fc-updates

$EGGS

Clanker Update

Today, we bought 914 $CLANKER for $121,463 using 2/3 of the clanker protocol fees. This brings our total ownership to 4,122 $CLANKER tokens.

https://basescan.org/tx/0x6d302f895822cd3025a9217a2abd4ef9fd7a18a6089d45d88ef79da2c65e7543

https://basescan.org/tx/0xfcc53210d60f6ac9c7bdaa88da0e24ae0b373f9def9c1d2780b268bcd3f0a3fb

I also want to clarify a few things about how fees work: 

1. Clanker protocol earns fees in both WETH and project tokens. We only convert the WETH to buy more $CLANKER as of now. 

2. A third of fees are reserved for taxes. 

3. Using 1% of all $CLANKER trading volume is not a good proxy for fees earned by the protocol.  Some fees go to creators, other lps and other pools. The fees earned for each clanker is unique based on market conditions. We'll hopefully have more accurate public dashboards for this soon.

tokenbot

Technowatermelon. Elder Millenial. Building Farcaster. 

nf.td/varun

Wrapped Ether

Thanks for the clarity - is there currently a plan for the project tokens?

leader • reader • taco eater • fly eagles fly • /whiskey • /nativefun • onchain chef • previously addepar, linkedin

Native

the current plan is to sell clanker project tokens for WETH to buy more clanker, according to @dwr cast from the other day

personally, i think a better plan is needed

Atlas

Oh I know that's the current plan. Trust me 🤣

My preferred option: give them back to the Clanker creators.

A compromise: burn them.

Another compromise: hold them indefinitely (worst of all non-sell options).

I might write something up here.

building /gmfarcaster network |
blockchain ENT prof |  ⌐◧-◧

Yeah one issue they’re trying to solve is taxes, which is tough if they’re OTC’ing each. 

I’m pro-creator sovereignty, tho.

Or sell back to projects OTC — I’d like to see a choice given for active clankers. A burn or buy back.

yeah, the reality is it'll be easiest to do whatever is simplest for financial compliance

a burn would basically book the fees as income to the protocol, without actually receiving anything of value (i.e. no cashflow)

potentially, they can return it to clanker creators earmarked for community rewards, and book it as a marketing expense to offset the income and net it out

but also i am not an accountant nor a tax lawyer so take this all w a grain of salt

A burn is anti-creator; it's essentially the "if we can't have it then nobody can" approach.

The "infinite sell" is essentially what happens today for folks who choose to receive fees in WETH.

And yes, the constant tension for Clanker is the tension between what's best for holders/traders/$CLANKER and what's best for the projects which give Clanker value to begin with. 

Classic marketplace problem, to be honest. Not easy.

i think a burn is fair, too, especially for existing project tokens launched w clanker

maybe for future launches, assuming there's disclosure, it could make sense for the protocol to *infinitely sell* tokens earned from fees? 

but i still think it's a bad strategy, including for clanker

Thriving in constant change. 
Actively exploring DeFi's frontiers, from yield farming to liquid restaking. 
My on-chain activity tells the story.

If holding them indefinitely is the option that makes sense Because burning them or selling them doesn't.
 
would it make sense to put them in a holding basket of some sort where abstracted shares of that basket Could be bought and sold?  

That should make another avenue for trading and the revenue stream that comes along with that.  Shouldn't change the price of the individual coins so I think it would still fit in with the spirit of not wanting to burn or sell them.

Still hoping to find my purpose... Love, Peace & Happiness 🖤🌻🌞

Imo, when you launch a project on Clanker you already accept the fee split terms and conditions. Why do creators suddenly what to change this (i.e handback project tokens to creators). Imagine traders demanded that 100% of the 1% collected fees be handed/distributed to traders. How would Clanker team survive? Creator tokens owned by Clanker is the price creators pay for launching on clanker, they don't have to seed any LP positions, clanker does everything for creators and traders allow creators to earn. No traders/holders, no income or revenue. 

Creators just have to create demand for their tokens. I'm sure farcaster would reconsider selling a token that's in demand or has a use case. BNKR and Bracky are doing a great job to create demand for their tokens

idk, it's not obvious to me what approach would provide the most benefit to clanker and the most alignment between the protocol and the ecosystem tokens, it's complex

This is what I previously referred to, human self interest. Can't think beyond self interest....

Why not benefit the ecosystem token that's responsible for everyone's success? Selling project tokens benefits $clanker. I support the stance adopted by farcaster. 

Creators can also be greedy, farcaster just burned high supply of creator tokens. It's just unreasonable to expect them to hand them back to creators or burn them. If that's the case there's no need for the existing fee split, might as well handover 100% fees to creators, unreasonable and greedy. 

If a VC funds u in exchange for your tokens, they can do whatever they want with those tokens post an lockups...

TYSM

"give them back to the Clanker creators" lol. I guess you are one of the creator who wants token. You can't make this up