Hello Tetuans, belbix the Tetu co-founder continues to venture into Telegram groups hungry for answers, this time Hermes Finance.
The first part of the AMA was conducted by Xavis.
FundKeeper
FundKeeper is part of our tokenomics, the FundKeeper contract secures the Investment Fund for the second stage. 10% of all profits from Tetu platform go to the Investment Fund. The idea is simple, reinvest the money and distribute the profit to the xTETU holders. In this way, any xTETU holder has a share of this future profit. We’re brave enough to build a bridge between “real” things and DeFi, Investment Fund may also only be a long-term investment in some dApp. Either way the community will choose between the options, it’s the users’ money and it always will be.
Work Structure
Our goal is to create a completely transparent structure, I think that’s clear to workers and investors, I know it’s a little weird, we’re sharing sensitive information. The Crypto community doesn’t like to lose anonymity, but it’s a cost to transparency.
Freelancers
We have both full time workers and part time, but I don’t like random freelancers, it’s usually a bad experience.
Reinvest DeFi profits in real world investments
The conception of this is still a draft. I created a small draft containing minimum requirements for how this could exist. To implement this 100% property tokenization must be possible. If any jurisdiction in the future allows us to own on-chain-proof property, we will build something in that country. This sounds like a bold move but we must remember that there is a lot of money available in DeFi, that is our long term goal, probably for 1 or 2 years.
LiquidityBalancer
LiquidityBalancer is a very simple contract, it controls the buying pressure in this way protecting the TETU price from pump and dump schemes. If someone pumps the price too high the LiquidityBalancer will convert that money into liquidity. There is no chance of having a big dump after that. It doesn’t look like anyone will try to do this when the system is active.
With sustainable growth, all users will be able to buy TETU without worrying about big price movements. The price of TETU depends on TVL and profit generation and will depend on the long-term profit of the Investment Fund. So without big moves the perspective is that it will be much more comfortable for anyone interacting with the Tetu platform.
Profit Share Pool
Profit Share is like asset dividends, it’s very simple, you have a share of the platform’s profits. 90% of profits buybacks TETU from the market and distribute it to xTETU holders. This ratio can be changed by the community but it seems that currently it works very well.
Reward Boosting System
I have an amusing explanation that I made, hope it’s clear. Imagine that you have a budget for a party with your company of $100 and 10 people. You can buy 5 bottles of beer for everyone with that money. If someone doesn’t want to come to the party the company gives him a gift of 2 bottles to drink by himself. And the other guys will have more beers, 6 bottles! So we are giving rewards to our stakers and if someone doesn’t want to be at the party, that’s fine, he will have less but others will have more. It’s a simple mechanic but it generates a lot of interesting nuances. It cannot be explained in a few words but it works perfectly.
I also saw a good explanation in our Discord:
Basically you are rewarded with xTETU from different vaults. So the rewards to be distributed from the vaults are in the Profit Share even before you claim or can claim them. In all this time, the value of rewards compared to TETU will increase. Claim merely transfers ownership of xTETU from the vault address to yours. Between 30~100% of them depending on how long you’ve been in the vault. If you ask for ownership to be transferred before 28 days you concede the right to claim the rest of the xTETU that the vault has yet to distribute, effectively leaving them to others who have deposited in the vault. Holders with diamond hands will always earn more on Tetu.
Logo and Design
Tetu is one of the names of the ancient Egyptian god Thoth, the god of wisdom. We reflect this in our logo.
After the above questions, Xavis opened the AMA for the community to ask questions about the Tetu project.
Expansion
The short-term goals are to build more yield farming strategies and more partnerships. Regarding global expansion, we have a TETU amount prepared for other networks. We will build at least two more sub platforms, marketplace/loan platform and an insurance platform. And of course some strategies and vaults for Hermes.
Competition
We don’t want to compete with anyone, our architecture is based on partnerships and collaborations but if we’re going to have a competitor all we can do is be better.
Yield Farming
I think Yield Farming must go to the next stage, and we’re going to experiment with different concepts to bring more money into that space.
Project Name
We had another name bro-cash but we decided to change it and it looks like it was a good decision.
Long Term oriented
Most of our solutions are based on long-term goals. This requires a longer period of preparation but after a certain point our growth will be unstoppable.
NFTs
I believe that NFTs lending will be a very good case and we are working in that direction, it will be possible for example to make a loan by collateralizing your virtual home, what could be better? About our NFT we will have different collections, our initial plans will be some gifts for investors and our builders, we will probably make this a key pass for some interesting features.
That was the AMA with Hermes Finance.
