$CRYSTL Governance: Insights on Proposal 4

Join the #CrystalCourt to decide the future of $CRYSTL!

Proposal 4: Set 12.5M As The Maximum $CRYSTL Supply

  • Option A: Once the $CRYSTL supply reaches 12.5M tokens, all emissions will end and $CRYSTL will be hard capped.
  • Option B: Once the $CRYSTL supply reaches 12.5M tokens, emissions will proceed at 0.1 $CRYSTL per block.

Proposal Reasoning

Transitioning to being a Vault & Pool platform means that it is no longer necessary to continue printing $CRYSTL to run our protocol. Great news for $CRYSTL maximalists that have been accumulating $CRYSTL!

Crystl Finance Is Maturing

As you all know, Crystl Finance has so far been operating partially as a yield farm, incentivizing liquidity providers for the ApeSwap Polygon exchange with $CRYSTL token emissions on the Mines. This has, until now, been necessary to our business model. However, with Vaults on Cronos being a huge success, this marks a milestone for the maturity of our protocol. We no longer have to depend on $CRYSTL token emissions to continue to run our protocol successfully.

$CRYSTL Scarcity

By turning off emissions when the 12.5M supply cap is reached, no more $CRYSTL will ever be introduced into circulation. This means that $CRYSTL can fully transition from being an inflationary asset to one that is deflationary and rare. At the same time, $CRYSTL will remain as a tool for generating a passive income with our proposed Vault revenue dividends, as well as our Pools to stake $CRYSTL and earn various tokens!

No More Sell Pressure From Mines

Currently, a majority of the sell pressure on the $CRYSTL token continues to be from the $CRYSTL rewards earned on the Mines. When $CRYSTL emissions stop, this perpetual sell pressure on $CRYSTL will end and our token will finally be free to have organic price appreciation as a limited asset class!

What’s Next?

It is highly recommended that every community member revisits this article as the snapshot approaches on November 28 at 2200 UTC. Being well informed is how we can best come to a decision as a community. If you have any questions about any of the proposals, feel free to join our community to ask any questions on Telegram or Discord!

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