Empty Set Dollar’s (ESD’s) 8 hour epochs generate low returns but longer expansion periods. Meanwhile, Dynamic Set Dollar’s (DSD’s) 2 hour epochs yield high returns by expanding the supply too quickly which creates massive selling pressure and short expansion periods.
VTD is the first algorithmic stablecoin with dynamic supply that utilizes a range of 2-6 hour epochs based on momentum of the change in token supply. This solution solves the issues with ESD and DSD (and all their related forks that have flooded the market) by maintaining the benefits of long and short epochs while minimizing the downsides by throttling up and down the speed of supply expansion or contraction.
To make it more fair for the community to call the Advance function, the VTD team has added a reverse dutch auction, which lets the market price the reward. The advance reward starts at 1 VTD, and increases 1 per every 5 seconds. The user willing to bid the lowest will win the advance.
VTD doesn’t believe that only the Team or Bots should be allowed to claim the Advance Rewards which is why we’re the first project to build the Advance function into the UI so anyone from the community can call it. With this feature anyone can see when the next Epoch is (remember our Epoch times are variable) and decide if it’s worth risking the gas to win the Advance Rewards lottery. VTD will have a fair launch with zero pre-mining. Even the Team needs to compete with the community to win the Advance Rewards.
VTD will implement multiple pegs soon. During the first phase VTD will be paired with DSD on uniswap to increase adoption and market penetration. VTD is the first stablecoin to be pegged to another algorithmic stablecoin. VTD will let the community vote on which liquidity pair it prefers: DSD, ESD, USDC, USDT or even Wrapped BTC? Perhaps we add more than one rewarded liquidity pair later? The community will decide.
|Hours Per Epoch||Dynamic between 2-6 hours||2 Hours||8 Hours|
|APY During Expansion||High but dynamic||High||Low|
|Dao Reward Split||70%/30%||60%/40%||80%/20%|
|Codebase||Fork of DSD w/ Momentum based epoch timing and Bot protection||Fork of ESD||New and Audited|
|Governance||Rapid proposals, changable pegs.||Fast||Conservative|