The following 2 options are proposed to help us start building the OTC Pool
Option A : 65% buybacks / 20% OTC pool / 15% Foundation / 0% wBTC Divs - Option A burns more AXN - Option Provides lower dividends than option B. However, to compensate for the pause on wBTC dividends we would provide liquid AXN dividends as a temporarily replacement. - Option A builds the OTC much quicker
Option B : 65% buybacks/ 10% OTC pool / 15% Foundation / 10% wBTC Divs - Option B provides more dividends. To compensate the % reduction of wBTC divs we would also provide AXN liquid divs to stakers - Option B burns less AXN - Option B will require twice as much volume as option A to establish the same amount in the OTC pool
For comparison, we need to consider our current volume:
With today’s volume, the difference in divs between options A and B won’t make much of a difference to our stakers. However, option A would reduce the effects of sell pressure when compared to option B, which should be taken into consideration if we are looking to support price appreciation.