This totally devalues and de-utilise the HDX token. Creating a second utility token has never been good for a token utility point of view. Look at AXS-SLP. Please consider removing LHDX token and using HDX token to replace all of the LHDX utility. Demand will come from traders who want to trade in Omnipool. Supply will come from minting as Omnipool increases. If more liquidity providers come in, supply will increase with HDX minting and price will drop. If more traders come in, demand will increase and price will increase.
The HDX token has to be of high utility and price value to make it a strong token. With more adoption of Omnipool and high trade volume, HDX price value will increase. We can consider creating another token for governance. And only holders of HDX token are given governance token (GHDX) once a day based on % of HDX holdings. This way people who want to buy their way into governance has to purchase HDX tokens and are incentivise to hold HDX tokens.
It might be not best news for HDX token itself. If "rewards for liquidity mining are paid out in HDX" it means continuous supply without actual economic usage (we can not count governance here).
Governance could be secured in other way than getting rid of token utility. But there might be some better plans for HDX from your side.
Bless thee Hydra 🙏🏼
This totally devalues and de-utilise the HDX token. Creating a second utility token has never been good for a token utility point of view. Look at AXS-SLP. Please consider removing LHDX token and using HDX token to replace all of the LHDX utility. Demand will come from traders who want to trade in Omnipool. Supply will come from minting as Omnipool increases. If more liquidity providers come in, supply will increase with HDX minting and price will drop. If more traders come in, demand will increase and price will increase.
The HDX token has to be of high utility and price value to make it a strong token. With more adoption of Omnipool and high trade volume, HDX price value will increase. We can consider creating another token for governance. And only holders of HDX token are given governance token (GHDX) once a day based on % of HDX holdings. This way people who want to buy their way into governance has to purchase HDX tokens and are incentivise to hold HDX tokens.
Come on, I like this token very much
It might be not best news for HDX token itself. If "rewards for liquidity mining are paid out in HDX" it means continuous supply without actual economic usage (we can not count governance here).
Governance could be secured in other way than getting rid of token utility. But there might be some better plans for HDX from your side.
Props for clearly written article. Cheers