Ask Me Anything With Lumerin Project Leader Ryan Condron: Recap and Summary

Hello Lumerians!

In a recent AMA session, Ryan, a key figure in the development of the Lumerin Protocol, had an exciting conversation with the community, sharing important updates on the progress of the project.

Ryan addressed questions on staking, tokenomics, partnerships, and future plans for the platform, emphasizing the importance of community involvement and innovation to ensure Lumerin’s continued success.

Here’s a breakdown of the key takeaways from the session.

Q: Could you say a few words before we get to the questions?

A: I’m really excited with the progress that the team has made over the past 6 months, not only have we iterated on the hashpower marketplace but we’ve also launched testnet for the Morpheus protocol.

We are currently working with the Venice.io team to onboard them and prepare for the mainnet launch of Morpheus.

Q: How long will the staking period and the initial pool last? Will rewards involve both MOR and LMR tokens or only MOR?

A: The staking system was built with a purpose for distributing MOR rewards to our community.

If we partner with other networks in the future and receive tokens we will most likely duplicate this type of staking disbursement system.

The initial test phase will be about 1 month. We are already planning to launch more MOR pools. The first test pool is 1000 MOR dripped over 1 year. At the current market prices, we expect 1–5 million LMR to be locked up in this first pool.

Editor’s Note: The initial staked amount exceeded 19 million LMR, surpassing expectations by almost 300%.

We are planning to allocate 25% of the MOR token claims. This is a substantial amount, so we need to balance the token flow and the sell pressure on the MOR liquidity pools. This is part of being a good development partner with the Morpheus community.

Q: Can you share some updates on the Morpheus-Lumerin development?

A: Absolutely, the Lumerin team has been busy iterating on the testnet system.

We have implemented a local IPFS node to ship alongside the Morpheus node to handle LLM storage and sharing among compute providers.

We’ve also been busy working with the Venice team to onboard them into the Morpheus ecosystem. Venice is reporting over 100,000 users, so there will be a lot of planning and testing against the testnet nodes before we roll out everything to mainnet and production.

Q: Could you share more details about the partnership with Prodia and are there any other partnerships planned?

A: Prodia is an amazing AI compute provider and model host. If you haven’t used their playground yet, I highly recommend you try it out at prodia.com.

We’ve partnered with Prodia to be an initial AI compute provider on the Morpheus network for image generation (diffusion models).

We are working on other partnerships for both the hashpower marketplace and the compute marketplace. Yet, most of these deals are still too early to announce.

Q: Some members have asked about liquidity pools and tokenomics. Could you address these topics?

A: Yes, absolutely!

The tokenomics are still the same as when LMR launched. Our treasury management around partnership tokens is on a per-partnership basis.

MOR tokens are currently being managed in 25% tranche allocations. 25% of the MOR tokens will be used for supporting the LMR liquidity pools.

Starting in August we launched a protocol-run liquidity pool on ARB and ETH. These liquidity pools are being built through a strategy of selling MOR and buying LMR.

Since the markets haven’t been very strong over the past few months, we’ve taken it very slow. Over the next few months, we expect the markets to pick up, and we’ll be able to increase the speed of this strategy.

Q: What are your plans for marketing and attracting new users?

A: New users are always a difficult phrase to define. While Twitter followers and Telegram channel members are fantastic, they don’t always translate to a successful project.

I’ve seen projects with massive followings and large channels slowly decay because of a lack of actual users. Our goal is to make the LMR tokens usable in multiple use cases. It’s going to take a solid mix of functional products, partnerships, and lockups.

Lumerin is a routing protocol — a pattern that we actually have a patent for. It can be applied to a lot of different sectors, hashpower was just the first use case we explored.

AI compute with Morpheus was the next natural step for us to utilize our pattern. Future implementations of the Lumerin pattern and use of the LMR token could be for decentralized storage systems, communication systems, or even GPS tracking/transportation systems (think decentralized UBER).

There are so many amazing use cases we are exploring, but we can only do so much at once. We really need members of the community to step up and start exploring with us.

Editor’s Note: For more information on this topic, please visit this article.

We can make this happen through greater awareness with AMAs, Spaces, content creator partnerships, grants programs, and network partnerships.

My general metric for token success is the number of active wallets holding the token and the number of token transactions per day. The more we execute on these partnerships and projects, the more users will flood into our community and the more projects will start to depend on us for their routing backbone.

Q: What are the plans for adding support for other coins in the marketplace?

A: Proof-of-work coins that are profitable are becoming harder and harder to find.

The Bitcoin SHA256 marketplace made sense due to the large amount of liquidity and corporate interest. Litecoin Scrypt hashpower is the next most likely market we would launch. But before we can, we will need to identify a hashpower supplier for that algorithm.

Coinwarz.com is a great resource for exploring proof-of-work coins and their profitability. If we can get enough interest from the community and supplier for a specific algorithm, then we will definitely have aligned interest to fork the current marketplace and launch a new one.

Q: What are your future plans for expanding Lumerin in the AI ecosystem? What’s next for Lumerin? What should the community expect from the project for Q4 2024?

A: For Q4, we are solely focused on Morpheus mainnet and the integration of the new AI agents.

There are a ton of users and community members waiting for this product, and we look forward to delivering. AI agents being able to route compute, hashpower, and interact with Web3 contracts will be incredibly powerful and exciting to work with.

There are a lot of technical challenges here, but we are working through them one at a time with a lot of support from the community. So, Q4 will mainly see more iterations on the Morpheus core node, AI agent integrations, and the introduction of IPFS decentralized storage systems.

Q: Since Lumerin is the third largest code provider to Morpheus, can we expect more allocation of MOR tokens to the Lumerin community apart from what we got?

A: Great question! The economics of the coding weight system changed dramatically in August when the Morpheus community introduced the lockup multiplier system to the coding weights.

Lumerin weights got diluted 5x due to the lockups. I’ve been in negotiations with the Morpheus core team about this, and we’ve come to a good agreement on a compensation strategy.

This should not only give us a sustainable amount of weight moving forward, but it will also provide the Lumerin community with a large amount of MOR through the new builders tranche.

We can’t announce the exact amount since the new agreement has not been implemented yet, but once it is we will be sure to give it plenty of attention as a huge win for our community.

Q: Are there any notes you would like to wrap up on?

A: I will just add that you can really tell the value of a community from the ability of its members to stick with a project through the ups and downs.

So many of you have been with us from the very start, and I can’t begin to thank you enough for your support and encouragement over the years.

We’ve seen some very low lows, and I know we will see some very high highs. I’m excited for the future of this protocol, project, and team. Thank you guys for your support, and please get involved, take the lead, create, build, share.

At the end of the day, Lumerin will only be as strong as our community is active.