Yes totally agree that the max cap needs a balance and I think this needs to be carefully thought out. I had in mind as well that around 10k might be a good number as this is what every BAYC holder had to start and would be most neutral. However the more I think about it, the more I realize things are not that simple and this could be a lot more complicated than it is and would have broad implications for the entire ecosystem. I feel that tokenomics experts need to chime in on this one and give their recommendation because a lot of people (myself included) probably just don’t have a clue. Zero or too low of a cap would essentially be the same as NFT-only soft staking, and setting too low of a cap would most certainly cause dumping of $APE coins by NFT holders and disincentive new $APE holders from participating, tanking $APE price which could turn into a downward spiral. A higher cap even past 10k, may actually be beneficial overall (even though it would be dilutive to some poorer BAYC NFT holders who can’t afford to stake more $APE) as it provides increased price support and new liquidity infusion into the system. And I feel like if I had to choose and er in one direction, I would rather er on the side of having more new liquidity come into $APE.
2 Likes