We have been very happy with the progress that’s been made on the SynLev Exchange. Our first asset (3XETH/USD) has been trading successfully for over 3 weeks with over 80,000 ETH in total trading volume, SYN stakers have earned over 400 ETH in fees, and we just recently launched our second asset 3XBTC/USD trading live here. As we have grown so have the needs of the project and its underlying token economic needs. Now that these needs are more clear we can give an update on token economics, token allocation, and a public sales proposal.
More charts on the project volume, users, etc can be see at duneanalytics.com/mazzi/synlev-dashboard. Made by one of our community members.
To date approximately 12.4 million SYN are in circulation (excluding the 5.1 million SYN being staked by dev fund). A majority being from the pre-launch airdrop and the rest from bounties and LP rewards. Below is our token sales proposal as well as a detailed explanation of token allocation categories.
Token Sale Proposal
First and foremost our primary goal in selling tokens is to pay for a formal audit. Audits have a very high up front cost is a necessity for the project. As detailed in the litepaper our initial plan was to sell up to 25 million SYN in 3 sales rounds, this was before we had successfully launched any portion of the project or SYN tokens were being traded. In early November we decided to reduce that to 10 million, burning 17 million SYN tokens from the sales fund and dev fund.
We now propose to reduce the token sale to a single 2 million SYN sale that will be progressively priced and vested to prevent price impact. Token sale would start at 1800 UTC 21 Dec 2020 and end when all 2 million tokens are sold. Upon purchase tokens will be locked 1 week in the sales contract before it may be withdrawn by the buyer. Token price will start at market price taken from coingecko on 1800 UTC 21 Dec 2020. Increasing by 0.0001 ETH for every 100,000 SYN sold. Below are examples of the sale price vs total SYN sold based on current SYN prices.
At current price all 2 million SYN would be sold only once SYN price reaches 0.0036 ETH or almost $2 USD. We believe this will allow for controlled emission of SYN that does not inhibit price growth meanwhile giving a significant boost in funding for the project.
Funding from public token sales would allow us to afford services that have high upfront costs such as a formal audit and advertising on crypto news sites, etherscan, etc. This stimulus for the project would benefit token holders, liquidity providers, and users.
We will be holding multiple votes/polls both on telegram and twitter to gauge the community response to this proposal and move forward based on that. Adjusting the sale parameters based on consensus.
The purpose of the dev fund is to be staked in the SYN staking contract to cover our ongoing costs such as hosting and related services, Chainlink oracle sponsorship costs, full time team member payments, gas fees of manually dispersing LP rewards, etc..
This fund represents 40% of the total SYN supply. It would be unfair to SYN stakers to stake the entire 33 million SYN as circulating supply is just 12.4 million. As such we will only be staking dev fund send as to be awarded ~40% of staking rewards, based on SYN currently being staked. Only staking the entire 33 million once all SYN is in circulation. In the meantime all dev fund syn will be time locked in a contract that can only interface with the SYN staking contract. Expect more details and this to be implemented in the next 1–2 weeks.
We have diverted funds from the business development fund and sales fund to create an 18 million SYN LP rewards fund. This will reward liquidity providers on the SynLev Exchange and Uniswap or any other similar platform. To date 1.1 million SYN has been awarded to LP, with an additional 1 million SYN already allocated to 3XETH/USD and 3XBTC/USD liquidity providers. We will continue to offer early LP reward programs for the launch of all of our future SynLev assets.
The 10 million SYN bounty fund is allocated for the following:
- Bug bounties
- Freelance workers
- Rewards to community members who create tools around the project (analytics, telegram bots, etc..)
- Rewards to our mod team.
- Code contributors
- Trading competitions
- Meme competitions
The 9.2 million SYN allocated for business development is meant to foster relationships within the crypto and DeFi community. This would be for partnerships in which a partner requires a vested interest in the SYN tokens. This fund may also be used for exchange listings. This fund may prove to be unnecessary, if that is the case this fund will be reallocated to the bounty and LP reward fund as needed.
This 10.8 million SYN funds was for a one time airdrop that occurred pre-launch. The entire fund has been exhausted and there will not be another airdrop.
Currently the bounty, business dev, LP rewards, and public sale SYN are all in the Deployer address. While the dev fund are held in a different account. All outgoing payments are reported in our announcement channel.
SynLev Deployer: 0xa2E316CbfA81640ce509ab487867a136b75C83C4