The Next Steps
There are, quite understandably, a lot of questions being asked in the wake of the error we ran into. We have put this together to try and answer the questions everyone has been asking.
Talks with Hacken regarding the audit are ongoing, and there isn’t much to say here until the talks conclude. This is something which will resolve itself in due time, but for now, there simply isn’t any useful information to give out. We promise to keep everyone informed as these talks unfold.
2) Community Proposals
There have been a number of suggestions from the community about what should happen going forward, here we will state a few of those ideas and talk about the pro’s and con’s of each.
NFT staking/mining — Here the idea is to make an NFT (non-fungible token) to distribute to Buoy owners which allows them to participate in some sort of staking/token mining platform. The issue here is that the team doesn’t have enough resources or tokens to put something like this together. While some sort of liquidity staking could be possible down the line, when we have a real product to launch, at the moment it seems like a flash in the pan. It might draw in some liquidity, but it will be at the cost of development funds, and so may hinder the development of a real product being built down the line.
New Public Sale/Token — Here the idea is to make a new token, distribute it to Buoy owners, and run another sale the same style as Buoy. Setting aside the ethical debates in asking for more money from the community (as this is in turn what this idea would amount to), the original model of value cannot be salvaged. I feel this sort of puts it in the same camp as the previous idea. While it may serve to gain some short term liquidity, if there isn’t a product to support the value of the token, that liquidity is in jeopardy of drying up quick. If there were to be a second public sale, it would be best done after the platform has been developed. As the token stands now, this liquidity wouldn’t last long.
So while both of these ideas have merit, rather than exercising them now and risking losing more liquidity funds, they would be best paired with the long term solution the team has proposed.
3) The Buoy Platform
Our proposed solution is to build real utility into the Buoy token in the form of dapps. The first dapp in the Buoy platform would be the governance pool, an index fund supported by and governed by Buoy holders. Work has already begun, and there are a number of somewhat similar projects being studied as of now. Both PieDAO and Indexed both have some interesting models for governed pools, but these projects are for the most part platforms for creating new indexes, whereas the Buoy pool would be a much more focused project with a single pool and a greater amount of governance and functionality. As of now, the specifics of this project is still evolving. Will it be built on top of a preexisting platform like Balancer? Should it be built from the ground up, integrating a Uniswap oracle to balance the pool? As we get a better idea of which implementation works best, more info will come. As of now however, we are looking at a timescale of months. Research, development, testing; this takes time. We were not expecting to jump into this project immediately like this, and so were somewhat unaware what research would turn up, but having jumped in feet first, we are feeling more confident than we did on dry land. There are other projects working in the same vein as us, and while they are not exactly identical to the idea of a Buoy pool, they do make for good examples to study and emulate.
Finally, if you have no interest in the teams attempts to recover token value, and simply want your share of the remaining funds, we will make them available for refund. Just reach out to me on telegram or by email and we will return you 10% of the ETH you paid in exchange for your Buoy tokens. This is not much compensation, but it is the only compensation which can be offered immediately.
We greatly appreciate everyone’s patience with us during this incredibly stressful time, and hope that this has helped explain a bit more about where the project is and what the future of Buoy may hold. As always, please reach out with any additional questions or concerns, and we will get back to you as soon as we can.