the project will success. The way to let Fei peg to 1 rely on the reweight and short term the PCV buyback and also the market confident. Only let genisis Fei peg to 1 and waiting weeks for coding and auditing just let the project die.
Seriously, there’s a few hundred million (!) extra in PCV because of all the people who exited. There’s an opportunity not to blow up the project completely and you’re going to quibble.
I’m not going to ever trust a stablecoin whose team who votes against unlocking the collateral in this circumstance. Who would?
Huh? No it’s not. Genesis buyers of TRIBE have the largest allocation of TRIBE, short of team + investors which is locked supply. They didn’t dump. The price is 1/3 of what Genesis buyers paid for it right now because 100% FEI buyers dumped on the market and sold their airdrop. If they want out with 0 risk, they should also have to burn their TRIBE reward.
The entire burn mechanic of Fei, from the beginning, was laid out in the whitepaper. FEI being redeemable for $1 in ETH at any time, with no burn risk, was never part of the protocol.
If we are able to make this vote, it wouldn’t take much time for FEI to get back to peg as we get rid of most of the unwanted sell pressure from Genesis participants who want out. Less sell pressure = easier to get to peg. At the same time speculators who bought will be subject to burn penalties once protocol is turned back on. So even less selling pressure = easier to get to peg.
We are unlocking collateral by agreeing for redemptions. We’re just adding a precondition to it so genuine Genesis participants who want out get to redeem instead of free loaders. That’s efficient allocation of collateral. That’s what TRIBE holders are responsible for. That and getting to peg. This proposal might make us achieve both.
@joey can you take a look at this? This looks like a fairer mechanic that balances TRIBE vs FEI trade-offs.
@siddharth could you tweak title to underscore the burn aspect? Maybe call it the Undo Button Proposal as an easy description to grasp?
Nope, people will wait until the reweight come back and sell at 1. No sell presssure reduced.
Burn penalties also reduce the buying pressure. Why would I buy a stablecoin I might not be able to sell? It’s not supposed to be a speculative asset. That’s TRIBE.
The reweight is not going to come back as it was. It has to be reworked.
It’s a floating peg algo coin, it’s fundamentally different than DAI. MakerDAO never airdropped DAI. It was pretty volatile for the first couple years. And even DAI floats off peg dramatically from time to time or during market crashes.