HIP-029 OTC Deal to allow whales to exit without causing selloffs

In recent weeks we have seen an increasing number of community members asking to set up an OTC (“over the counter”) system to allow whales to sell their tokens directly to the protocol and exit their positions without causing mass selloffs through chart dips.

Therefore we propose to establish the following OTC mechanism:

⁃ OTCs will be paid from the treasury and will allow whales to sell their tokens at market prices ⁃ The minimum sell request is 15,000 HEC tokens, equating to $180,000 at current prices and creating more than 4% slippage when sold at once

• We have chosen 15,000 HEC tokens because OTC deals can be very time consuming and we want to strike the balance between allowing sufficient people to exit without creating backlogs or opening the door to people abusing the system ⁃ The core team has the right to accept or reject an OTC deal based upon market and project conditions ⁃ HEC tokens bought will either be kept in the DAO Wallet or immediately burned, depending on the best course of action at the time of the deal ⁃ OTC deals can be made through ticket requests on Discord ⁃ Whale wallets will be audited. Any evidence of users pooling tokens together in order to abuse the system will result in a rejection of the deal and may come with a permanent ban from the community.

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