TOKENOMICS TOWN-HALL 2021

Main Published on: Oct 11, 2021 Last updated: Oct 11, 2021

The LTO Network token came to life in January of 2019. As the network has grown and observations have been made, we have determined that the way we charge for transactions requires modifications to encourage the scale of growth we are aiming for.

Blockchain technology and industries are maturing. As such, clients are moving away from the mindset of "throw money into this cool new tech", and now are focusing on how blockchain affects their bottom line.

We believe that our network usage is able to expand at a faster rate if we modify things to reduce the effect of crypto volatility for clients.

Clients and projects need predictable costs and by providing that, it will usher in new projects and help steer some of the pilot programs we have completed into fully fledged projects.

Initially the topic was brought up in the community and it had been discussed casually. However, after gathering some ideas and bouncing a few more around, we now feel that the time has come for a more structured way to discuss our ideas on how to expand the network with the community.

This will be done as a town-hall type setting on our main Telegram channel to better discuss the complexities between managing everything from network costs, to APY, to the number of anchors per transactions.

We have some solid ideas that we would like to discuss and obtain community feedback on. The discussion will take 1 to 2 hours and will be structured as follows:

Date: 14th October 2021 @ 20:00 (8:00PM) CEST

Telegram channel link: https://t.me/LTOnetwork

Introduction - We'll assess the token economy as it was thought out three years ago. What is working well and which elements are working out differently than expected?

Topic 1: Transaction fee - LTO Network should be competitively priced to drive adoption. Compensating integrators from a fund has been a short term solution, but it's unsustainable. What's the best way to offer competitive fees for large scale projects?

Topic 2: APY vs deflationary - LTO would like to be deflationary, provide a good APY, and have a competitive tx fee. A rising token price makes it impossible to maintain all three. Most projects provide an APY by issuing tokens when mining a block. Should LTO do the same to provide a competitive APY or remain deflationary?

Topic 3: Reducing volatility - How can we stabilize the fiat price for transaction fees, without undermining the decentralized nature of LTO Network? And should we do the same for block rewards?

Closing

As seen above, we shall introduce each topic. There will be a two to three different options for each topic and these will be formalized.

Once we move to a different topic, we should aim to no longer discuss the previous topic to ensure we are able to touch upon each topic in a timely manner.

See you there
That's about it! We look forward to this community friendly approach and can't wait to map out the best way to expand our network. See you there!