Thanks @you425 for all of your questions. I hope that by discussing them with you, many community members were able to understand the pros and cons of the proposal made by our team.
- Why should Astar help increase $LAY liquidity?
- What are the benefits to the Astar ecosystem?
- How long is it necessary to support liquidity provision? (There is a need to be able to maintain some of the above benefits even after the liquidity support ends.)
Would be happy to refer you to the following postings for more information on the above questions:
- The post on the clarification of Next Actions Proposal
- The benefit to Astar and the period to provide liquidity
In addition, let us note that currently the total TVL of Starlay Finance, Kagla Finance, and Muuu Finance have around $50M, which is about 42% of the total TVL of Astar at this moment.
Moreover, we are not just developing forking projects. Our team has already developed multiple unique features, not only for frontend development but also smart contract side: Launchpad, Makai and Voting Escrow, and more. This development capability is not something that other projects can easily imitate.
If I can clarify again the purpose of the proposal including this liquidity provision in other words, from our perspective, this is a proposal not only to save Starlay Finance but also to contribute to Astar ecosystem. This is NOT an investment recommendation proposal.
If this proposal is approved, we plan to conduct a buy operation with the 4M ASTR. In order to sustain a temporary price increase, sufficient liquidity must be available to withstand the selling pressures immediately after the operation. Otherwise, the price will decline to the price before conducting the buying operation. From our team’s perspective, the price of LAY, which is at the center of the Starlay ecosystem (including Kagla Finance and Muuu Finance), is too low at this point in time.
I would like to pass this proposal to revive LAY. And, maybe it’s an exaggeration, but to make Astar a better ecosystem.
With all due respect, if this proposal is rejected, it may be difficult to maintain the price of LAY. It will also make it difficult for us to develop and maintain Starlay Finance over the long term.
I am not sure how much your and other community members’ impression of us has changed during these 10 days of discussions.
We are serious about product development. Speaking as one member of the Astar Community, I believe it will be beneficial to the Astar ecosystem if the Starlay team can continue developing products.
Sincerely, Neo