2021-12-18 14:01:51
WHY WE ORGANISED A COMMUNITY ALLOCATION EVENT
A CAE is no small feat to organise - many protocols skip it entirely, kicking off with an LBP/IDO.
We wanted to support our community by organising both an LBP as well as a CAE, with a token price that allows participants to benefit from the lowest average price of the LBP. CEO Josh Rogers explains why we've chosen to go the extra mile.
https://minterest.com/blog/why-minterest-is-holding-a-community-allocation-event
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TL;DR SUMMARY
FIRST, WHY IS MINTEREST DOING AN LBP?
A Liquidity Bootstrapping Pool is a way of distributing tokens that is allows fair price discovery, is scalable, and anti-bot
It presents a unique pricing structure with downwards price pressure over time
This allows fair token entry that does not unevenly benefit larger wallets or bot sniping action
WHY WE ORGANISED A COMMUNITY ALLOCATION EVENT IN ADDITION TO THE LBP
The CAE's fundamental purpose is to support our community of smaller participants
It offers a fair, easy alternative to LBP, as an LBP has several characteristics that might make it difficult for smaller or new-to-DeFi investors to navigate
WHY OUR CAE MIGHT OFFER EASIER TOKEN ENTRY THAN OUR LBP FOR SMALL RETAIL USERS
LBP pricing can be hard to understand due to it being dynamic
LBP buys can be hard to time to enter at optimal price
Ethereum gas is expensive, especially if trying to DCA in via multiple buy transactions
WHY DO SMALL PARTICIPANTS MATTER TO MINTEREST LONG-TERM?
Minterest has been built to be about inclusivity and fairness
We want to support small participants in their DeFi journey, growing your wealth and outcompeting other protocols while assuring safety of funds long-term
Ultimately, the CAE is designed as an "add-on" to the LBP and is not the main fundraising activity. The CAE is a fairer and easier method for small participants to secure $MNT.
When we say small participants matter to us - this is us putting our money where our mouth is!
683 viewsedited 11:01