PlutoPluto Paper
Pluto is an innovative reserve currency design. It is a financial instrument resistant to bear markets that provides long-term and planned growth in the market price of an asset.TreasuryThe main metric of the protocol is the growth of the collateral value of each PLUTO token. The collateral is implemented by the Treasury, where parameters are controlled by voting, and can also change automatically depending on market figures. The mathematical model of Pluto is mostly focused on Treasury growt...
PlutoPluto Roadmap
This article covers the process of launching and placing in orbit the Pluto reserve currency, a DeFi-innovation on Waves blockchain. You can read more about its mechanics in the White Paper.1. PLUTO MintingLaunching the protocol implies the need for initial Treasury in order to establish the basic Backed Price. The Treasury will be raised by means of PLUTO pre-sale, the so-called minting operation. The optimal size of the initial Treasury is 1 million USDN. Estimate: July 7-132. PLUTO Protoco...
PlutoPROPOSAL: Add WAVES token to boost Pluto treasury and support the Waves ecosystem
Pluto Protocol was designed to safely work as a universal investment during the bear market. More than $1M worth of stablecoins have been added to the Pluto treasury since launch, issuing 700,000 PLUTO tokens. As a treasury-based reserve currency, Pluto aims to support the Waves ecosystem development and expand the DeFi investment possibilities for users. This proposal recommends an algorithm update to allow PLUTO minting with WAVES tokens without significant risks to the treasury. This updat...
Reserve currency built on the Waves blockchain
PlutoPluto Paper
Pluto is an innovative reserve currency design. It is a financial instrument resistant to bear markets that provides long-term and planned growth in the market price of an asset.TreasuryThe main metric of the protocol is the growth of the collateral value of each PLUTO token. The collateral is implemented by the Treasury, where parameters are controlled by voting, and can also change automatically depending on market figures. The mathematical model of Pluto is mostly focused on Treasury growt...
PlutoPluto Roadmap
This article covers the process of launching and placing in orbit the Pluto reserve currency, a DeFi-innovation on Waves blockchain. You can read more about its mechanics in the White Paper.1. PLUTO MintingLaunching the protocol implies the need for initial Treasury in order to establish the basic Backed Price. The Treasury will be raised by means of PLUTO pre-sale, the so-called minting operation. The optimal size of the initial Treasury is 1 million USDN. Estimate: July 7-132. PLUTO Protoco...
PlutoPROPOSAL: Add WAVES token to boost Pluto treasury and support the Waves ecosystem
Pluto Protocol was designed to safely work as a universal investment during the bear market. More than $1M worth of stablecoins have been added to the Pluto treasury since launch, issuing 700,000 PLUTO tokens. As a treasury-based reserve currency, Pluto aims to support the Waves ecosystem development and expand the DeFi investment possibilities for users. This proposal recommends an algorithm update to allow PLUTO minting with WAVES tokens without significant risks to the treasury. This updat...
Reserve currency built on the Waves blockchain
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PLUTO is a reserve currency that combines DeFi mechanics into a unique model allowing for sustainable storage of funds on the blockchain. At their core, reserve currencies are stablecoins rivals that offer a predictable growth model and stable income with staking.
Pluto Protocol has been launched in Summer 2022 and it has already managed to prove its functionality: almost 1 million tokens issued, x2.5 price growth since launch, all while offering 80 to 120% staking APY. At the same time, the protocol preserved the level of backed price - the value below which the price cannot fall.
That said, along with the protocol's launch and adoption, a few flaws have been exposed, several Achilles' heels that prevent Pluto from gaining traction and limit its range of applications. The team believes that fixing these flaws will increase the demand for PLUTO by an order of magnitude and give a chance to add an extra zero at the end of the TVL number.
Here are these flaws:
1. a steady growth of the backed price has no effect on the token's market price,
2. the lack of token utility limits its potential: during the first months after launch, all users could do with it was to stake it,
3. the complex structure of the protocol makes it difficult to understand, which is exacerbated by the lack of educational materials and a suboptimal website interface.
The team has done research on all 3 of these flaws and is offering solutions to each, combining them into a single master plan. Some of the changes will affect the external positioning of Pluto, while others will affect the protocol structure and will require changes to the smart contract, following the discussion in the community.
Behold, the Master Plan!
The first thing an investor looks at when examining a project is its token price chart, while APY, TVL and other values are of secondary concern. Therefore, the team suggests shifting the focus of the PLUTO mathematical model to the constant growth of the market price.
The project's whitepaper describes that the market price grows primarily due to the buyback, which occurs automatically with each PLUTO minting operation. The most obvious solution is to increase the proportion of this buyback, so that the demand for PLUTO affects the price growth more.
With updated Buyback Ratio values, it will be much easier for the price to reach the PGF of 200%, i.e. twice as high as the Backed price. In addition, a stable buy pressure should constantly push it to the maximum value.
This measure is both logical and significant, but certainly not key to the master plan.
Constant buyback is good, but, as experience has shown, it is not enough for a steady price growth. It is proposed to form an additional buyback fund, used for rare but major PLUTO buybacks.
With each PLUTO minting operation, a portion of the funds deposited into the treasury is accounted for the formation of the incentive APY in staking. It is proposed to abolish the incentive APY and instead use the funds to form a buyback fund. Such a measure would lower the staking APY to the value of the base APY (20-30%, which is still very good as for quasi-stable assets), but would allow for a regular significant impact on the token price:
1. To test this functionality, it is proposed to allocate 7.5% of each onboarding amount in the buyback fund when the PGF is above 130%. In the future, this parameter can be changed by voting.
2. The current PLUTO issuance rate (1M USD per month) will make it possible to raise 50K USD each month and use it for a one-time PLUTO buyback, which has a 60% impact on the price.
3. 50% of the bought back PLUTOs will be burned to reduce supply and increase backed price, the remaining 50% will be spent on bounties for the community and incentivization of PLUTO use, such as boosting in liquidity pools.
An important factor in such a large buyback is timing. It is suggested that a large buyback should be used in anticipation of important protocol updates or marketing campaigns so that the price stays high after the buyback is made.
The main utility of the reserve currency is the store of value. In essence, it is a competitor of stablecoins, which means that Pluto should have a corresponding spectrum of application. Just like USDT or USDC tokens, PLUTO should be used as a base asset in the entire ecosystem: from NFT games to DeFi.
For third-party projects, it makes a lot of sense to use PLUTO as the main token, because unlike stablecoin, it:
1. gives a much higher staking APY, 2. has potential for growth.
The team is working hard to negotiate the use of the PLUTO token for products in the Waves ecosystem and beyond.
We are glad to present the key areas in which PLUTO integration is underway:
Pools with PLUTO as a base asset have already been implemented on Waves.Exchange and Puzzle Swap. It is planned to stimulate these pools in the form of boosting.
The first PLUTO-enabled lending platform is Puzzle Lend. Users have already brought more than half a million of liquidity into the pool, allowing for hedging through PLUTO or leveraged staking.
PLUTO should be used as a token for NFT trading. It has already found use in one of the upcoming games, Waves Lands. To support PLUTO's utility, it will be added as a trading currency to the Puzzle Marketplace.
PLUTO/USDN is especially popular on the derivative-based Tsunami.Exchange. However, the team believes that PLUTO could be much more in demand as a base asset and offers to launch such pairs as ETH/PLUTO, WAVES/PLUTO, etc. This technology will allow Tsunami's treasury to earn PLUTO staking rewards while users hold their market positions.
From the very start, Pluto has had a reputation of a "complex tool". The mechanics of the protocol certainly are complex, so the most important task is to explain them through a user-friendly interface, adequate documentation, examples, and third-party explanatory tools.
A grand UX update will take place at pluto.gold website: the interface visuals will be fixed with more useful information added. PLUTO minters will be able to see current buyback ratio, treasury stats and other info which is needed when you make financial decisions.
This must be crucial for conversion of new users when they start operating with PLUTO.
Community plays a key role in mass adoption of Pluto. Since the beginning, developers have been supporting the project by creating a tracking bot, while the community members have been spending their time to make explanation threads, memes and supporting Pluto on social media in many other ways.
The team proposes to support and encourage community endeavors that help in explaining the power of the Pluto protocol to a wider audience. If a buyback fund is implemented, a portion of the bought back PLUTO will be spent on developer bounties to create tools such as Explorer or Notifications bot, as well as to fuel the ambassador program with Waves Labs and other community stimulation activities.
…
In a nutshell, the PLUTO Master plan offers the following protocol updates:
increased buyback ratio,
abolition of incentive staking rate,
buyback fund creation,
the use of buyback fund for major buybacks of PLUTO with its subsequent burning and distribution in the form of bounties.
These updates are geared towards giving the protocol an opportunity to occupy the niche of a quasi-stable token, which is used for regular calculations and also as a basic tool in the Waves ecosystem and beyond.
We invite the entire community to participate in a discussion on the proposed changes in the Telegram chat, followed by a Master Voting, which will last 2 days and allow the community to vote "for" or "against" the Master Plan implementation.
Pluto to the Pluto!!!
PLUTO is a reserve currency that combines DeFi mechanics into a unique model allowing for sustainable storage of funds on the blockchain. At their core, reserve currencies are stablecoins rivals that offer a predictable growth model and stable income with staking.
Pluto Protocol has been launched in Summer 2022 and it has already managed to prove its functionality: almost 1 million tokens issued, x2.5 price growth since launch, all while offering 80 to 120% staking APY. At the same time, the protocol preserved the level of backed price - the value below which the price cannot fall.
That said, along with the protocol's launch and adoption, a few flaws have been exposed, several Achilles' heels that prevent Pluto from gaining traction and limit its range of applications. The team believes that fixing these flaws will increase the demand for PLUTO by an order of magnitude and give a chance to add an extra zero at the end of the TVL number.
Here are these flaws:
1. a steady growth of the backed price has no effect on the token's market price,
2. the lack of token utility limits its potential: during the first months after launch, all users could do with it was to stake it,
3. the complex structure of the protocol makes it difficult to understand, which is exacerbated by the lack of educational materials and a suboptimal website interface.
The team has done research on all 3 of these flaws and is offering solutions to each, combining them into a single master plan. Some of the changes will affect the external positioning of Pluto, while others will affect the protocol structure and will require changes to the smart contract, following the discussion in the community.
Behold, the Master Plan!
The first thing an investor looks at when examining a project is its token price chart, while APY, TVL and other values are of secondary concern. Therefore, the team suggests shifting the focus of the PLUTO mathematical model to the constant growth of the market price.
The project's whitepaper describes that the market price grows primarily due to the buyback, which occurs automatically with each PLUTO minting operation. The most obvious solution is to increase the proportion of this buyback, so that the demand for PLUTO affects the price growth more.
With updated Buyback Ratio values, it will be much easier for the price to reach the PGF of 200%, i.e. twice as high as the Backed price. In addition, a stable buy pressure should constantly push it to the maximum value.
This measure is both logical and significant, but certainly not key to the master plan.
Constant buyback is good, but, as experience has shown, it is not enough for a steady price growth. It is proposed to form an additional buyback fund, used for rare but major PLUTO buybacks.
With each PLUTO minting operation, a portion of the funds deposited into the treasury is accounted for the formation of the incentive APY in staking. It is proposed to abolish the incentive APY and instead use the funds to form a buyback fund. Such a measure would lower the staking APY to the value of the base APY (20-30%, which is still very good as for quasi-stable assets), but would allow for a regular significant impact on the token price:
1. To test this functionality, it is proposed to allocate 7.5% of each onboarding amount in the buyback fund when the PGF is above 130%. In the future, this parameter can be changed by voting.
2. The current PLUTO issuance rate (1M USD per month) will make it possible to raise 50K USD each month and use it for a one-time PLUTO buyback, which has a 60% impact on the price.
3. 50% of the bought back PLUTOs will be burned to reduce supply and increase backed price, the remaining 50% will be spent on bounties for the community and incentivization of PLUTO use, such as boosting in liquidity pools.
An important factor in such a large buyback is timing. It is suggested that a large buyback should be used in anticipation of important protocol updates or marketing campaigns so that the price stays high after the buyback is made.
The main utility of the reserve currency is the store of value. In essence, it is a competitor of stablecoins, which means that Pluto should have a corresponding spectrum of application. Just like USDT or USDC tokens, PLUTO should be used as a base asset in the entire ecosystem: from NFT games to DeFi.
For third-party projects, it makes a lot of sense to use PLUTO as the main token, because unlike stablecoin, it:
1. gives a much higher staking APY, 2. has potential for growth.
The team is working hard to negotiate the use of the PLUTO token for products in the Waves ecosystem and beyond.
We are glad to present the key areas in which PLUTO integration is underway:
Pools with PLUTO as a base asset have already been implemented on Waves.Exchange and Puzzle Swap. It is planned to stimulate these pools in the form of boosting.
The first PLUTO-enabled lending platform is Puzzle Lend. Users have already brought more than half a million of liquidity into the pool, allowing for hedging through PLUTO or leveraged staking.
PLUTO should be used as a token for NFT trading. It has already found use in one of the upcoming games, Waves Lands. To support PLUTO's utility, it will be added as a trading currency to the Puzzle Marketplace.
PLUTO/USDN is especially popular on the derivative-based Tsunami.Exchange. However, the team believes that PLUTO could be much more in demand as a base asset and offers to launch such pairs as ETH/PLUTO, WAVES/PLUTO, etc. This technology will allow Tsunami's treasury to earn PLUTO staking rewards while users hold their market positions.
From the very start, Pluto has had a reputation of a "complex tool". The mechanics of the protocol certainly are complex, so the most important task is to explain them through a user-friendly interface, adequate documentation, examples, and third-party explanatory tools.
A grand UX update will take place at pluto.gold website: the interface visuals will be fixed with more useful information added. PLUTO minters will be able to see current buyback ratio, treasury stats and other info which is needed when you make financial decisions.
This must be crucial for conversion of new users when they start operating with PLUTO.
Community plays a key role in mass adoption of Pluto. Since the beginning, developers have been supporting the project by creating a tracking bot, while the community members have been spending their time to make explanation threads, memes and supporting Pluto on social media in many other ways.
The team proposes to support and encourage community endeavors that help in explaining the power of the Pluto protocol to a wider audience. If a buyback fund is implemented, a portion of the bought back PLUTO will be spent on developer bounties to create tools such as Explorer or Notifications bot, as well as to fuel the ambassador program with Waves Labs and other community stimulation activities.
…
In a nutshell, the PLUTO Master plan offers the following protocol updates:
increased buyback ratio,
abolition of incentive staking rate,
buyback fund creation,
the use of buyback fund for major buybacks of PLUTO with its subsequent burning and distribution in the form of bounties.
These updates are geared towards giving the protocol an opportunity to occupy the niche of a quasi-stable token, which is used for regular calculations and also as a basic tool in the Waves ecosystem and beyond.
We invite the entire community to participate in a discussion on the proposed changes in the Telegram chat, followed by a Master Voting, which will last 2 days and allow the community to vote "for" or "against" the Master Plan implementation.
Pluto to the Pluto!!!
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