PYLON AMA — The Wealth Club
Welcome to the medium article containing the Ask Me Anything with Pylon.finance. Let’s see if we could get Vtach from Pylon to spill the beans and explain to us why Pylon is the best thing since sliced bread.
LET’S GO!
Let’s start with introducing yourself and the team crypto related. What background do you have?
Hey everyone, thank you for having me. I’m the co-founder, Marketing lead, Community lead and head of Partnerships at Pylon.finance.
The founder of Pylon, and owner of the GPU mining business is @thedeathfleet, he can frequently be seen speaking directly to the community in our main PYLON chat https://t.me/pylonfinance.
Our main background is 6 years in the buissness of GPU mining, which makes us unique to most projects
TheWealthClub: Thats quite alot of tasks man, you’re a busy bee i suppose.
We have a great team that help distribue the work load.
So can you tell me exactly what Pylon is all about? What is the usecase?
$PYLON does something 95% of other projects don’t do. $PYLON provides value back to the community from the GPU mining revenue in the form of buy backs. Our initial raise was 1 million for the mining seed. About a month ago this projected to have $324,000 dollars per year in a bear market, now that Ethereum is close to doubling in price the buybacks will be significantly higher.
The use case for Pylon is that we are providing users access through our utility token to a real world asset that will continue to generate revenue no matter if we get new investors or not. The mines have already been constructed and have an average lifespan of Ten years. If you ever wanted to Mine cryptocurrencies, this is how you do it without the associated maintenance, programming, tax implication and technical know how to construct a profitable mine.
TL:DR We mine ETHEREUM With GPU Mining units. The units earn The gas fees charged by ETH network to validate the transactions on the block chain. 100% of that Profit Buyback Pylon on the open market and rewards it to Vault stakers.
So if i understand correctly your equipment mines rewards for users right. How does these rewards look like in percentage?
Good question, the total supply is approximately 8400. So its as simple as what ever % of the supply you own of Pylon will translate to how much of the mine you own.
you can essentially calculate your APY personally based of the mining seed profits and your % ownership.
What are the Tokenomics of $PYLON?
I always love tokenomics talk. Ours are simple and easy to understand;
Total supply: 8400 Fixed
MCAP: Approximately $1.6M
Burned tokens?: Yes 12,600
Mining Seed: $1million
Buybacks: Expected buybacks from a mine this size in bear market is $324,000 per year. ETH has nearly doubled since this projection was taken so expect this number to be significantly higher.
Dividends: 100% of the buybacks are injected to vaults and distributed to stakers accordingly.
The mechanisms of how we work are simple, easy to understand.
TheWealthClub: Curious what the sell pressure will be compared to the buy backs over a longer timespan. But that would be hard to know haha
We incentivize users to lock up supply to earn more dividends. Over half the supply is locked right now.
Any plans to update and increase the gear?
Yes, We have ways to generate income for the mine, including partnerships, It should also be noted when you use the FDI there is a small fee, no bigger then YFI’s vaults, its the exact same.
Please read disclaimer if you use FDI vault.
Any Profits we make go to our mining fund which can be seen here: https://etherscan.io/address/0x289026a9018d5aa8cb05f228dd9460c1229aaf81
We use that to build new units, the owner fronts the builds, meaning you will start earning right away and dont have to wait for new construction. We can scale this up to a certain amount in the millions before we have to begin constructing new units to keep up.
Lets say the mining seed increased to 10 million, that would be about $3.24 MIllion in buybacks a year. This is a realistic goal for us
Are there any competitors you know off? If so what makes pylon different?
No, we have no competitors for one simple reason, they do not have the real world infrastructure our GPU mining business is providing.
We’ve been in business for the last Six years GPU mining, we are the largest GPU mining company in the U.S for a reason. Not to sound cocky, but if anyone tries to copy our model from the ground up they will get crushed. The connections we’ve developed for hardware cost, construction and existing clients is second to none.
Actually let me show you something, lets let the chat have a moment to view it: https://twitter.com/PylonFinance/status/1306474337747316737.
We actually have proof our farms exist. https://twitter.com/PylonFinance/status/1305582768466747392
Yes i figured you guys are developed deeply in the mining gear. Huge advantage!
This was when we started PYLONS build: https://twitter.com/i/status/1313858854598242304
We have multiple sites, each one of these warehouse has all that equipment in it, and this is just one site:
This is our first real week of marketing efforts, we have much more on the way. But when we launched in September the owner wanted a complete product before we brought it to public.
Are the buybacks weekly?
Buybacks are weekly, they will be injected to the vault and distributed over seven days so users can’t abuse staking mechanism and hop in and out. Actually there will be a buyback this friday!
How much will that be?
Well to be honest, i’m not sure. Our projection from a month ago had us mining $324,000 per year, but that number changes based on price of Ethereum. Ethereum has almost doubled since then so this weeks buyback will be significantly more.
TheWealthClub: Around 6k dollar buyback than right?
Roughly, and that every week and 100% of that goes back to stakers. But those projections were also when Ethereum was $387. Its now 600+ and remember we mine Ethereum from gas fees, so we are rewarded in Ethereum.
What are your strategies to ensure mass adoption of the project? Attract new eyes, gain new partners etc?
We have a few things we are going to do traditional and non traditional advertising. We have some you tubers and twitter personalities that have been following us since the beginning are lending their help gaining exposure to more communities.
The main thing that we are doing though is executing. How many of you here heard about YFI when its marketcap was low? Not many probably. That’s because they had a good product, one that was the first of its kind.
PYLON is the same, there is no other project that is providing a real world sustainable asset that will bring money to the project year round no matter if people invest or not. Some of you might not believe me now, but as we begin to see more people take note of us you will see our marketcap climb.
But people will also take profits. I’m curious how this will relate to the buybacks?
We’ve put the mechanisms in place, like have to stay in vault for the full 7 days to receive each weekly dividends. You will see that the buy pressure outruns the sell pressure, especially as the mine grows.
We’ve talked about the vault a few times now. Maybe good for our members to understand. What are the Vaults exactly?
Both Mines have separate mining seeds meaning they will get dividends based on how big their respective mine is. They will both benefit from each other because all the revenue generated will buy back Pylon. As the mines increase in size through new investors the buybacks will grow as well.
Type One: FDI (Foreign Direct Investment): 12 Crypto’s that can be deposited. At 33% APY in a bear market, higher by about 100%-200% in a bull market.
There is no Savings account, Lending/Borrowing Project or staking project providing these returns in the market and that’s simply because of our model. Our project is based on a real world asset that does not need more investors to continue to generate revenue. You can’t unstake!
Type Two: PYLON: This vault is Specifically fro Pylon Holders, It is a way to discourage Selling by staking PYLON to earn More PYLON. It was also our original vision that all PYLON holders would be able to receive the rewards of the mine. You can stake and unstake at any time!
Mining reward last for the lifespan of the units which is 10 years, the vaults facilitate those dividends. And we are also exploring other vault types that can provide a different level of exposure.
What are you busy with right now and is there anything exciting coming up shortly?
Actually yes, we just had an interview with a YouTuber that has great info, that can be seen in our telegram channel:
We have some big promos coming out this week, and most important but not least: The first Buybacks begin this friday, meaning if you watch the chart you will see a large buy order. 100% of those buybacks go to the vault stakers. This will occur weekly for the span of the mines lifetime which is roughly ten years.
What are your plans with $pylon for the future? What is the longterm vision of the project?
Right now our goal is to get a stranglehold on the market space we occupy. Once we propel ourselves into mid-high marketcap range we will look to expand our vision into other real world assets. For now the success of $PYLON as our main project and proof of concept for our future vision is key.
The next large milestone for PYLON will be in Q1 2021. We will be looking to explore governance solutions with $PYLON as the voting token.
Interesting governance solutions, are there any plans for that being made already?
There are plug and play governance options out there. But like I said the best way to know if something is safe, is to do it yourself. So we will work on that.
Anything you want to share before we go over to the community questions?
Just keep an eye on us this Friday! I don’t ask for blind faith, but you will see the true beginning of our journey.
This was it for our own questions, now let’s see what the community has prepared. Community round!
I am a very small investor, I have friends with holdings and larger amounts of cash, but in my personal case I can invest $100 in PYLON today for example. Still, can I take advantage of hold PYLON and use the vaults? Is it feasible?
You can buy and hold pylon, you will benefit simply from the price increasing.
You stated the potential in Pylon Finance is the scalability. So, how scalable is Pylon Finance?
As long as new users joint we can scale the size of the mine infinitely by building more, even if they don’t we already have a base of 1 million which will generate revenue indefinitely.
Is the buy back process automatic or is it done manually by the team?
Good questions, part is automated, part needs to be handled on the mining and, that’s why deathfleet is going to set up a way for users to track, just like we did with the mining fund.
A big problem for a lot of Defi projects seems to be that when farming starts, the price goes down because people unload to put liquidity into the farm. Will there be an incentive to hold and not just farm and dump?
The answer is simple we are injecting money through buybacks. It would be like new users including liquidity all the time.
And there we are at the end of this AMA with Pylon Finance. We would like to thank Vtach for his time and wish him all the best with his project. If you would like to know more about Pylon Finance, then we’ve got some important links for you below;
Website: https://pylon.finance/
Twitter: https://twitter.com/pylonfinance
Discord: http://discord.gg/m5zSFsA
Telegram channel: https://t.me/pylonfinance
Telegram Announcements Channel: https://t.me/joinchat/AAAAAFkTrrI9NwbErMSjxw
