$CUE AMA with Satoshi Club April 2nd 2021
See the below transcript for this AMA below:
How is going your day?
Very busy, the last 2.5 weeks have been a whirlwind, but it’s been great and we are excited.
Important events coming for cue protocol, right?
Indeed. Lot’s happening right now, we are currently executing our marketing phase which is going very well.
We are also deep into building our second dapp, so it’s all system go right now. 😉
Well! Let’s start!
Please introduce yourself. How did you get to be involved in crypto & Cue Protocol?
As a team we have been around for a while outside of crypto building enterprise solutions for desktop and web as well as iOS and Android.
We have been in crypto for a few years but only just had the freedom to execute our ideas which we feel are needed now more than ever.
There are two devs and one other who does all the other stuff, management etc and we are based in the UK.
Do you work remotely or go to the office? I know the UK has very strict restrictions on communication with covid.
We work remotely and we are in constant contact throughout each day.
It’s also a bonus to have this type of setup as we grow as it lends itself very well to hiring more staff etc during these uncertain times.
Are you looking for new team members?
It’s very much on the cards moving into the next few months.
So what is the essence of your project?
CUE Protocol is not just another deflationary token.
The aim is to build an ecosystem of useful dapps which serve crypto projects and also investors.
Using these dapps will utilise the token through holding and payment for using the services.
This creates a thriving deflationary system via the 2.5% transaction fee but also with the dapps using the token too.
This will generate revenue and add extra funds into the governance wallet as these service fees are split between governance and development funding.
The deflation side comes from burn voting in the governance wallet.
Our second dapp will be a prime example of this kind of utility.
How long does it take to develop a project? What plans do you have for the future? And what can we expect from Cue Protocol?
Development time really varies on the complexity of the work we are doing.
For instance the second dapp will take longer to build than the voting dapp.
Q1 from Telegram User @meml97
One thing that I read on your website is, I quote: “We are also giving the full governance wallet to our community to decide its fate, not just 50%, 100% of it will be in the users hands”. Can you tell us more about this decision of giving users the will of deciding 100% of Cue Protocol’s fate, how will they be able to do so? Also, how will you avoid this taking a bad turn? I mean, how will you avoid certain groups of bad actors using this to their favor for take advantage of the platform to receive more benefits than others or to make Cue Protocol a platform for bad actions?
This is true, 100% of the governance funds usage are voted on by the holders.
We control the fate by setting the voting options. We believe there are no options which can damage the project.
The options available benefit the project in different ways and take the project down a different route depending on the outcome of the vote.
Also our votes are NOT weighted, meaning if you have 1 CUE or 100 CUE, your vote counts the same. It’s a level playing field democracy.
That’s great, Cue whales don’t have big influence
No, it happens in other projects, it’s not fair, money is relative based on where your from or what you do, you should not be punished for having less.
This is a very original solution.👍
Btw, which are the main benefits for holders apart of that one mentioned?
Holders benefit from this but also the bi-products of the voting.
Voting options vary from burn, marketing, development or even other ideas such as staking and investing in other cryptos.
If they vote burn holders would benefit from the price increase over time, the same with marketing and investing in other cryptos if prices increased.
Staking benefits would mean interest on holdings.
The main benefit is you need CUE to use our dapps.
Q2 from Telegram User @johana0012
Projects will be able to record information and answer any questions related to their projects, such as frequently asked questions, and so on. This will allow all the important information to be in one place. It will be a one-stop shop for analyzing a project and will make due diligence a breeze. Similarly, will projects be able to buy / request audits and KYC from this platform?
This is about our second dapp which has excited many people.
We aim to partner with many other projects including launchpads, RUG investigators, Auditors and KYC firms as well as venture capitalists.
So yes, projects can list and purchase audits and KYC from the platform. This gives projects easy access but also allows us to verify them better.
Could you tell us more about your current partnerships?
At the moment we can’t discuss partnerships as talks are ongoing for our second dapp which is due in Q2.
Many partnerships will be announced as we get the BETA ready for release.
Is it possible to share any easter egg with us?😁
The only easter egg I can give you now, is that our second vote starts Monday/Tuesday and we have a new voting option coming.
Holders will be able to vote for staking from the second vote onwards.
If this option wins, then holders can stake and earn CUE as rewards from the governance wallet.
We are also releasing some UI previews of our second dapp very soon 😉
Exciting news 🥳
It is indeed, we are developing at a fast pace.
Q3 from Telegram User @zennixjoen
You say that CUE will only have a circulating supply of 10,000 tokens. In that case will there be a public pre-sale of CUE and how will tokens be distributed?
So CUE can only ever have 10,000 tokens and we cannot mint anymore as proven by our audit.
Our pre-sale has already ended so the only way to get CUE now is via PancakeSwap.
Over time as votes happen, holders may vote for burn which will decrease the supply, the supply can never increase.
Even if staking is voted for, no new tokens are minted like traditional farms, etc. The tokens come from the governance wallet (the 2.5% transaction fees).
So we are able to stake and still avoid inflation.
What are the APR for staking?
We are unable to workout the APR until we know the final balance of the governance wallet after voting is concluded.
We also have to decide on a fixed APR or a dynamic one based on number of holders taking part.
Can you explain the process to stake the tokens? Is it necessary to use the wallet?
Yes, like many other tokens you would use your wallet with our staking dapp.
Staking will have a minimum period.
So, talking about that amount of tokens, could you tell us about your tokenomics? How is the amount of tokens distribution?
Okay so our presale was 8,000 tokens and we locked 2,000 into pancakeswap for liquidity for 1 year.
All tokens have been released and therefore no more token releases can happen.
The team did not have any presale tokens.
Thank you so much for the clarification, would you like to add something before the next question?
it’s really incredible😉
No I think we have covered everything there.
Q4 from Telegram User @MaxiVV
I read that the second dapp is going to help crypto investors avoid potential rug projects and the dapp will help investors to make better investment decisions. Do you think is a good idea let to an app make investment decisions? Which is the mechanism it’s based to help? and, what is the guarantee this app will help and not will scam users?
The dapp itself is not making the decision to invest in a project for an investor, it is helping the investor make their decision based on the data available.
For instance, RUG projects are likely going to avoid listing or if they do, the info will have holes in it based on what we have collected and our partners too.
In the opposite scenario, a legit project is going to list and provide much more information willingly, and they are also subject to the same scrutiny from our partners and ourselves.
Most people get rugged without researching projects and the term “aping in” has become very fashionable to risk money. A simply visit to our dapp will give them a much better overall picture and allow the investor make a sound decision without having to trawl the internet, twitter, telegram etc.
Thanks for the detailed answer. Currently NFTs is a hot topic in the market, are preparing any project in relation with that?
Not at the moment, we do however want to provide some gamification to our CUE Hub ecosystem and add a little fun to the platform.
Oh that sounds good👍
Q5 from Telegram User @Beterror203
What type of Pool favours deflation to produce good profits in the short / medium and long term on your system, what financing mechanism through deflation can support the market so as not to fail in the attempt and offer the investor security of a profitable return on your investment?
I think this question may be talking about staking on a deflationary platform, but correct me if I’m wrong.
Staking can’t happen usually on a deflationary platform, as the tokens can’t come from fresh air.
But on CUE it’s different, 2.5% of each transaction is sent to a treasury wallet, last week for example we had 958 CUE accumulated which was worth $63,000, today that would be $228,000.
So if voters decided to use the balance of this wallet for staking we can, and it means we are not minting tokens to do it which is inflation.
The token contract can no longer mint new tokens, 10,000 is the max supply ever.
So this is quite unique in terms of a staking mechanism.
Great answer, I think you covered all the details of the question.
Q6 from Telegram User @Brainchest
Do you have a clear projected financial plan that calculates how many Dapps and tokens of those Dapps should use on average so that the price of the token has constant growth without pressure on the price of tokens sold at a profit?
So the tokenomics for the dapp so far is:
Voting dapp, this is very simple. In order to make sure only holders are voting, you need a minimum amount of USD in CUE to participate. We do not charge CUE to vote, only gas for the network fee but you must hold a minimum amount in your wallet.
The second and more complex dapp will charge service fee’s for using the dapp from a project point of view.
These service fee’s will be split into two parts:
1) Extra funds for the governance wallet for voting on top of the 2.5% transaction fee’s.
2) Revenue for the CUE Protocol developers.
It’s also worth noting that projects will need to hold CUE too.
We will also accept payment in other cryptos such as BNB to speed up adoption of the platform. These will also go to governance and the holders can vote to use these tokens like they can CUE.
Imagine accumulating 10+ different currencies in the governance wallet and rewarding the holders via staking with them all. It’s an exciting earning prospect.
What is that minimum amount of CUE to hold in order to vote?
The minimum amount of CUE to vote in the first vote was 2 CUE, but CUE was $25 each then.
At the moment the next vote will be around 0.1–0.3 CUE.
END OF AMA.