About Empty Set Dollar (ESD)
Empty Set Dollar (ESD) is an algorithmic stablecoin built to be the reserve currency of Decentralized Finance. It has three key features ESD uses an algorithmic approach to maintaining price stability around a 1 USDC target. This approach relies on a tuned incentivization mechanism to reward actors who promote stability within the protocol. Even with a dynamic system supply, Empty Set Dollar adheres to the ERC-20 token standard. This makes it work seamlessly across the decentralized finance infrastructure and reduces the likely hood of unforeseen bugs in integrated protocols. Since day one Empty Set Dollar has had completely decentralized on-chain governance. Additionally, the protocol launched with 0 initial supply and no pre-mine for the anonymous founding team.
Empty Set Dollar (ESD) Storage Key Points
|Coin Name||Empty Set Dollar|
|Circulating Supply||446,012,144.98 ESD|
|Source Code||Click Here To View Source Code|
|Twitter Page||Click Here To Visit Twitter Group|
|Whitepaper||Click Here To View|
|Official Project Website||Empty Set Dollar|
How Does ESD Become a Sustainably Useful Token?
Empty Set Dollar (ESD)For ESD to become a sustainably useful stablecoin like USDT or DAI, it must begin to be accepted as currency by DeFi and other applications on the Ethereum protocol. In periods of volatility, the token’s utility may be diminished. However, as the protocol matures the volatility will reduce increasing its utility.
Who created Empty Set Dollar?#
The original founding team is anonymous. However, if you’d like to contact them you can email them here: [email protected]
Who controls Empty Set Dollar?#
Empty Set Dollar Since launch Empty Set Dollar has had on-chain governance. This means that any changes or upgrades to the protocol need to be voted on by the community of token holders before they are enacted.
A core component of the Empty Set Protocol is the ability to safely upgrade. This ability can be used by the token holders to vote in changes to the incentivisation structure around the protocol or to add, remove, or adjust peripheral functionality.
When the protocol launched there were no admin keys or any way to influence it without changes being actioned by a governance process. This made ESD a fully decentralised protocol from day one.
Since its launch, the protocol has successfully implemented dozens of upgrades, ranging from adjust incentivisation to add in a community treasury.
Types of Governance#
There are two separate governance structures that that relate to the ESD protocol:
- On-Chain protocol governance which effects the mechanics of the ESD token
- Off-chain treasury governance which governs the funds set aside to foster the ESD community.
How to Submit an off-chain Proposal#
Empty Set Dollar Below are the steps most proposal go through to ensure that the community is informed about the changes and will consider the proposal:
- Create a post on the Empty Set Community Forum following the structure of previous
TIPposts on the forum.
- Share the post with the discord and telegram communities
- Once you have received feedback, go to the Treasury governance platform and submit the proposal
- Inform the discord & telegram community of the new proposal.
- After a successful vote, contact one of the Treasury’s multi-sig signers to action the transactions listed in the proposal.
Empty Set Dollar has open & democratic on-chain governance infrastructure. This is used to upgrade or improve the protocol as the community see’s fit. If you’d like to vote on updates to the protocol or propose a protocol upgrade your self, follow the link below.
In addition to the protocol level governance, ESD has a treasury that receives 2.5% of all supply expansions. These funds can be used to for various activities outside of protocol upgrades. You can vote on or propose via off-chain governance platform linked below.
ESD uses an algorithmic approach to maintaining price stability around a 1 USDC target. This approach relies on a tuned incentivization mechanism to reward actors who promote stability within the protocol.
Even with a dynamic system supply, Empty Set Dollar adheres to the ERC-20 token standard. This makes it work seamlessly across the decentralized finance infrastructure and reduces the likely hood of unforeseen bugs in integrated protocols.
Empty Set Dollar Since day one Empty Set Dollar has had completely decentralized on-chain governance. Additionally, the protocol launched with 0 initial supply and no pre-mine for the anonymous founding team.
What is Bonding?
Bonding is the act of locking your token in the Empty Set Dollar DAO. You lock your tokens in the DAO in order to gain benefits such as voting or rewards.
What is Staging?
When entering the DAO, your tokens must pass through a staging phase. This state is used to control the deposit and withdrawal of tokens when your tokens are “fluid”. See below to understand what “Frozen and Fluid” mean.
Why do some epochs grant rewards and some epochs do not?#
If there is excess demand for ESD, then the price will trend above \$1 on the Uniswap pool, and that signals the protocol to mint additional token supply. Conversely, if the demand shrinks, excess selling on Uniswap will push the price below $1, which triggers the protocol to generate debt and incentivise token holders to burn ESD to shrink the token supply.
If the money supply needs to be shrunk, no supply expansion will be made that epoch. If the money supply was shrunk in the past, those debts will either remain on the protocol, or get bought by users in the form of coupons. Both coupons and debt will be paid off in the future ahead of new rewards, so it is possible to receive no new rewards in a money supply expansion epoch if there are historical debts to be repaid first.
This means when you are bonded and want to withdraw, you will first unbond and then you will be able to withdraw after the 15 epoch exit lockup.
For Deposit, you will be able to deposit and bond in the same epoch as when you deposit and stage you will still be in a frozen state, but as soon as you bond, you will be in a fluid state, so you cannot deposit again or withdraw for the duration of the 15 epoch lockup.
Frozen and fluid states (also Locked) appear on the wallet page and the LP Reward Pool page of the DAO. This terminology is a bit confusing, but you are basically allowed to interact with the DAO by bonding or unbonding ESD or LP just once per epoch. Frozen and fluid tell you the state of your access to transacting with the DAO. “Frozen” enables you to transact. More state detail is discussed in the white paper.