Polymath Aggregates Network Usage Fees into a Network Reserve
The Security Token Standard (ERC1400), including Polymath’s own implementation in ST20 3.0, is continuing on its growth trajectory, both in market adoption and usage. At Polymath, we are monitoring this trend closely and engaged with key market participants to ensure the protocol maintains its relevance as regulations evolve across jurisdictions. As we focus on the technology, its impact on the ecosystem and how it may be affected by changes in regulation, it is crucial that we constantly review the token utility model associated with protocol usage. These efforts started a few weeks ago with usage fee adjustments, implemented December 1st, 2019.
Additionally, following the release of a white label program, we published a brief document that outlines the associated incentive model knowing it was important to review how transparent the network usage is, especially as usage increases.
The next step in this journey is to merge all the usage fees collected into a single network reserve. To date, usage fees from the Polymath protocol have been collected by a variety of smart contracts where they remained. On December 19th, 2019, Polymath will be transferring that POLY to the Network Reserve at: 0x304bac69a7ef5ab4256c21dd81ac9cb1fe5ea9e8
Specifically, POLY from the below addresses will be transferred:
- Security Token Registries:
0xef58491224958d978facf55d2120c55a24516b98
0x240f9f86b1465bf1b8eb29bc88cbf65573dfdd97
- Protocol Usage Fees:
0xa22d152d855d80f4d88e5e483c30b87161019d3a
The tokens received by the Network Reserve will be used, at first, to send white labels their monthly rebates, as described in the document here.
Over time, usage of the additional POLY left in the Network Reserve will be decentralized and under the responsibility of the Polymath Governing Committee. This committee is expected to be deployed as part of the efforts to decentralize Polymesh, the blockchain purpose-built for security tokens.
In addition to the increased transparency surrounding the usage fees, we are also proud to announce that Scout now offers detailed dashboards on usage of the Polymath protocol. You can find out more here and should expect a dedicated blog post on the Scout dashboards over the coming weeks.
