Bringing SaaS to cryptocurrency: Why did we burn 60 ETH?
Subscription Utility Burning launches on Thursday, 24th February @ 10PM UTC
With Subscription Utility Burns (SUBs) set to launch soon, the FLASH INU ecosystem will be completely in the hands of the community. This mechanism furthers decentralisation and serves two purposes.
First, it creates the conditions by which a truly community-driven project can develop, with its future completely controlled by a target base of users that continue to use it.
We have researched long and hard to maintain the integrity and credibility of our project, having kept many of the future development plans under constant revision and improvement. This allows for growth of a strong and active userbase, and moves away from token traders trying to flip a quick penny on upcoming news. Handling the announcement of future plans in this way, will ensure long-term relevance for the project and its future collaborators. We expect this organic growth of the ecosystem to continue to increase for as long as the project is able to sustain constant innovation and product development.
Secondly, having SUBs connect NFTs (ERC-721/ERC-1155) with $FLASH (ERC-20) is an experiment in theory crafting on an improvement to cross-chain, multi-chain and bridged crypto markets. Evidence suggests that during a bullish crypto market, there is a shift of liquidity from ERC-721 to ERC-20, as the value of ETH and other commodity tokens rise in value. Conversely, the flow of liquidity shifts into ERC-721 during bearish crypto markets, as the purchase value of assets become lower.
As SUBs for Flash Inu tools increase↑, the value of $FLASH will grow benefitting existing holders of $FLASH. This method of burning creates adaptive hyper-deflationary tokenomics in three ways:
(a) $FLASH tokens are burned with each SUB, reducing circulating supply and increasing value of all remaining $FLASH
(b) $FLASH SUB value is calculated in ETH at the time of burn incentivising holders to accumulate $FLASH if they want to be used at a later time
(c) Discounts of 30-day SUBs compared to 7-day SUBs incentivises “lock-in” pricing when $FLASH is growing in value
Minting the FLASH GENESIS PASS
To test our theory, we chose to supply the original 105 Flash Genesis Passes through the initial burning of 1,000,000 $FLASH per minted pass. This goes against the traditional format of supplying the passes through a mint using ETH.
The mint price was set at ~1.0 ETH, meaning that instead of trying to mint an income of 100 ETH for ourselves, we burned 100,000,000 $FLASH which was almost 60 ETH (after price impact) at the time to the benefit of existing holders of $FLASH.
In Q2 2022, FLASH INU is furthering this experiment to $FLASH (ERC-20) and the Flash Genesis Pass (ERC-1155) with another balancing mechanism to be announced in March.
You can buy $FLASH now on Uniswap or learn more about us here in our Whitepaper.