Jacek.degen.eth 🎩
@jacek
GM Degens, Curious to hear your thoughts on a potential $DEGEN burn. The foundation currently holds 32.5% of the supply. While we could use it for future airdrops (like for the Degen app or other ideas), that would dilute current holders, which doesn’t feel right for those who’ve been hodling. We’ll always need some $DEGEN to keep building, but probably not 30%+. And let’s be honest, that big supply has scared off some new users worried about future inflation. One idea: a phased burn 🔥. Steadily burn tokens monthly until we reach a sustainable amount for years of building, while rewarding long-term holders. We wouldn’t burn everything, but it would shift tokenomics, and likely remove any big airdrops down the line. What do you think: burn or distribute more to the community?
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Sam (crazy candle person) ✦
@samantha
Honestly dude your focus should be onboarding more users to degen or enabling people to earn/make degen easier I dont think the foundation holding X amount in cash is relevant to this mission, maybe you’ll see a short term boost but if you don’t find a revenue source before then you’re literally just burning money Figure out Pmf first and then do the burn to light the fire
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Jacek.degen.eth 🎩
@jacek
Totally agree, burning from a sustainable protocol fee makes way more sense long-term. But let’s say we do nail product-market fit and end up generating millions in revenue, what do we actually do with that 30% of tokens sitting in the foundation? An airdrop will still massively dilute holders. Selling it to VCs? Yeah, Pump.fun did that and lost all market share on Solana. Just dumping it for cash? That’s even worse optics. The reality is, no matter how strong the fundamentals or buybacks are, if someone sees 30% of supply in a single wallet on CMC/Coingecko, they’ll assume it’s a ticking time bomb. That perception alone can keep people from buying in. So yeah, figuring out how to make the token and foundation structure credible in the eyes of the market is just as important as PMF I think.
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Sam (crazy candle person) ✦
@samantha
The issue is that the value proposition of degen is not strong enough *right now* to overcome the objection of 30% sitting in the vault. But there’s a possibility it will, and before when degen was popular I’ve never seen that objection from power users of the product. I am a huge degen fan and I had no idea you had 30% in the vault, nor do I care. I am telling you as a customer that I do not care about the 30% and I would rather you work on getting pmf 🤗
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Jacek.degen.eth 🎩
@jacek
Totally agree with this, tokenomics and fancy trickery can’t substitute actually creating value. Hoping we can prove that out with both the Degen app and the Degen mini app over time.
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