Thread by @SmartStake

1/15 - Smart Stake has voted yes on the proposal to burn the community funds.

In my opinion, there is nothing right or wrong about the choices on the table. Here are my thoughts on this topic and why I voted Yes:

https://twitter.com/crypto_inquisit/status/1395341865830948864

2/15 - Back in Oct 2020, I joined the Terra community when it was fairly small in comparison to where it is today
- At that time, the community was focusing on 2 things, adoption of Terra Network and there was a growing interest in Luna's deflationary nature

3/15 - At the same time, people were really curious about how supply of $Luna & other stablecoins is changing on a daily basis
- terra.smartstake.io/history supply change tracker was built to help answer those questions & to provide visibility/transparency .....

4/15 to provide visibility into how minting of KRT/UST was playing out with respect to $Luna & $SDT supply (if you dont know what $SDT is & its purpose, please read up on it)
- With $MIR launch, $UST demand started shooting up.
- In Feb, burning of $Luna took over everything else

5/15 -

https://twitter.com/d0h0k1/status/1357307598064607232

https://twitter.com/kundunsan/status/1358282730950295556

- Everyone in the community rallied behind this & Terra experienced huge growth in community in a short span leading up to Anchor launch
- In March, everyone discovered the seigniorage.

6/15 - Yes, it was coded in but everyone including TFL/Do were participant in the Luna burn narrative
- Some proposals were introduced and all $Luna marked for burning was routed to Community Spend with the goal of burning it all as part of Columbus-5 release

7/15 - The need for insurance meant, Ozone came up & the idea of funding it with the community spend coins
- I havent come across anyone that doubts the merits of Ozone
- From Feb till now, community has very passionately supported the idea of $Luna's deflationary nature

8/15 - & rallied behind marketing the impact
- Use of community spend $Luna to fund Ozone may have 0 material impact on market supply of $Luna. So using it for that purpose has no negatives from my viewpoint
- Why I voted Yes on the proposal to burn $Luna without minting $UST:

9/15 - 1) - community spend includes Oracle rewards from last 5-6 weeks
2) - we ran with a narrative 4 last 3 months (actually ever since i have watched Luna but last 3 months with lot more passion and so many more people doing the same). The re-minting dilutes that

10/15 - 3) community spend will be burned was announced on Agora

It's an evolving space & there will always be new opportunities & challenges. Given that tens of thousands of people joined Terra based on the $Luna burn aspects, we need to be considerate of that.

11/15 - I am certainly not in favor of Do having to shell out the seeding for Ozone from his own pocket. I am sure there are tons of ways to do that. Some are listed here:
- raise funds through a public sale
- implement tokenomics that bolster the funding of Ozone

12/15 - Dip into stability reserves - 20% $Luna supply is stability reserves & till 6 months ago they were unused. Route some of them for this purpose
- SDT reserves - 300M released (450M UST) and 100M SDT (150m UST) released for each of next 7 years......

13/15 - Route some of them for this purpose. There was a talk about potentially burning SDT at some point in future
- have network participants provide insurance coverage (your UST remains locked & you earn $OZ tokens in return)

14/15 - You may or may not align with the thoughts presented above or my voting chocie. That's the beauty of Terra Network's decentralized nature. Allows everyone to have a say & make the choices they like/think are best

15/15 - These are exciting times and no matter which way we roll, I am sure TFL/community will keep providing solutions to real world problems, the network will keep getting adopted, & $Luna will keep burning.

Thanks for supporting Smart Stake.

Everyone was excited about all the $Luna that were being burnt. The first seigniorage event covering about 4 weeks happened and that is when people realized the seigniorage aspects. And that triggered a flurry of discussions and several proposals came out

here is an update:

https://twitter.com/SmartStake/status/1395615520716644354