Growth Markets Launch

Left Curve - A pass/fail vote. Launch growth markets with the initial design, or pause for a reworking.

Growth markets are here. Please review the growth market mechanisms, and either vote to rework them, or launch as per the initial design.

Growth Markets

These are the primary way Theopetra adds real estate to the network. There is a price curve, similar to a bonding curve, for the cost to mint via the growth markets.

The price curve works to increase the cost to mint according to the amount which other holders are being diluted. Assuming that the relationship between the real estate backing and market price holds true, each additional token minted should additionally cost the ratio of the dilution to holders. This limits net dilution while allowing for the market to handle price discovery.

The price average used is a 90 day lookback.

Theo minted via growth markets is subject to a 7 day lockup.

Price Curve

Following the tokenomics upgrades outlined in the V3 whitepaper, $THEO will be launching the growth market mechanism using the following price curve:

Price ratio: 90-day VWAP / Total Supply Supply ratio: (Total Supply + Amount to purchase) / Total Supply Time Factor: 2% per year, or 1 + (0.02 * # years) New Supply: Total Supply + Amount to Purchase

Price ratio * Supply ratio * Time factor * New Supply = Mint Price Total Cost = Mint price * Amount to Purchase

The cost to mint increases linearly with an increase in supply, as well as linearly over time. It is designed to make it more expensive per previously minted $THEO to limit dilution. It's as if each minted $THEO required paying each holder the amount you were diluting them.

Example:

Purchase Amount: 9600000 Price ratio: 0.0821 / 64582277.35 = ~1.271246e-9 Supply ratio: (64582277.35 + 9600000) / 64582277.35 = ~1.148647 Time factor: 1 + (0.02 * 0 years) = 1 New Supply: 64582277.35 + 9600000 = 74182277.35

Price ratio * Supply ratio * Time factor * New Supply = Mint Price ~1.271246e-9 * ~1.148647 * 1 * 74182277.35 = ~0.108322

Total cost = Mint Price * Amount 0.108322 * 9600000 = $1039891.2

Final cost: $1,039,891.2 for 9,600,000 THEO

Six Month Check-In

In six months, there will be a period for review to make sure the mechanisms are functioning as intended. If there's no issues, growth markets will continue. If there's a concern with the current design, growth markets will be tweaked.