@marroz @kebitorrent I have read your comments and impressions. As humble servants, together with @juminstock in Astar, we are always convinced that we must seek the best for the protocol. I see this proposal as a gift to the community. We must now focus on achieving realistic goals.
I agree with both of you, and I apologize if, as an Agent, I had not put forward a proposal like this before, but the reason may be simpler than it seems, which is that projects need to mature and also adapt to new times. Right now, it is a matter of addressing the shortcomings and moving forward.
I don’t want this to be seen as an excuse, but I have never seen a market as aggressive as this one, and I have many years of experience within the ecosystem. Right now, the idea that I am breaking down throughout this post is so that we do not suffer the ravages of the market and ASTR can cease to be a “Unidirectional” token in terms of performance and become “Multidirectional”. With a reliable and consistent product, aggressive downward markets like this one could be more controlled, as we would minimize risk by deploying more ways to capture liquidity, even in bad times or times of low liquidity like now.
Finally, I want to close the year with an analysis:
Markets are cyclical; this is no secret to anyone. But the crux of the matter is how to maintain liquidity when bull cycles come to an end. I have always been in search of the Holy Grail, and I believe that blockchain is simpler and more exploitable than it seems if you touch the right pieces: “sell an idea and turn it into a lasting product” is what we must do now.
Cycles repeat themselves, but I have observed that most projects do not know how to combat bear markets. The truth is that the solution is simple: create a “liquidity loop,” and users and the protocol will not suffer regardless of the state of the economic cycle we find ourselves in.
This loop is achieved by forging a durable financial product, a dApp capable of sustaining its liquidity, bringing it in and turning it around, but without attrition or dilution. Ultimately, it’s about creating money consistently, but also preserving it.
I always like to think based on this analysis I did some time ago:
We have seen many projects in the ecosystem come and go, some with very good ideas, communities, and utilities, others without large communities but still building, and others simply falling into oblivion.
I believe that projects must constantly reinvent themselves, as the ecosystem is dynamic and evolves rapidly, “what is true today may not be true tomorrow.”
Uroboros represents the eternal dance between the beginning and the end. The environment thrives thanks to its cycles: when one dies, another begins, and that is what guarantees its constant functioning, evolution, and survival.
Now let’s imagine applying this concept to a dApp, in this case “Astar Financial Hub.”
Let’s take the distribution of revenue to the protocol as an example:
Revenue establishment cycles to be distributed to the Astar Financial Hub protocol:
Revenue distribution will take place in two cycles, one ascending and one descending. The goal is to create market cycles in a controlled environment, taking only revenue as a reference, which will be set at fixed percentages on a permanent basis. It should be noted that the other elements of the market are beyond our control.
The cyclical and dynamic distribution of Revenues will encourage Traders to move in a constant and sustained way in our market, allowing them to make momentous decisions once each cycle is close to start or end.
Upward and downward graph of Revenue distribution 
Both 6-month cycles will begin and end repeatedly. This is how we close the one-year cycle.
During the phases that make up each cycle, traders or holders of ASTR or any other assets within the Hub will be able to design strategies that allow them to obtain greater profits.
I know it can be confusing, but I’m trying to convey this idea that I came up with a few years ago and that could work. I haven’t seen anything like it on any other platform. It’s entirely my own conception and creation, and I want to share it with the community because I think now is the right time. It could be the key to sustaining any ecosystem, including ours.
Ouroboros = Liquidity
Note: the graphics mention “Royalties,” but for the example and initial proposal, this should be read as “Revenue.”
This is my end-of-year gift to you guys, and I conclude that sometimes things can be resolved simply and clearly with examples and thoughts like the one above.
Thank you for participating in this great conversation.
