Viction Saigon Network Upgrade Proposal

Governance Discussion
1

Viction Saigon Network Upgrade Proposal
Prepared by Viction Foundation, May 2024

1. Overview

This proposal outlines Viction Foundation’s intention for Viction to undertake the Saigon Network Upgrade (“Saigon”) – which will see a change in a number of parameters in $VIC including maximum supply, yearly inflation, halving, and block rewards to Viction’s Ecosystem Pool. We believe these changes are necessary to accommodate Viction Foundation’s long-term vision of building a robust and sustainable L1 ecosystem powered by $VIC.

There are four key pillars for the Saigon Network Upgrade:

  • Increase Yearly Inflation to 4,000,000 $VIC, with a 4-year halving cycle.
  • Increase Maximum Supply to 210,000,000 $VIC.
  • Allocate 80,000,000 $VIC to the Viction Ecosystem Development Pool, and distribute over 4 years.
  • Outlining Future Ecosystem Initiatives.

2. Considerations

$VIC is the ecosystem token for Viction – and currently has a circulating supply of ~97.9mm $VIC, out of a maximum supply of 100mm $VIC. Under current levels of inflation, the Viction Foundation estimates that $VIC will be fully circulated by June 2026 – of which the remaining ~2.1mm $VIC will go to $VIC Masternodes.

The majority of $VIC is held by the public (inc. Masternodes) – with Viction Foundation and its Ecosystem Development Pool holding only a limited amount of $VIC. Given this dynamic, Viction Foundation currently has limited ability going forward to incentivize developers to build use cases on Viction under $VIC’s current parameters.

In November 2023, Viction Foundation undertook a massive rebranding exercise – seeing us transform from TomoChain to Viction. With this rebrand, we believe that now is the right time to unveil our ambitious plans to grow Viction to become a robust and sustainable L1 ecosystem powered by $VIC. To facilitate our roadmap, we believe that the Saigon Network Upgrade (outlined below) is necessary.

3. Proposal for Viction Saigon Network Upgrade

Item 1: Increase Maximum Supply to 210,000,000 $VIC.

With a current circulating supply of ~97.9mm, $VIC is close to being fully circulated relative to its maximum supply of 100mm. At current levels of inflation, Viction Foundation expects $VIC to become fully circulated in June 2026. In order to continue to grow the Viction ecosystem, Viction Foundation believes that it is necessary to increase the maximum supply of $VIC to 210,000,000 $VIC – representing a 110% increase in the current maximum supply.

The decision to increase the maximum supply to 210,000,000 $VIC is inspired by Bitcoin’s maximum supply of 21,000,000 $BTC.

Item 2: Increase Yearly Inflation to 4,000,000 $VIC, with a 4-year halving cycle.

This increase in the maximum supply of $VIC is to facilitate a proposed increase in Yearly Inflation of $VIC to 4,000,000 $VIC – up from the current 1,000,000 $VIC per year. Viction Foundation believes that this increase in inflation is necessary to incentivize Masternodes to continue to provide security to the Viction Network, by providing them with continued $VIC rewards. Viction Foundation proposes for $VIC inflation to halve every 4 years (i.e. 63,072,000 blocks with Viction’s 2s block time). With this newly proposed maximum supply and increase in yearly inflation, ~31,300,000 $VIC is expected to be circulated by 2044 (i.e. T + 20 years).

The decision to change halving to 4 years is inspired by Bitcoin’s halving cycle which also happens every 4 years.

Item 3: Allocate 80,000,000 $VIC to the Viction Ecosystem Development Pool, and distribute it over 4 years.

Viction Foundation proposes for 80,000,000 $VIC to be distributed to an Ecosystem Development Pool, which will be minted once into the Genesis Multisig. The Viction Ecosystem Development Pool will be initially managed by Viction Foundation – but eventually left to be managed by the Viction Community through governance. $VIC in the Ecosystem Development Pool will solely be used for Ecosystem Development initiatives and will be primarily used to support Viction’s ambitious roadmap to build Viction 2.0, outlined in Item 4.

A full model with the changes to the above parameters can be found here.

Item 4: Outlining Future Ecosystem Initiatives.

The above Items will be necessary to build our long-term vision of building a robust and sustainable L1 ecosystem powered by $VIC. Some of our core initiatives for Viction are outlined below.

Viction DA & L2s Network

Viction will shift its focus to also become an L1 Data Availability layer, with similarities to Celestia and Avail. Viction DA will be compatible with Polygon CDK and GlitchD CDK, and allow ecosystem partners to deploy their own L2s on top of Viction – while also having access to the rest of the Viction ecosystem.

$VIC Lockdrops

Given Viction’s transition to a Data Availability layer, $VIC stakers may be eligible for airdrops from L2s that are built on top of Viction. $VIC Lockdrops give stakers an additional source of yield on top of $VIC staking rewards.

Creation of $10mm Viction Ecosystem Fund

To incentivize more L2s and dApps to build on Viction, the Viction Foundation will also see the creation of a new $10mm Viction Ecosystem Fund, that will provide investments and grants to projects building on Viction L1 and Viction DA.

4. Projected Timeline

  • [End April 2024] Introduce Viction 2.0
  • [Early May 2024] Coordinate to get feedback from centralized exchanges on the new tokenomics
  • [May 04, 2024] Proposal posted to Governance Forum
  • [May 08, 2024] Community Call with Viction L1 community, including discussion of Voting Mechanism
  • [TBD in May] Snapshot Voting Page LIVE for the Viction Saigon Network Upgrade
  • [July 2024] Viction Foundation to implement Viction Saigon Network Upgrade

5. Governance & Voting

To succeed, this proposal must reach a 10M $VIC Quorum and receive more than 50% of votes in favor of the proposal.

The detailed voting schedule will be announced soon. Let’s discuss below. We love to hear from you.

Updated Version:
[May 5] For transparency, this proposal was updated from 2M (current Yearly Inflation) to 1M (due to the latest halving) to ensure the accuracy of the information.

4 Likes
2

We do not agree with you. Your team unlocked over 40M VIC from TomoE bridge, and now you said to reach 10M VIC to approve this proposal. Community votes carry no weight. We recommend using VIC from staking to vote on this proposal (VicMaster, VicPool, and DeFusion)

6 Likes
4

I have some comment

  1. I don’t agree with item 1 and 3

Increase Maximum Supply to 210,000,000 $VIC.
Allocate 80,000,000 $VIC to the Viction Ecosystem Development Pool

NO crypto project in the world dilute its circulating by directly minting new token to Foundation team
And x2 token supply is too much

I suggest increasing total supply more 31,300,000 $VIC
New total supply is 131.3 M
And all 31,300,000 $VIC will be distributed as Staking reward

The POSV consensus also send 10% of staking reward to Ecosystem Development Pool every epoch here Viction - Blockchain Explorer

I believe Viction foundation team also run some masternodes and also will get Staking reward

so, AT LEAST Ecosystem Development Pool will receive at least 3.1M VIC from Staking reward in the future , vesting every epoch (even you don’t manage any masternode)

  1. I agree with khaihkd about voting mechanism above
1 Like
5

We fully support the team’s perspective. In my opinion, it’s imperative for Viction to implement these ideas. Every suggestion outlined in the proposal resonates with me. Achieving growth in the blockchain realm is challenging without sufficient funding. If you’re committed to Viction’s long-term success as an investor or community member, you should acknowledge the importance of this. Let’s adopt a measured approach, focusing on long-term goals.

6

This proposal is absurd, coming from the Foundation itself, shows its own greed, and does not care about the Community/holders.

Here why:

item #1: Increase Maximum Supply to 210,000,000 $VIC
I’m 100% confident that NOT one holder will agree to this; the reason itself is also CHILDISH: “inspired by Bitcoin?”

item #2: Increase Yearly Inflation to 4,000,000 $VIC, with a 4-year halving cycle.
Again, there not one holder will agree to this proposal for sure.

Item 3: Allocate 80,000,000 $VIC to the Viction Ecosystem Development Pool, and distribute it over 4 years.

3 items are pretty much the same thing.

=> real reason: The Foundation is running out of $VIC in reserve and wants to print more tokens to spend.

Suggestion: If VICtion Foundation have not enough runway funds to build ecosystem, I suggest to have a fundraising with VCs, not printing tokens and make your holders become your exit liquidity.

Viction DA & L2s Network Please stop chasing TRENDS and look for your own unique way to build; you can’t compete with Eigen, Celestia, or Avail in this niche.

Layer2 is totally unnecessary since VIC has too few users (close to zero), no team would want to build L2 on Viction.

Sounds harsh, but it’s the TRUTH.

best regards

3 Likes
8

Agreed with @khaihkd - kindly enable voting via VIC staking to vote against this Saigon proposal that inflates VIC token supply. Kindly confirm how all VIC token holders can vote. We would advise all to vote against this Saigon inflation proposal, unless it is revised. Here are some comments and suggested revisions at the end of our feedback:

For Item 1, Item 2, Item 3, Item 4:

For Item 1 & Item 2 we don’t agree with inflating the VIC token supply to 210mm VIC and increasing the yearly inflation. Current Saigon proposes a lot of inflation, and will cause unnecessary dilution to current VIC holders.

For Item 3 we don’t agree with allocating new 80mm VIC from the Saigon proposal inflated pool of 210mm VIC to the Ecosystem Development Team.

For Item 4 we don’t agree with a new $10mm Viction Ecosystem Fund.

Here are possible new solutions to address Items 1, 2, 3, 4- the core team could:
1a. Viction team buy VIC tokens from the open market and stake via VicMaster, VicPool, LiquidStaking for rewards.
2a. Viction implement a network upgrade per transaction coin burn to make VIC disinflationary (similar to Ethereum’s EIP-1559), and
3a. Viction implement a network upgrade per transaction fee allocation to the Ecosystem Development Pool. (The current POSV consensus of 10% staking rewards to the Ecosystem Development Pool every Epoch should remain unchanged - ty @MasternodeOwner88 for mentioning this in your comment.)

Use the rewards from 1a & 3a to fund development, not a new different fund.

These new proposals 1a, 2a, 3a, would address the teams funding needs and not dilute the ecosystem.

Last, we would propose a more complex solution:

Merging VIC token and C98 token so that only one token manages the Viction ecosystem with C98 total token supply remaining. As example give each VIC token holder (including Masternode operators & stakers, VicPool operators & stakers, and Liquid Staking sVIC holders) two C98 tokens.

Thank you,
Viction blockchain investor group

2 Likes
9

I disagree on this proposal.

its like government that start the printer.

there some really strange things going on atm.

  1. dissolving tomoe bridge address (transfer to binance hot wallet, but no burning of token on eth (tomoe))
  2. big volume on eth network in tomoe between bitvavo exchage and binance hot wallet
  3. now proposal for print further 80 mio VIC for team

Also there was a core team fund with 6.5 mio tomo 12 months ago. This address gone and amount of 6.5 mio vic splitted in transaction on different receiver addresses.

There is a point reached, where i really ask my self, what is going on with this project. It becomes more and more intransparent.

2 Likes
10

ý tưởng tồi tệ gây mất mát cho nhà đầu tư giá liên tục lao dốc. tôi phản đối tăng nguồn cũng lên 210

2 Likes
11

ý tưởng tồi tệ gây mất mát thô lỗ chỗ nhà đầu tư khi giá Vic luôn bị lao dốc. tôi phản đối

2 Likes
12

直接增发vic代币损害之前投资者利益，我想没人愿意。
这几项提案对投资者没有任何好处，都是基金会的单方面想法
还有链上TOMOE直接转到主网上，但是ETH上的TOMOE并没有销毁。这项目越来越不透明，投资者根本无法长期持有，现在币价下跌还要增发实在是看不懂基金会的运营在哪里？整天搞各种活动，但是价格却一直下跌。

1 Like
13

This proposal is really bullshit and disrespectful to VIC Holder. The total supply increase of 110% is truly unbelievable.

I believe there is a compromise from VIC team and this proposal will certainly be passed.

What does Vic Holder benefit from this, other than a long-term decrease in VIC prices?

2 Likes
14

I disagree to this proposal.
From an investors view, everyone who is already invested in Viction will do so.
Nobody can be in favor of an inflation of this coin.
I will say it here again, said multiple times in social media. No one invests in a coin which is going down during a bull market. If you want to gain money and liquidity the coin has to rise. And one solution could be the deflation of this coin. So I suggest to decrease the staking rewards and not adding more coins.

3 Likes
15

:loudspeaker: Attention Viction Community!

Join us for the Saigon Network Upgrade Proposal Fireside Chat, where we will discuss more about this proposal and address any questions or concerns voiced by the community.

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:spiral_calendar: Date: May 8, 2024
:clock3: Time: 5:00pm UTC+7
:globe_with_meridians: Location: Viction
:loud_sound: Guest: Council Member of Viction Foundation :star2:

Mark your calendars, and get ready to join the conversation!

See you there! :dizzy:

1 Like
16

Disagreement for this proposal you can do better with this minimum supply as well.all projects want to decrease their supply… strongly against proposal

3 Likes
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  • Voting using VIC balance and ignore all power of stakers, masternode ( they locked VIC in TomoValidator)
  • Voting using only Coin98 wallet, don’t support MetaMask, Ledger, Trezor

Are you kidding us ?

3 Likes
18

As a core investor in Viction, I fully support the Saigon Network Upgrade. Increasing the maximum supply and inflation rates are bold, yet necessary steps to secure the long-term viability and scalability of the network. This strategic expansion reflects a forward-thinking approach that will enhance our ecosystem’s robustness and foster significant development.

The introduction of the Viction Ecosystem Development Pool, with a substantial allocation of $VIC, demonstrates a strong commitment to sustainable growth. I am confident that these resources will significantly accelerate the development of new applications and services, benefiting all stakeholders in the Viction ecosystem

The decision to transition Viction into a Data Availability layer and enhance compatibility with leading CDKs is a visionary move that positions us at the forefront of blockchain innovation. This will not only diversify our ecosystem but also attract a new wave of developers and projects, enriching our network’s capabilities.

19

I totally disagree, if you do this you will shake people’s trust in you and the loss of trust will become irreparable.What the team is doing or trying to do is pure greed, big projects are not managed this way.

1 Like
20

No apply saigone network

3 Likes
21

I disagree on this proposal.

2 Likes
22

I believe this upgrade is essential for Viction’s long-term growth. With the current restricted supply, Viction lacks the necessary incentive for developers and ecosystem builders to engage in projects on this L1.