TST token explained
In order to keep growing as a bakery, you probably remember we recently decided to open our bond to external investors. We gave priority to large holders willing to invest at least 40k tezzies, for a simple reason: it’s easier to deal with a small number of external investors from an operative point of view.
The deal is attractive: 0% fees on your stake, plus 50–50 revenue share of the net return ( = TezoSteam’s net fees) on corresponding delegations. You basically boost your revenues of approx. 70% if you choose to bond with us instead of just delegating.
We did well and we had positive responses: as a matter of fact, we got investors and now we are manually handling their rewards and paying them off regularly.
- Problem 🙋♂️
Many of you asked if it were possible to get the same deal, while holding a smaller amount of XTZ. We understand that this is an interesting revenue-generating opportunity, but at the moment we don’t have the resources to process a multitude of small investors that would join; people always ask questions and need support, not even mentioning the manual payout bottleneck and the possible mistakes that could be made when performing all these transactions.
On the other hand we really appreciated people wanting to jump onboard, so we struggled to find an enabling software solution in order to easily accept and handle more delegations/payout, etc…
- Solution 😎
TST is a token that will help us track bond investors and pay rewards correctly. It will make all the accounting very easy: 1 TST = 1 XTZ that you invested in our bond. Simple as that. The min amount of tokens to buy is 500.
You won’t have to worry about communicating to us that you invested in our bond or need to get your XTZ out of it: you just send tezzies to the smart contract, get same amount of TST and relax.
We will always be there for you if you have questions anyway 😊
Can I sell/donate my TST tokens?
TST tokens are not transferable; they stay in the account you used to contribute until you decide to get out. They don’t have monetary value anyway, they are just means for accounting.
Where do I get my newly increased rewards?
On the address that holds the tokens. You are free to reinvest the rewards if you want, just send to the smart contract (min is always set at 500)
What happens if I want to opt out from your bond?
You just send back the TST tokens to the smart contract. You’ll need to wait for 5 cycles before you get your XTZ; as you know tokens are frozen when baking rewards, so we can’t free them immediately.
Seems too good to be true! Where’s the trick?
There is no trick. Just keep in mind you are giving us your coins; you are not a delegate anymore because you lose control over your XTZ when you send them to the smart contract. You’ll have to trust we won’t misbehave.
Why did you create a token? Wasn’t a smart contract enough?
A simple 1:1 token helps us automating all the process. For example if you want to increase or decrease your investment with time, you can do it by yourself; we’ll always have the clear picture even if you don’t communicate with us.
Token also adds a security layer that is crucial, neutralizing risks connected to smart contract itself.
We’d love to hear your feedback and welcome you on board.
You can reach out to us at firstname.lastname@example.org or just join our telegram group: t.me/tezosteam ✌