GEP Farming Start Price May 2022 (CLOSED)

#1

Gents, I suggest we start talking about the token price for May in an earlier stage. Last month the decision was taken very late. But token price (onboarding price) has a significant effect on investment decisions. There are two camps atm: one that still wants to invest and of course wants to keep the price as-is, and one that doesn’t want to invest anymore and wants to be rewarded as an ‘early adopter’.

In my view, both views are equally valid and equally wrong. Although we all have personal interests, we need to see what is good for the project. Are we already at a critical mass of capacity that we can afford to slow down growth? Or do we need to grow more? In my view that should drive the discussion, but not without the current TFT price taken into consideration. That price has been relatively stable over the last couple of months. Although a lot of growth will come from existing farmers that are familiar with the project, new farmers might find it difficult to absorb that a reward is calculated based on a higher price than it’s currently is, or even has been for the last couple of months.

What are other ideas/thoughts here? Last time we had 93% approval for keeping the March price into April. Are we in favor of keeping May too at 8cts?

4 Likes
GEP Farming v3 Start Price June 2022 and v2 Minting! [Closed]
#2

Agreed, I’d suggest to add a poll to this post so there’s a clear view of what the community wants in regards to the farming start price for May.

2 Likes
GEP Farming Start Price April 2022 (CLOSED)
#3

Great suggestion Sabrina, let me do that.

#5

Hi all, as per above start, I would like to do a poll how the community feels about keeping the price at 8cts for May. I believe we need to close the poll within one week so ppl can take care of things. Poll closes om April 27th.

  • Continue with 8cts
  • Do not continue

0 voters

So, the proposal is:
Keep the onboarding price set to 8cts of April also for the period of May.

Thanks!

#6

If the network is growing than the price needs to increase even if that is 0.001. Maybe after the transition from v2 to v3 will be completed we can have a better view how the network grows.

#7

I also agree that price is too low now, the price of tft is not really 0.08 there is simply not enough volume. I’ll change my vote as well. I suggest 0.09 or even 0.1 which is prob the better price we were on 0.15 already in recent months. Maybe we should have poll for price rather than yes or no

7 Likes
#8

In my opinion a poll is to quick now, cause what are the alternatives. It might be better to discuss which options there are, so we could make a better informed choice.

Also, I think it is important to know how many tokens will be minted every month at this moment. Cause there are only a total of 3 biljoen coins which could be minted, so what is the total minted already. You don’t want that in the next 2 years all tokens are minted, cause this wil press the price and nodes are not rewarded anymore.
I think this is also important to take in consideration

#9

Good discussion.

I think what needs to be taken into account, too, is the V2 situation.

Some farmers stay on V2 because it gives more rewards. So Leaving the price at 0.08$ in V3 also incites those farmers to stay on V2.

  1. If we increase entry price of TFT, V2 farmers might want to migrate to V3.

  2. Also, if we announce that V2 will be closed, V2 farmers would go to V3 without needing to chance the TFT entry price of 0.08$.

2 Likes
#10

will the result of this poll be binding?

#11

Hi,
Don’t think I understand you. If they make more now on V2 then V3, why would an even lower reward on V3 be an incentive to move to V3?

#12

Because they will have to switch at some point in time. V2 won’t be attractive nor promoted, so they will have to move at some point in time.
Now, it’s better to do that before the minting reward goes down / calculation price goes up.

1 Like
#13

Hi @checkkill

@Geert answered quite well here.

So in short, V2 gives more rewards than V3, but V2 is based on difficulty. V3 is constant for 5 years.
As of now, if you can get more TFT on V2 per month, and simply join V3 with the lowest entry price when you want, it’s logical that farmers will stay on V2. But we need to move to V3 as it’s the new main grid. Note that V2 farms more per month as of now, but in the long run V3 will farm more as it will give constant farming rewards for 60 months.

So in short, I see two main ways:

  1. Closing V2 soon would make those farmers in V2 go to V3, by obligation. As there would be no other Grid for their 3nodes than V3.

  2. OR we can say: we increase the entry price of TFT in May, so if you don’t move your farm to V3 before the end of April, you will farm less tokens during the 5 years of V3. This would be an economic incentive.

Is that clearer?

Of course, to get more TFT, the simplest path is: stay on V2 as long as possible to get more TFT, and jump on V3 just before the entry price goes up.

Overall it’s a strange situation, because many farmers rushed at the end of January to get into V3 to get the 0.08$ entry price, but it stayed at this price for some months now.

So farmers on V2 don’t help as much the future of Threefold, as the future is now in V3. But they did get more tokens than farmers who went on V3 faster. But V2 farmers can still join at the lowest entry price for V3.

So in short, farmers that support the new grid didn’t get any advantage for doing so in terms of farming rewards.

Of course it’s understandable why V2 farmers stay on V2… they farm more tokens and they can move to V3 without any disadvantage for the time being.

Just to be sure, I will say: it’s not about finding if someone is at fault, not at all. It’s about finding a proper tokenomics that incites farmers to build a strong New Internet and that rewards them for their dedication to the project.

It’s normal that farmers want to get more TFT rewards for their farming. It’s Game Theory logic, so to speak.

Thus, I think we need to find a logical approach to the TFT tokenomics of farming in order to maximize the growth and adoption of V3.

Hope that clarified my first post.

*Edited typos

5 Likes
#14

I agree …the real solution is to stop v2 farming at the end of this month. Otherwise the v2 farmers will stay and not migrate to V3 and this is bad for the project…

2 Likes
#16

Or giving certificate for all nodes on farming id started before end of April to get +25% boost reward for early V3 node

#17

I feel like we should keep the price at .08 as an incentive to add more node to the ecosystem. Since the price did not rise up pass .08 cent. If we raise up the price for farming but didn’t count for the raise of the tft price. It might make people purchase the token inside of adding more node. But I could be wrong about this.

#20

I think there has to be a deadline for V2 soon! This is no surprise for anyone anymore and it has to be done. V3 is the future of the threefold network. Also 6 days notice is way to short, so i would suggest that you set the end date to 31.may as well as keeping the price at 0.08 til this date so all early adaptors receive this price!
After that the price should rise in accordance to the needs of the network and in accordance to the tokenomics of the project!

2 Likes
#21

To be honest, I am quite surprised that farmers are still allowed on V2. I transitioned in February, because that is the way forward for Threefold, and I was told that V2 Would no longer reward any farming tokens.
Apart from what I lost because of the transition, I farm 40% less than I did on V2.
Reading here that some farmers (and there have to be a few big ones looking at the V3 total capacity) are still on V2 and getting better rewards makes me feel very uncomfortable.
You cannot allow farmers to remain on V2 for months and have the benefit of higher rewards, when the idea is to move the grid to V3 to the benefit of the project!
So I would vote for 0 rewards on V2 as of May and keep the price for V3 calculation at 8 cents (I don’t believe setting a higher price here will affect the token price on the exchanges…)
If the token price goes up, you should consider raising the reward basis of course, so maybe that should be the focus here. Not by pumping the token, but by promoting and marketing the grid.
The current global environment is not really cheerfully either at the moment, so I don’t see prices going way up in general…
Cheers!

6 Likes
#22

I agree… i vote also for 0 reward on v2 as of May and keep the price at 0.08.

I regret now my migration to V3 if v2 will continue… i will find a way to go back to v2 with an other farming id.

1 Like
#23

We’ll need another poll to decide that :wink: Unless anyone has process based objection here, I don’t see why it shouldn’t be binding.

4 Likes
#24

I think now is the time to start talking about the token Price for June!!

GEP Farming v3 Start Price June 2022 and v2 Minting! - DAO - ThreeFold Forum

2 Likes