Weekly Privacy Newsletter - 5.31.22

[Ducky]

Quick take

Cypherpunk Grant: Cypherpunk Guild has awarded a 40k grant to Incognito for the creation and deployment of NEAR <> Incognito bridge. Read more >

Network Explorer: Incognito core team has launched a NEW Beta Explorer. Test it out and share feedback >

Exposure: Incognito is featured on Cypherpunk and NEAR Vietnam official announcement channel.

Integration: Last week, Annex Finance, Pickle Finance, and O3 Swap chose privacy.

Listing: Incognito (PRV) has been listed on CoinMarketCal and Earlycoin. Vote for Incognito >

Want to keep track of our privacy development? Follow us on Twitter and discuss us on the forum.

Recent Developments

Infrastructure

• Reduce Interval Time: As promised in the Survey conclusion, the processing time of various transactions has been improved as follows:

  Privacy Apps: 12 mins reduced to 10 mins.

  Shielding: 20 mins reduced to 10 mins.

  Unshielding: 7mins reduced to 5 mins.

Incognito app

• The latest version of the app is available for update now. Pleas make sure your mobile app is at version 5.2.8 for the best user experience.

  Read more about what’s new in v5.2.8 >

Upcoming Developments

Technical developments

To summarize, here is the list of new features/ products that are being heavily developed and planned to be released in June 2022:

• Instant Finality.

• Transaction verification time improvement.

• Wallet extension.

• Incognito <> NEAR bridge (demo in June).

Please let us know if you wish to know the real-time status of any of the above developments.

Growth Efforts

• Listing: Incognito (PRV, Exchange) will be listed on major data aggregation sites. See the latest listing results updated at listing integration proposal.

• Partnership: With the efforts of the Growth team, more DeFi projects will be integrated with the Incognito privacy hub. Head up to Community/ Partnerships category and help spread the word about your favorite projects.

Need your help

As you knew, the liquidity pool is one of the critical conditions for a token to be tradable on decentralized exchanges. We need community help to provide liquidity pools for new tokens integrated with Incognito. List of new tokens >

Become a liquidity provider, earn profit and help people trade with freedom.

Thank you everyone for your contribution to the network and community.

See you around.

[fredlee]

Nice new forum area for newbs.

In “The PRV Economy” you are referring to a post about the “Economic model of PRV”. In that thread, I’ve had an unanswered question for the past 5 months. https://we.incognito.org/t/network-incentive-privacy-prv-mining-distribution/172/6?u=fredlee

Would it be possible to get an updated economic plan and some better transparency? What is 1/3 of all minted block rewards going to be used for? Where did 2/3 of all previous block rewards go? Is it held in store? Was it all used for investment rewards? Was it misplaced? I’m pretty much fine with any answer except that it’s all held by an individual that can trash the market by dumping them all on the exchange. I even approve if it was all spent on ducks and cocaine!

[Ducky]

Hey @fredlee! Thanks for showing your support to the new forum category and so sorry for having missed your question in the tokenomic topic. I guess devs just unintentionally forgot to give a timely response.

Actually I’m not very sure if we could make a detailed economic report to show a long history of all transaction hashes for almost 3 years project time (It would be such a nightmare! ). However, agree with you that transparency is definitely essential for the sake of community trust as well as project healthiness in the long run. Please allow me to quickly make a short summary of the spend on block rewards. Hope that it will further clarify your concern.

Network income is made up of 2 parts: Fixed-node rewards and DAO.

Fixed-node

For those who haven’t heard about the term, having fixed-nodes is necessary to ensure the stability in the early stage of the network. If you have had a chance to read about our recent updates, you would have known that increasing committee size (aka reducing fixed-node dominance) over time is always in our plan towards the goal of decentralization. The current fixed node dominance is 46%, and the next step will be to reduce the fixed node dominance to 34% by increasing the shard committee size to 64.

The Incognito Core Development team is the one who keeps and makes decisions on spending fixed-node income.

During 3 years of the project, PRV income from fixed-node rewards has been used to help the network function normally and boost Growth activities. Some crucial expenses can be mentioned are:

• Development cost & audit cost (for the bridges).

• Operations: server cost for fixed-node, adding liquidity pools for token pairs, funded stake for pNode, etc.

• Growth budget: Builder Rewards program (back in 2020), Badges rewards, Influencers cost for reviewing Incognito/ pNode/ Wallets, and some other community-growth initiatives.

DAO

Block rewards are split between the validators and DAO. Incognito DAO is designed to collect a reducing percentage of the block rewards, from 10% to 3%.

Year	Validators	Incognito DAO
1	90%	10%
2	91%	9%
3	92%	8%
4	93%	7%
5	94%	6%
6	95%	5%
7	96%	4%
8+	97%	3%

DAO’s funds hadn’t been spent during 2 first years of the project. The first spend of DAO is to incentivize liquidity providers in the Liquidity Mining Rewards. The program is to help increase the liquidity pool size for our exchange and just started in early 2022. And that, 50% of DAO is used to pay the rewards for liquidity providers in addition to trading fees.

As clearly stated in the tokenomics plan, DAO’s funds are initially managed by the Core Development Team. After that, the DAO’s funds management will be gradually distributed to the community. This will only happen in the very near future when our infrastructure developments are completed and we find a way to manage the funds on-chain decentralized effectively.

Hope my clarifications help!