$THX launch mission completed 🪐— learn what is next 🔭
The $THX Fair Launch Auction has ended and a price has been found for the $THX token! We’re very happy to report that we raised over 926K USDC for the Community Treasury, sold 79% of the token supply that was up for auction and that the first price for $THX was discovered at $0,1244.
A massive THX to everyone involved; Copper, Polygon, Balancer Labs, all the new $THX hodlers, our active community members and those who made the super informative Twitter threads. Glad to have you on board!
This is a great moment to explain what has happened with $THX now the auction on Copperlaunch.com is finished. We’ll start with the biggest pool we’ve set up. Let’s dive into it!
80/20 Liquidity Pool on Balancer
As explained in the Mechanics of the $THX token launch article, the funds raised from the Token Launch Auction remain on-chain to provide early stage liquidity for the THX Network community. You can find the Balancer pool using this link. 🙌
In this article the Balancer team explains why creating setting up a 80/20 pool is a great idea. It’s worth the read if you’re interested, but here are the TL;DR outtakes:
- A token needs a liquid market for it to thrive long-term
- Balancer 80/20 pools attract liquidity both from token holders who value long exposure and from typical LPs seeking to generate passive fees and incentives
- Dynamic fees and dual liquidity mining distributions are among several tools for further incentivizing liquidity on Balancer V2
One use of your newly acquired $THX is to use them to earn swap fees (currently at 0,25%), by providing liquidity to the pool. It’s a way to immediately put your tokens to work as well as directly contributing to the liquidity of $THX which will be great for the long term.
Quick note: the pool on Balancer was always in the plans, as we outlined in the Mechanics of the $THX Token Launch article.
More money, more problems! 💵
The launch went well resulting in a bigger raise than we initially planned for. This is beneficial to the project as this allowed the team to be more flexible in creating liquidity for the $THX token.
Deploying all the raised funds in the 80/20 Balancer pool like planned, seemed excessive, as this would required practically all the $THX currently held in the treasury. After discussing this risk and including an early version of a n new proposal , we adjusted the original plan and deployed 70% of the raised funds on 6th of December as follows;
- 362.953 $USDC to 80/20 Balancer (Polygon) ~$1800k total liquidity
- 272.215 $USDC to 50/50 QuickSwap (Polygon) ~$540k total liquidity
Benefits of this setup rather than sticking to our original plan of one pool are;
- More choice for $THX token holders for their favourite exchange protocols
- For liquidity providers, more flexibility in swap fees and arbitrage opportunities
- 50/50 split on QuickSwap requires far less Treasury tokens
- Balancer remains the biggest liquidity pool by far, opening up future co-op opportunities with Balancer DAO.
What about the remaining 272.215 $USDC ❓
Readers paying attention noticed we still have 272.215 $USDC in raised funds remaining from the Token Launch Auction. So what is up with that?
We propose to swap this to ETH and deploy the funds on Uniswap using Ethereum mainnet in a Visor Finance Phantom co-managed pool. Visor allows for active liquidity management and liquidity provisioning on Uniswap v3 by managing liquidity ranges for you.
Further benefits we see of this set up;
- for new holders; Ethereum mainnet holds an amazing amount of capital looking for opportunities and new projects, a Uniswap Visor managed pool provides much deeper liquidity than can normally be achieved with a ~$550k deployment of funds
- for existing holders; more choice in base currencies (ETH next to USDC on Polygon) and more reach on three protocols and two chains
- for liquidity providers; more flexibility in base currencies, swap fees and cross-chain arbitrage opportunities
- for liquidity providers; assuming a high correlation with ETH in price, less impermanent loss in 50/50 pools by using ETH instead of USDC
We see the following risks;
- for the Community Treasury; increased exposure to ETH for the treasury arguably is a risk
- for the Community Treasury; additional smart contract risk by using Visor
The core team beliefs the benefits outweigh these risks but since the impact on the Community Treasury potentially is significant, and we value the input from the community, we would like to discuss this in more detail before we proceed.
Governance Discussion: swap USDC for ETH + Uniswap pool 🗣️🗣️
This immediately brings us to our requests to you; please join us in our first long-form Governance discussion using our sparkling new Discourse forum ✨
Direct sign-up links have been shared in our Discord and Telegram communities. New users signing up directly will be first approved by mods.
FAQ: “Wen CEX”? 💱
A question we’re getting a lot is when $THX will be listed on a certain centralized exchange (CEX). While after the Coingecko listing the CEX listing requests are streaming in on all our channels, this remains hard to predict.
At this moment the core team isn’t supportive of spending Community Treasury funds on buying listings. This means, this mostly depends on the attractiveness of the $THX token in terms of transaction volume and amount of holders.
Our expectation is that it’ll be listed in time on at least some centralized exchanges, but and at this point it is unknown exactly where or when. All we can say for now is that we will be perusing quality free listings with reputable exchanges. If a concrete opportunity arises that requires a significant amount of (Treasury) funds to list the community will be consulted, and most probably there will be a vote before any decision is made.
About THX Network
When receiving something nice, the logical reply is “thanks”! That’s why we created the THX Network, a blockchain-powered protocol that allows you to create and embed your own tokens in any app or website, without breaking your brain or bank.
Use cases include loyalty programs, the offering of collectibles by creators, cashbacks, and engagement incentives.
The United Nations Development Programme (UNDP) uses THX Network to reward engagement on their employee and policymaker platform called SparkBlue. Over 70.000 transactions and counting have been performed on behalf of UNDP users using THX Network’s infrastructure!
Let’s meet in our communities
Discord 👾
Twitter 🐦
Telegram ✈️
Or get in touch
Email our team 📧
Schedule a demo ▶️
Investment pitch deck (PDF on Google Drive) 💹
Other resources
Developer docs 📋
Code on Github 🛠️
Audit report 🕵️
Integrations with Slack, Discord and Drupal 🔌
Jule Landwehr, Mieszko Czyzyk, Peter Polman and Natasha Schön from the THX core team, summer 2020, Amsterdam, The Netherlands — photo by Rudolfo Dalamicio
