On March 31, we conducted a vote for ZERO holders to determine the amount of supply that should be burned. The outcome was in favor of burning 69.420% of the supply, with an overwhelming 98.92% of ZERO holders voting for it.
Since 99.1% of the ZERO token supply is currently locked, we can’t just go ahead with burning the supply in one go.
Nonetheless, we have an intriguing proposal.
We are considering several options for the supply burn frequency, and we would like your input on which option sounds the most appealing.
Burning the supply every quarter?
Burning the supply twice every year?
Burning the supply once a year?
The choice is in your hand.
As each vesting contract has a unique cliff period, the majority of unlocks from these contracts will occur three months after the token launch date, which is mid June. The vesting process will continue for a duration of three years or 36 months. As a result, the tokens will be burned over the course of the next three years.
All tokens locked in vesting contracts will be subject to an equal burn of 76.12%, resulting in a total supply burn of ZERO equivalent to 69.420%.
Quarterly ZERO Burn
Once tokens are unlocked from the vesting contracts, we will begin burning them immediately. The amount of tokens to be burned is outlined in the chart below.
If we decide to proceed with quarterly burns, a total of 12 burning events will take place. The first burning event will be scheduled for mid June.
Bi-Annual ZERO Burn
Should we opt for a Bi-Annual burn, we will have a total of six burning events as outlined in the chart below.
The first of these events is scheduled for June 18th, and the amount of tokens to be burned is also included in the chart.
Annual ZERO Burn
In the event of an annual burn, there will be a total of three burn events scheduled, as shown in the chart below.
The first burn event will occur in mid June, and the chart displays the number of tokens to be burned in each event.
Prior to launch, we anticipated the need to increase liquidity as the price of ZERO rises and tokens are bought from the market.
For the project’s long-term growth, in the future it’s necessary we add more tokens to it, this will make sure steady price growth and also bridge our gap between the market cap and FDV.
As always this liquidity will be locked and all fees will be redirected towards bootstrapping zETH liquidity.
Currently, 6% of the total supply is in liquidity.
We are proposing to increase the tokens in liquidity by an additional 1.8%
Since right now $ZERO tokens are locked in vesting contracts, this can be done in the following two months.
- May — Add 1,200,000 $ZERO
- June — Add 600,000 $ZERO
These additional tokens will be supplied using staking/liquidity vesting.