Abstract: The Orkan could donate 80% of Bitcoin bonded to our protocol for the next 7 days to humanitarian efforts in Ukraine chosen by Members from the community. We also propose updating our staking policy to increase our runway and enable sustainable emissions.
Shortly after we launched the Orkan protocol War broke out in Europe. This made me reassess what the role of a decentralized reserve currency should be. Our protocol is a tool that enables Web3 citizens to coordinate capital by creating incentives through reflexive bond issuance. I believe we can use this protocol to have a positive impact on global events by amplifying the reach of our capital. Currently, the Ukrainian population is in need. In order to help people affected by war, I propose using 80% of the bonded wBTC for the next 7 days to be donated donated for humanitarian aid in Ukraine
The ORKAID Bonds will receive wBTC in exchange for $ORK. 80% of the bonded wBTC obtained will be donated to humanitarian efforts in the area affected by the war. The treasury is preserving the backing of $ORK tokens through the 20% retained which will allow a sustainable issuance to be mantained.
The OrkAid bond has been designed to last for 7 days. After this period we will evaluate the impact of the issuance on our tokenomic profile and make adjustments to preserve the treasury backing of our token supply. With this structure, we believe that we can consistently allocate a percentage of our overall bond revenue to aid efforts without hindering our growth expectations.
This is a new way of raising funds for aid. Because bonds are paid back in $ORK we are effectively subsidizing donations. This brings a new level of capital efficiency which can allow us to amplify our impact by collectivizing our support into a decentralized aid powerhouse supporting causes that make humanity better
The organizations that will receive the funds would be vetted by the Orkan community and voted upon before the bond period is over.
wBTC raised would be distributed after the end of the bonding term (7 days)
Donations will be verified on-chain and posted publicly on social media channels.
We have stated that our role with the protocol policy is to achieve sustainable growth by avoiding hyperinflation through staking issuance. In order to sustain the issuance of the Aid bond without overtly inflating the supply, we need to increase our available runway by moderating our inflation rate.
Our staking returns currently average over 20,000% APY. Although this is enticing we propose to target an APY between 500 and 1000% for single asset ORKAN staking. This will allow us to outperform USD inflation while increasing our available runway. In order to achieve our target goal, multiple adjustments will be needed depending on the number of tokens staked in the contract. therefore we will take an iterative approach to achieve a consistent rate within our targets