Clearpool Impromptu AMA — 4 May 2022
👋 Hi Poolsiders!
Following the announcement of our partnership with Jane Street and BlockTower a couple of days ago, we have been overwhelmed with the positive feedback from our community, partners and investors.
On Wednesday, our CEO, Robert Alcorn, hosted an impromptu AMA on our Telegram channel to answer some questions from the community. We’re planning the next official AMA, stay tuned!
We’ve compiled the Questions and Answers here from the Telegram chat:
1. We weren’t expecting yesterday’s big news. Can you speak to the big announcement?
Sure, it’s something the team had been working on for a while with both parties. They were interested in what Clearpool was doing early on, before we launched. The pool was initially funded 3 weeks ago with $25m of USDC, yesterday it increased to $35m. Its big news, if anyone is not aware who Jane St or BlockTower are just do a little research, for Clearpool to attract these institutions, before we even launched, should speak volumes about where we are heading
2. Are we updating our Kucoin staking pool?
Yes, we are waiting for them to update the UI. I would imagine it should be updated within the next 12 hours.
** Note it has now been increased in size by another 10M CPOOL
3. Are there any events that we should be looking forward to?
The team is always working on something! Be patient, please!
4. The circulating supply has increased from 54M to 82M. Why the increase?
This was a gradual increase due to staking and LP reward emissions, CG and CMC have different ways of calculating and pulling the data, so it wasn’t updated properly, but Jakob is on it. You can always check the block explorer if you want to monitor the movement of CPOOL from the treasury.
5. Will this stabilize here now?
It will gradually increase and that will (should) be reflected from now on in CG and CMC calculations, we will monitor it. The exact amount depends on the size of the pools/util and CPOOL price. At some point, we will do the first buyback and token burn with reserves, no date to announce yet
6. Hi Rob, can you walk us through the mechanics for the permission pool? It’s great news but just wanted to understand the impact to tokenomics
Hi Tim, the borrower pays interest in USDC, the lender is receiving CPOOL rewards, just as other lenders do on permissionless pools
7. Are there a reserve pool accumulation mechanic that would benefit Cpool holders?
Yes there is.
8. Got it. So when we see the 15% interest. That’s a combined number including USDC and CPOOL tokens? Which probably also explains my subsequent question on why lenders want to go through CPOOL since the protocol is essentially partially subsidising cost of borrowing at least initially via token emissions. Is that the right way to look at it?
9. How as a community can we help CPOOL get better recognition?
We will be ramping up our marketing, but what we need here is a positive sentiment in this community, and for the conversation to be about the product, ecosystem, and market, not the price of CPOOL. We completely understand that many people bought higher, but many other tokens are down in this market as well. We are building something big, and it takes time and patience. It is hard for our team when we read some of the comments, but we are real people with a long-term vision, this is not a moonshot. We need more people like you who talk about the fundamentals, spread the word, and help us to moderate when we have FUD. The team wants to be more interactive with the community, if the conversation is on these lines then they will be.
10. Another CEX in the works? I have investor friends that don’t use KuCoin.
We have been thinking about listings but have prioritized the build-out of the product and ecosystem. Permissioned Pools was not initially going to be launched so early, but given the interest that we have from these types of names we accelerated it, I hope you guys can understand this, it’s not easy and takes a ton of resources
11. Hi, when will the buyback and burns be implemented?
Hi mate, we have been working on this for a long time, honestly, we have changed the model a number of times. We want to make sure that this mechanism benefits CPOOL holders the most. Ultimately it will probably be rolled out in stages because it will also be tied to governance, which is something else we spend a lot of time on, these things need to be done right and not rushed, this is for your ultimate benefit and we appreciate your patience whilst we build it
12. How will the project be funded over the next 12–24 months as we potentially head into a bear market. Are there sufficient funds/ways in place to support the team throughout?
We have sufficient funds, but we have the option to raise if we want. Many top investors like what we are doing.
13. Dear Mr.Rob, Jane Street news in order to be one of the largest of Defi market was extremely sensational advertising. Please make the most of this ad.
It’s not an advert, It’s real news! but thank you, please spread the word :)
14. Oh and one more from me. Sorry, it’s just a great chance now to hear directly from you so I have to grab it. We see borrower pools settling at between 10–15M sizes, is this a function of them being conservative and not drawing down or not enough people lending USDC? Curious as their borrowing capacities for a lot of these names are theoretically way higher.
Good question. It’s a combination of things. Firstly we are still early on, Clearpool is still not on the radar of the entire market, but we do have a number of larger LPs gearing up. The demand for liquidity has been affected slightly by market conditions, this will be cyclical. We also expect to have more retail involvement when we launch on Polygon (soon). We are about to launch an upgrade to the contracts (which amongst other things will allow us to launch on multiple chains including Polygon), after this, we will launch more permissionless pools which will attract more supply (we have a backlog of borrowers and a strong pipeline). We are also working on a new interest rate model, which will incentivise higher utilization. Staking will also play a part. All in all, you can see there is a ton of stuff going on behind the scenes, this is just a fraction of what we are doing, and doesn’t include any of the boring stuff like legal etc!
15. How would they practically invest in the project? Is the initial total supply subject to further dilution or capped? Had the impression that tokenomics have already been set
We have received proposals with a number of different structures. We are in no rush and once again whatever we do (if anything) will be in the best interest of our community.