Debt restructuring & additional measures

The measures to curb USDN>WAVES swaps, protect BR, and increase incentives to SURF may put a floor on BR at 10%, but USDN price will as result likely trade at funny prices for a long time distorting BTC/USDN prices etc which may destroy demand for trading. To counter this you should:

  1. Convert the remaining USDC/T deposits on Vires to USDN +5% and spread the vesting of all USDN there to 4 years (4 years seems the maximum acceptable in DeFi). Converting only the balances above $250k has failed to restart Vires and the $100k interest accruing per day should be going towards recapitalizing USDN and not as interest to USDC/T holders. There are less than 100ml reserves on Neutrino so clearly the remaining 100ml USDC/T debt on Vires is unsustainable at any interest rate, let a lone at a hopeless 40% APY. This is the time for full debt restructuring - enough greedy wishful thinking.

What is lacking is a more meaningful measure to push BR higher, and here you should consider taxing the entire ecosystem:

  1. Tax transactions directly to add WAVES to the system (e.g., 50% of Waves Exchange trading fees / Waves Nodes transaction fees go to WAVES backing); and/or

  2. Introduce a modest rate of WAVES inflation to directly add WAVES to the USDN backing.

Lastly, go beg Alameda to not sell their vesting USDN, or burn them for SURF, ask them for ideas on how to restructure your obscene debt while avoiding bankruptcy, and offer them additional incentives (e.g., equity in Waves Labs - I don’t know if there’s anything you haven’t already issued a token against).