CNV: The Infinite FAQ & why SYNC is King
any of you have many questions.
THAT IS TOTALLY OK.
Therefore, this article is going to be a mix of stories - never released before online - regarding the people behind concave (CNV) and more than that: why educating the crypto space through facts and real talk is going to make the difference for all of us. It is a long way, happy you have joined the journey - so let us dive into it and let us make the space in crypto better, together and especially because we believe in the power of blockchain, fairness and togetherness.
For who is this article, bike?
You are gonna find many general answers in this article and I will give you a deeper insight into WHY and HOW we - as CNV team and community - are going to make THE difference in the space, all while growing constantly as a community. Community at concave is key and therefore a very natural result is going to be more financial power in terms of treasury / market cap, while constantly working with a strong and very educated community - hand in hand, because it is either: WAGMI or NGMI
Please take your time, reading this is important for you, especially if you are new to the crypto space.
But as an advanced defi investor or even a professional chad, this article will also offer you lots of insight, another of its purpose being the spreading of good (WAGMI) vibes. Thanks for taking the time, fren.
Disclaimer: All of this is not financial advice, still: if you are a (future) investor or somebody interested in decentralized finance and ready to invest larger amounts into a longterm-oriented team and project - stay with me and read this article. I am going to share some background stories, so you can understand better why and how CNV has become one of the most vibrant defi projects in the space (we started last year) and why big names and strong partners are working with us.
Bike, why do you REALLY write this article?
Because we started concave as a project with a handful of selected people. People who had only one big drive: the motivation to bring fairness to YOU. Real talk, fam. We have to bring trust and values to the defi space, because otherwise nobody will succeed in the long run. The game makes no sense if we work against each other. We have to get things done together and start to create a world that makes sense.
Otherwise, what´s even the sense of waking up in the morning?
We frens were simply tired of looking at projects that destroyed lives of community members, investors and partners. We were tired of the scams and rugs that we had experienced on our own and we were bored of the false promises everyone announced on twitter and discord. It was time for us to get up and make THE difference, as we simply could not accept this bullshit anymore.
"Crypto is 99% scam and you know that, bike."
This is basically the general feeling out there, when listening to the word on the street. And as you might know, I am traveling almost non stop around the world, to meet up with frens & family, business people, interesting project-founders, like-minded people... or simply, because I love discovering more of our amazing world.
Since 2011 I have traveled full time. I am writing this article because I have been fortunate to connect with great souls in defi during the past few years, so finally in 2021 I took the time to visit them in their homes, sharing food and having great conversations. It was the start of something that changed my life.
The map only covers my USA trips, many of the people involved at CNV came to visit me in Mexico or I have spent time with them way before the project was released on 1 April this year. The conversations in real life, made me realise: I am not alone.
We all want to see a healthy space, looking at current challenges and possible solutions.
1) our space needs WAY MORE education
2) people need a healthy guidance when it comes to money management
3) excessive greed often leads to very bad financial decisions
4) many people are totally over-invested and therefore the emotional damage can be brutal
5) Education is THE key, strong guidance is important and we need more than just smart investors, builders and creators. We need healthy people, otherwise we are not going the right way
6) if we do not face those challenges, we miss out on building a sustainable space and eco-system
7) In our Co-Op we are gonna put transparency and synchronization above everything
8) People first, we focus on our community, always
It was obvious that if we want to see something amazing in defi, it will be us creating and building it. We decided that we are going to make the biggest bet on the people within our space and around us.
We make the bet on you, my dear fren.
We bet on people that want to educate others in the space and serve the ones that are going out there to really make THE difference. We formed a space in discord, came together and worked on the idea - almost 2 years before anybody out there even knew that CNV will go public. We did not know if we were gonna make it happen and surely we could not predict that today (Sat 16 April, Mexico - 18:44) CNV would already be that successful.
"Bike does this mean, that CNV went online on discord a day before thanksgiving in 2021, but the work in the background has been going on for so much longer?"
Therefore our good intentions with CNV were set from the first moment: We are going to bring value and stability to longterm stakeholders. I remember sitting with the boyos over steaks and french fries, looking at each other and saying:
"let us make the difference by being honest and fair towards everyone that shares our vision. Let us really build something that will change the world forever. Let us reward the ones that bet big on people and want to play a fair game, especially long-term, while serving the space and the people."
I remember this moment because I felt at peace and in balance with everything that happened before in my crypto life. I have come here for a purpose. Being here with the people, I am going to make THE difference. It all came together and I told myself a few simple things. I share those thoughts with you now:
"If I can not make the difference in this space, with the ones that I have trusted for years - with whom else am I gonna make it happen? If I can not believe in the commitment of my frens here at the table, in whom else can I invest my entire life-time and all my energy? If not with my boyos here and now, with whom else am I gonna bring fairness and transparency to the defi space?"
As always, I am listening to music, while writing.
The most important questions. Answers here and now.
The first topic is definitely about our transparency reports at concave and therefore we start with two points that mean a lot to us, the concave community.
1) transparency, I mean full transparency
2) being fully in snyc with teams within the Co-0p
If you prefer to watch a video I made two longer videos, which I am going to share with you now.
Concave and the 7 minutes that will change your life forever. Thank me later. WAGMI
Concave Co-Op and 291k allocations, why? The story behind the people.
I want to know more about the token and the protocol. Where can I find this, bike?
There is an easy answer to this: discord is the place to be. We have a section called infinite-faq and I am gonna show you an example.
Are you able to give some quick clarity on the bonding prices pls? obviously one of our USPs is non-dilutive bonding, so essentially we can expect a minimum bond price floor of ~$85 (or higher) innit?
@igor23 (∞) & @xagxau, cc @tana (∞) it's a good question and sorry for getting back a bit late, hard at work on testing the contracts atm. Anyways.. to understand what we are doing Im going to break down your question into two parts to explain this. Dilution could be envisioned in two forms: dilution of supply in the native token (share of market cap) AND dilution of treasury value (total treasury value and share of treasury value). Your question relates to the latter (ie share of treasury value and total treasury value) but to truly understand what we are doing you need to consider both. It is true that IF the only source of supply increasing was through the issuance of CNV to bonders at a price above treasury backing that stakers would not be diluted in terms of treasury value. However, it would on the other hand dilute stakers in terms of ownership of CNV market cap. Assuming we sold bonds at the treasury backing price, the net position would be no change for stakers in terms of treasury backing and they would not receive any rewards in the native token. ie Alice has the only 1 CNV in circulation, it has $85 of treasury value, we sell a bond of 1 CNV at $85 to Bob. There is now 2 CNV in circulation and the treasury is now $170, each CNV still has $85 in terms of treasury backing but now Alice only owns 50% of the market cap. Thus Alice has been diluted in terms of CNV supply and market cap AND not diluted in terms of treasury backing. Alice also has received no rewards for being part of the protocol when Bob bonded... poor alice.
Our model considers both Treasury value AND share of market cap (ie the former and the latter in my example above). Concave both grows the treasury and accounts for both forms of dilution in our bond to staking reward structure. We achieve this by implementing a dynamic cap and a minimum price on bonds such that we can always account for our liabilities to existing stakers directly in the smart contract in the protocol. This means when we issue new bonds to the market certain constraints need to be met. Essentially, if you as a user enter a long term staking pool (ie 12 months) you will not only retain your share of market cap (ie your cnv supply/total supply) but so will you will also see your net CNV treasury value position grow (ie CNV in your staking position * CNV treasury backing go up). If we use a similar example to the above where circulating supply is now 10 CNV at a treasury backing of $85, and Alice has 5 CNV locked in the 360 day staking term, when say for example Bob bonds 5 CNV at a price of $80 ($400 in the treasury) THEN Alice will receive at least 5 CNV (to maintain 50% market share). The treasury has now grown from $850 -> $1250, Alice has 50% of CNV, so therefore her position of treasury has grown from $425 -> $625. (This is a very simple example and in reality things are much more complicated than this as the contracts solves across many positions, interactions and constraints but the outcome would be synonymous with this output).
Bike, nobody understands this stuff, how are people going to invest if they do not understand?
This is the big thing in crypto. Everybody wants to benefit, but nobody takes the time to learn and to educate themselves. When I was in India, a kid told me: "bike, everybody wants to go to heaven, but nobody wants to die."
So what you can basically do is start to learn the basics of defi and this is why we offer workshops in our discord channel, where community members share their crypto journey. It is important that you are not afraid of diving deep into the space, all things considered it is pretty simple: you need to dedicate your time and energy in order to know how to play the game.
The more you experience in the crypto space, the more you are going to see that all your journey is heavily based on contribution, sharing knowledge with others and staying up to date regarding the market. Please do not forget to make frens along the way.
Bike, what do I need to enter the game?
You can not just join the crypto game and hope that things will work out for you without any effort, as the big work needs to be done by YOU. The tools you need are free to get: get a twitter account, start following people that you can identify with and if you see a project that you like, enter their discord. It has never been easier to get educated through your mobile phone - two apps and you can become a real chad.
How much money do I need to invest?
There is a very simple answer to this: as much as you can afford to lose without being unable to sleep at night. I remember days in my crypto life, when I woke up at 4AM as I was afraid that the price of my biggest position had gone down. I was obviously TOTALLY OVER-INVESTED, as not being able to sleep is the first sign of: get your money out and de-risk big time.
How long does it take for me to make a living from crypto?
Your drive should be to become the best version of yourself, through self-education and constant development regarding mastering your skills and elevating your personality. I never joined the game to make the big bucks, it was the result, not the motivation for me. Many people do not believe me, but I really entered the game in the first place because I saw that many other like minded people who think outside the box were also part of crypto. I felt like being at home.
How much time do I need to invest per day?
That is something that you will find out on your own. I remember starting with 2-3 hours during my bike trips. Kind of reading stuff or watching youtube to relax. The deeper I dove into the space, the more hours I invested to educate myself. Now after more than +5 years in the space, I clearly see that my entire day is all about education in the space. Either through meetings with our partners or syncing with professional policy teams, marketing departments or simply doing what I love most: moderating, inspiring, spreading the wagmi vibes in the community. I am a community person, because I know that without community you are nothing as a project. At concave we always put our community first.
What matters more, bike, community or product?
I love this question and obviously you can not conquer the market with a bad product and of course you are nobody if you do not have the support of a conscious community. Still, I am 100% confident that they come hand in hand. We can clearly see this at concave, we started both parts - the community and the product part - with the same intention: building everything for the people, serving the space through great intentions. We are putting the same amount of love into our products, as we dedicate our passion, our heart and sweat to each of our community members. The challenge is to produce the product for the community that supports your product. And the product is built based on the community that supports your vision. I believe that we at concave have mastered this part very well so far, as we - as concave team - are all very much coming from a very strong community-driven background.
How many people work at the CNV Co-Op?
First we should clarify what Co-Op means. I realized during the last few months that many people talk a lot about DAOs in defi, but we have nothing to do with a DAO. Concave is a Co-Op. So let me put it this way, as using the search engine will give you too many answers. I will use my words. A cooperative, mostly called in our space “co-op,” is a project that is owned and operated by and for the benefit of its community members. At the moment the CNV Co-Op has 78 contributors.
Who is paying the Co-Op?
That was a very interesting part of the process. We raised money in our private circle, from frens and defi chads, from people we know in the space. We told them simply that we need 6.5 million dollars so we can pay those amazing people and keep building. There are articles about this process that we published during our WL event.
Bike, seed investors benefit the most at CNV, right?
Very sensitive topic, as in many projects in crypto there is little to no transparency when it comes to seed investors and how things work. We were fully transparent about the process from the beginning. You should really read this article: https://concave.lol/blog/concave-tokenpedia/