by 0x9b3ae2dd9eaad174cf5700420d4861a5a73a2d2a (MetaGamiMall)
For those who still believe the price of MANA has nothing to do with Decentraland as a project, I strongly recommend reading what Vitalik said today. He used to only care about the product and its spirit, wanting nothing to do with the price of ETH. However, in today’s post, he expressed concern and pushed some powerful entities to implement more deflationary methods for ETH.
I think MANA needs something similar. We should begin to acknowledge that MANA’s price or to say, overal MANA oriented economic, does affects Decentraland as a whole. Once this consensus is reached, we can start discussing how to address it.
Agree broadly to cement ETH as the primary asset of the greater (L1 + L2) Ethereum economy, support applications using ETH as the primary collateral, etc
Encourage L2s supporting ETH with some percentage of fees. This could be done through burning a portion of fees, permanently staking them and donating proceeds to Ethereum ecosystem public goods, or a number of other formulas.
Support based rollups in part as a path for L1 to capture value through MEV, but do not attempt to force all rollups to be based (because it does not work for all applications), and do not assume that this alone will solve the problem.
Raise the blob count, consider a minimum blob price, and keep blobs in mind as another possible revenue generator. As an example possible future, if you take the average blob fee of the last 30 days, and suppose it stays the same (due to induced demand) while blob count increases to 128, then Ethereum would burn 713,000 ETH per year. However, such a favorable demand curve is not guaranteed, so also do not assume that this alone will solve the problem.
I love ETH utility as I know many of us do and beyond thankful for all it has created for us. With that said as long as they keep printing more ETH how does that make it any better than our governments fiat currency. I could be wrong but there are only 21 Million Bitcoin and again today it hit another all time high. Until ETH learns from that success I don’t see this issue ever fixing itself until it does.
ETH follows a deflation strategy using EIP-1559, but ofc it does not work well, so that’s why Vitalik is finding other solution to consump more ETH to deflate. However, the purpose of this proposal is not to discuss the exact solution. It is aiming at raising awareness that MANA need to have some deflation economic model under discussion, as obviously, the current economic model is proved to be not working. There is literally no consumption of MANA ( the mana we consumed by creating wearables or buying name is too little to be considered…)
What’s next? What do we have to do? Poke the MANA token with a stick and pray for the price to go up? Or maybe go after the drainers and beg them to return the drained funds so we can bring back the hype, the real builders, and the passionate people? I would like to see the roadmap.
Only a few people or entities can do sth about this, and they dont have any motivation to do this especially when community dont care about this as well. Maybe price is never the thing DCL or the entire ETH ecosystem would care. That’s why a lot of web3 people are moving to solana. Guess we will go for the hard road to web2 mass adoption
