Hi guys, I hope you're all doing well today. After some final testing done, it's time to present - TPU - tokens backed by @tipU STEEM POWER that rewards its' holders with share in the service profits.
Summary
If you don't have time to read the whole post:
- TPU tokens were created using steem-engine.com platform
- every holder of the token has share in @tipU profits with daily payouts
- each token is backed by @tipU STEEM POWER
Steem-Engine
The newly released steem-engine platform allows anyone to create a token within STEEM ecosystem. It provides tools to monitor the token transfers, users' balances and a market, where all trading can be done. It also supports smart contracts so the possibilities are pretty much limitless. There's still a lot of work to be done to decentralize the platform but surely those guys know what they're doing. Good stuff and I truly believe that the recent STEEM price uptrend is at least partially caused by those new possibilities.
TPU - Where Does The Value Come From
@tipU, apart from many other things, is a voting service that generates profit for its STEEM POWER delegators - just like in case of most voting bots. Bedsides the delegations, @tipU currently has 22,535 own STEEM POWER. Around 7,000 of it is already used to generate profit for users who use auto-reinvest functionality.
This leaves us with around 15,000 STEEM POWER that can generate additional profit for new and current investors so TPUs - the tokens - can be used to do it :)
Each token is currently backed by 1 STEEM POWER so if you own 1 TPU, you will receive the same profit as from 1 STEEM POWER delegated.
The 1:1 ratio will be increased over time and each token will be backed by increasing amount of STEEM POWER. Currently the increase rate is 0.1% per day but it's important to note that this process can be stopped at some point if @tipU runs out of SP pool dedicated to the increase. For now additional 1,400 SP is already reserved so for at least next 100 days we're good to go :)
As for the supply - currently there's 14,000 tokens in circulation but over time, as @tipU STEEM POWER pool reserved for tokens grow, I should be able to print more TPUs. The main rule is that after the creation, all tokens must be backed by no less SP than before the issuing.
Profitability
The APR coming from STEEM POWER delegations to @tipU is steady at around 17% - this can be validated on https://www.steemprofit.info.
In other words 1 SP delegated generates daily around 0.0005 liquid STEEM in profit, 1000 SP delegated gives 0.5 STEEM an so on.
In the same way holding 1 TPU will give 0.0005 STEEM profit daily, holding 1000 TPUs earns you 0.5 STEEM in daily payout and so on.
It's worth to mention that you only need to hold the token to receive the payouts, no other actions are required.
Use Case
All right, but why hold the tokens instead of just powering up some STEEM and making a delegation if you want to get that sweet passive income?
Well, the main difference is that if you want to sell the STEEM locked by powering up, you need to power down - and this takes 3 months.
The tokens on the other hand can be traded instantly on the steem-engine market. This is where I see the main value of the TPU tokens - hold to receive share in the profits, sell whenever you want.
TPUs can also be handy if you already made the delegation, you don't want to power up but you want to increase your share in the profits.
The build-in mechanism of increasing the amount of STEEM POWER that backs each TPU can potentially make the token a good storage of value. Yet, at this moment it's hard to predict how the price will shape up after the official launch.
Other Use Cases
There are also other ways to keep the token desirable and ensure it's value over long time. For example users could pay for upvotes with the tokens. Doing so would burn them and by this lower the total token supply. This would make each token backed by more STEEM POWER.
I'm also planning to add option to send tokens as tips to other users - that's a nice way to support creators!
These are just quick ideas but certainly there's a lot of possibilities here. Over time I should work out the best ways to utilize the tokens so just a little more value can be added to them on top of current application :)
Risk
Of course every investment comes with a risk. In my opinion the main risk comes from changes in steem ecosystem that would make the voting services obsolete. Of course this change would affect also every bid bot, but in case of STEEM POWER delegation you can just undelegate and get your SP back. TPUs on the other hand, without their main feature of generating profit, would be pretty much worthless. Yet, I believe there's always a way to build something new and keep the train going :)
Airdrop
To kick things out I'm planning to give away the tokens to current @tipU delegators. Because of the limited supply, each 1 SP delegated will be reward with 0.001 Token - so 500 SP will be rewarded with 0.5 Token, 2000 SP will give 2 Tokens and so on. The airdrop will be held trough the weekend :)
How To Buy The Tokens
Currently there are 2 ways to buy TPUs:
- on steem-engine market
- by sending at least 0.1 SBD/STEEM to @tipU with memo: buy tokens. The price now is at 1 STEEM per 1 TPU
How To Sell The Tokens
The tokens can be sold on the steem-engine market
Validating The Transactions
You can validate your TPUs balance on steem-engine wallet webpage.
Additionally I highly encourage users to check out the newly created @tipU website: https://tipu.online. It's still in early stage but it already displays all the data regarding your investment (login trough steemconnect, minimum permissions needed).