I would like to start by thanking @0xchop and other authors for the effort put into the proposal. I share the observation that NFTX has been progressing slowly recently and that given the slowdown of the NFT market, it makes sense to join forces with other houses to build new products that will find product-market fit.
I don’t think I could support this proposal in its current form. It destroys a ton of value for the DAO and NFTX holders and is unbalanced to favor team members above everything else, despite the fact that the lack of revenue and DAO financial resources burn is directly attributable to these individuals.
There is no reason why the team and foundation-controlled treasury should receive 50% of the DAO treasury, this is a misappropriation of funds that should remain 100% under DAO holders control.
I’d like to level the playing field for everyone and share numbers I put together after reading the proposal:
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Circulating supply of NFTX is 379,120 (650,000 - 171,162 [DAO owned] - 99,718 [DAO owned liquidity])
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Market cap of NFTX is $6.7M
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NFTX DAO owns: ~81 punks, ~6.4 glyphs, 461,000 USDC, 1,623 ETH
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NFTX DAO treasury value is $21.1M
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This means that every NFTX token is backed by ~$55, x3.2 times the current market price
I don’t want to sound like I am throwing away this proposal by pointing out more pressing and concerning matters. I also don’t want to look at how much has been spent by team resources until now, and compare it to revenues, this wouldn’t help any progress here.
But I think this proposal misses 2 key elements to make sense for NFTX:
- Offering the option for NFTX holders to exit at fair value (this fair value doesn’t need to be 100% of the NFTX token backing) as a gesture to give the option to opt-out or opt-in New Wind.
- Remove the dilution from the new tokenomics, with each DAO receiving a pro-rata share of new tokens to distribute to its holders based on the treasury contribution. There is no reason to dilute the current DAOs.