Hello, Satoshi clubbers Another AMA took place in Satoshi Club and we would like to introduce to you the AMA session with our friends from Nirvana and our guest was . The AMA took place on the 4th of April.
The AMA session was divided into 3 parts with a total crypto reward pool of $500
In this AMA Recap, we will try to summarise the most interesting points for you.
Part 1 — introduction and questions from the Telegram&WebSite
Jonah 🏅🎹
| Satoshi Club
Hello Dear Satoshi Clubbers welcome to our AMA session with
Nirvana
Our guest today is @Sid_Nirvana
Pavel P
Let’s meet and greet our guest!
Jonah 🏅🎹
| Satoshi Club
Hello welcome to Satoshi club
Sid Nirvana
Hello & namaste cryptomonks!
Very honored & happy to be here.
Pavel P
Welcome to Satoshi Club!
Jonah 🏅🎹
| Satoshi Club
Hello Glad to have you here
How are you doing?
Pavel P
So as we are!
Sid Nirvana
Couldn’t be better.
Beautiful day here. And days away
from shipping Nirvana – which has been a long dream
Pavel P
It is great when dreams come true!
Sid Nirvana
What’s good @Jonahapagu ?
Jonah 🏅🎹
| Satoshi Club
A dream is about to come true for you
Let’s start our AMA
Sid Nirvana
And hopefully for everyone else, too! This is really a community-first protocol,
and we couldn’t be happier to do an AMA like this.
Jonah 🏅🎹
| Satoshi Club
Let’s get started with an introduction Can you please
introduce yourself to us, how you got into crypto and how Nirvana started?
Sid Nirvana
Absolutely – hi everyone, I’m Sid, the Lama of Nirvana &
core dev.
I’ve been working in & around crypto projects for
years. It started with building tools
for friends & degens, and then evolved into building teams to create DeFi
protocols.
I found a home on Solana because of the rich developer
community & creative energy.
The team behind Nirvana is really a supergroup of other DeFi
founders & Solana engineers.
This is a passion project to make a truly durable,
sustainable, and decentralized store of value.
Jonah 🏅🎹
| Satoshi Club
This must be an impressive Team
Pavel P
How many team members are currently working on Nirvana?
Sid Nirvana
We’re up to 10 – but about to start hiring
Sid Nirvana
It takes a village, you know.
Pavel P
Nice! So what makes Nirvana special?
Jonah 🏅🎹
| Satoshi Club
Great opportunity for more people to join
Pavel P
Absolutely!
Sid Nirvana
So glad you asked
Let’s start with its values:
– sustainability
– universality
– fairness
Nirvana is really a response to the boom & busts, the
rugs & scams, and the fear around centralization.
What we are building is a durable & lasting place to
deposit money, watch it appreciate, and transfer value.
Sid Nirvana
Nirvana is an economic environment unto itself.
It has 2 tokens, representing the 2 forces needed to
generate wealth:
– NIRV: a stable token
– ANA: a volatile token
These two tokens are intimately connected with each other,
and play off each other.
ANA is a store of “wealth” — it is volatile, has
risk & has reward
NIRV is a store “value” — it is superstable,
ultra-low-risk. The same value today as
tomorrow.
Jonah 🏅🎹
| Satoshi Club
This is Exciting because
almost Everyone in this space has had concerns around rugs, scams,
centralisation and so on
Sid Nirvana
One thing that makes Nirvana special is that all of this is
grounded in actual value.
The protocol builds *on top* of stablecoins.
Rather than creating tokens that have no intrinsic value.
Totally.
So many people (everyone?) have been burned recently from
Ponzi house-of-cards.
Jonah 🏅🎹
| Satoshi Club
I agree with you..
Sid Nirvana
Nirvana is designed explicitly to avoid this kind of
*hyper-inflation* that leads to assets suddenly losing 98% of their value.
The faster something goes up, the faster it falls . . .
We can start with one key feature of Nirvana:
The rising floor price.
ANA (the volatile token) has a minimum price it can trade
down to. And this minimum price rises
with adoption of the protocol.
Jonah 🏅🎹
| Satoshi Club
Interesting
Sid Nirvana
Say, for example, ANA is trading at $9 ond the floor is
$6. That means, if you decide to buy
ANA, you *know* that your max loss is $3 (or 33%).
And your max upside is unbounded.
This introduces systemic risk-asymmetry. You always know your max loss with ANA
Moreover, if demand for ANA increases, the protocol is able
to raise the floor price.
Sid Nirvana
This sounds crazy and too good to be true — but it’s
actually very straight-forward
Pavel P
Sounds so thrilling!
Sid Nirvana
The protocol is built *on top* of stablecoins.
Jonah 🏅🎹
| Satoshi Club
Yeah sounds so good to be true
Sid Nirvana
And depends on the existence of stablecoins.
Jonah 🏅🎹
| Satoshi Club
This eliminates a lot of risks
Sid Nirvana
It’s this simple: as more people buy ANA, more stablecoins
go into the reserves.
These are permanently held in the protocol’s AMM.
The protocol always sets asid enough stablecoins to support
the floor for *every* ANA token.
With enough ANA purchases, more stablecoins can be saved per
ANA token, thereby raising the floor.
It’s all algorithmic & automatic.
The magic is in the fact that the protocol owns this
ilquidity in a trustless AMM.
Jonah 🏅🎹
| Satoshi Club
Thank you for the great introduction
We will like to proceed to our community questions now, are
you ready for them?
Sid Nirvana
Shoot!
Pavel P
Q1 From Telegram User @thisistoyin
On visiting your websites, I encountered a welcome note which displayed “Pre-commitment period now open!”
& Pre-commit your launch investment and earn up to 15% prANA rewards! And I understand that this pre-commit period will be open until 11:59p UTC on 5 April 2022. Well, As a beginner in cryptocurrency who doesn’t wanna miss out on any Available opportunity to Earn, but before going further into these commitment and receiving the prANA reward, I’m Curious to know, can you please enlighten us a little bit about the Use of these Commitment to your platform? And after your explanations, should incase we choose to commit, how do we go about it? Is there a minimum or maximum amount for these commitments? And could you also state the Benefits of these PrANA rewards token we are going to receive?
Sid Nirvana
Great question. And
true – there is a special reward period going on.
Let’s take this in phases: starting with the way the reward
tokens work.
Committing to the protocol means you promise to spend $
during the launch auction
when you commit, you put up 1% of your total commit as
“earnest money”
So, if you commit $1000, then $10 goes into escrow.
If you hit your commitment target — spending the money
during the launch auction — you get your escrow back.
And you also get hefty rewards.
Let’s talk about the *prANA* token.
Jonah 🏅🎹
| Satoshi Club
Awesome
Sid Nirvana
prANA or “pre-ANA” is best thought of as an option
to buy ANA at its current floor price.
Sid Nirvana
Back to our example, say ANA is trading at $9 but the floor
is $6. Then if I gave you a prANA token,
you could make a $3 profit!
Spend $6 to execute the option, and get a $9 token.
The rewards for commiting are paid out in these prANA
options, giving you access to ANA at its cheapest price.
Sid Nirvana
Continuing with your question: There are no min or maxes to
commit. It’s totally open.
Jonah 🏅🎹
| Satoshi Club
This gives room for all players
Sid Nirvana
Truth be told, this is our way making *you* the VC. We are self-bootstrapping with no outside
investment, and want to reward early adopters directly.
Jonah 🏅🎹
| Satoshi Club
This is Impressive
Pavel P
Really community oriented behaviour!
Sid Nirvana
If you like what you see, and want to hold ANA, doing the
committment is a way to lock in big kickback rewards
Jonah 🏅🎹
| Satoshi Club
Thank you for your clear answers on this one
Are you ready for the next question now?
Sid Nirvana
bring it!
Pavel P
Q2 From Telegram User @Neilselin
The Nirvana protocol sells time-released ANA in a money market. It accepts various difference tokens in exchange for time-released ANA contracts with various different maturity lengths.could you elaborate on the different maturity lengths of the time-release ANA? what are the requirements to acquire the time-release ANA?Are the token that can be used for the exchange for time-release ANA in limited number?What are the utilities of the time-released ANA contracts?
Sid Nirvana
Ah – this is Nirvana 201
So, the main way to acquire ANA is through buying it on the
protocol’s AMM. Spot price, instant
delivery. Simple enough.
The second way to get ANA is through executing those prANA
options. The ANA goes right into your
wallet.
Jonah 🏅🎹
| Satoshi Club
And no limits as well??
Sid Nirvana
That’s right. There
is price-impact from your order size, of course — but no hard limits.
But – for more exotic speculators – you can buy a
“bond” of ANA. Or what we like to call “time-released ANA”
These contracts can be 3-day, 5-day, or 10-day. And cover a wide variety of tokens. The relative discounts for each of these is
market driven.
For those who have seen these kinds of “bonds”
before, we have developed a different algorithm for pricing them, so that they
track the spot price accurately. But we
don’t need to get into the weeds here.
Jonah 🏅🎹
| Satoshi Club
What examples of Tokens does the contract cover?
Sid Nirvana
One important thing to point out: trANA is not
necessary. It is just there for
speculators who want to take on risk.
At launch, we are focusing on Solana: Hubble USDH, Synthetify
xUSD.
Also USDC.
Next up will be FRAX, UST, and Solana’s UXD.
Nirvana aims to be *universal*.
I think this would be a good time to discuss: what problem
does Nirvana solve?
Why are we doing this?
Stablecoins have 3 fundamental issues:
– Fragmentation. USDC
& USDT are different tokens — though with the same purpose.
– Fragility: If a token loses its peg, cataclysmic failures
follow. Stablecoins must be solid or
they are not worthwhile.
– Security: Stablecoins depend on programs, which can be
exploited or regulated.
Nirvana addresses all three of these, creating a
“superstable” token.
It collects up & de-frags stablecoin liquidity into a
single reserve.
Its own stablecoin NIRV is backed by a diverse basket, and
so holds its peg even when others fail.
Sid Nirvana
It is de-risking through diversification.
Pavel P
A reason for SatoshiClubbers to analyze Nirvana attentively.
it looks to become a treasure!
Jonah 🏅🎹
| Satoshi Club
Nirvana is indeed stacked with a lot of exciting stuffs
Thank you for your great responses so far
Ready now for the next question?
Sid Nirvana
bring it
Pavel P
Q3 From Telegram User @sunny_steel
As far as I understand, with the options of permanent rising floor that guarantees NIRV token will never sell below a certain price and simultaneous NIRV staking options the benefits for stakers look obvious – their investments will provide more value over tome with 100% guarantee. What are the staking options offered by Nirvana? Will you try to set a higher entrance level or users can stake even 1 NIRV? Does your staking foresee any Airdrops in future? Thanks!
Sid Nirvana
Great question about the tokenomics!
Let’s start with the basics:
NIRV is stable
ANA is volatile.
Yin & yang.
NIRV is not staked, but ANA is.
Since ANA is the volatile, risky asset.
Staking ANA rewards you with prANA (pre-ANA, options to buy
ANA at the floor)
Think of NIRV like DAI.
It is *borrowed*, using ANA as collateral.
NIRV is not staked, but it is yours to *spend*
You can even use NIRV to lever up your ANA, by buying more
The neat thing about NIRV loans is that they are
risk-free. No chance of liquidation.
The reason here is simple, and it comes back to the floor
price of ANA:
your NIRV loan is equivalent to the floor price of your ANA
collateral
Since ANA cannot go beneath the floor,
your NIRV debt can never exceed the value of your collateral
So you can never be liquidated!
Moreover, your ANA is accruing yield. So your loan has a “negative interest
rate”
And that’s staking!
Jonah 🏅🎹
| Satoshi Club
Insane
So In other words every holder is a staker?
Sid Nirvana
Not necessarily . . .
Staking is always a decision you make when deploying your
assets
You can, of course, send your ANA elsewhere.
You could lend it, farm it, deposit it in an AMM as a
liquidity provider.
Or you can stake it on Nirvana itself.
It’s up to the market to decide.
One key thing Nirvana offers natively is: NIRV loans
If you use your ANA as collateral on Nirvana, you can draft
out NIRV borrow.
Jonah 🏅🎹
| Satoshi Club
Awesome
Sid Nirvana
At the floor price
So, say ANA is trading at $20 and the floor is $10.
You buy an ANA, stake it, and take out a NIRV loan.
Now you have $20 in ANA, and $10 in NIRV. $30 in total value!
Pavel P
How can you keep such financial model work for Nirvana
itself?
You give back much more than you receive as liquidity
Sid Nirvana
It’s good to be skeptical
The economics work because you are *locking* away your ANA,
and your NIRV loan is *strictly less* than the collateral you post.
So your NIRV loan is backed by ANA, which is in turn backed
by stablecoins
Jonah 🏅🎹
| Satoshi Club
Thank you for your Answers
Ready for the next question now?
Sid Nirvana
yes indeed
Pavel P
Q4 From Telegram User @Rozielyna
Nirvana is set to launch on AcceleRaytor for $prANA, one of the 3 tokens in the Nirvana Protocol, along with $NIRV and $ANA. And the AcceleRaytor Raise will be $prANA AcceleRaytor Public Raise and $prANA IDO on Raydium. Can you tell us more about the $prANA public raise and IDO ? How does it work? What will be the total supply for each of them and the price for the token on Public raise and IDO ? What are the requirements/ how can users be eligible to participate in the public raise and IDO?
Sid Nirvana
The Raydium AcceleRaytor will release 125k prANA tokens at
$2 each.
This is a very small distribution – and its purpose is just
to get prANA to the people
This is not a “raise” or IDO in any traditional
sense
Nirvana has no protocol token! And no “team allocation”
It is just a protocol that produces a reserve and gives it
back in the form of NIRV & ANA
Jonah 🏅🎹
| Satoshi Club
When is the date for this?
Sid Nirvana
We are VC-less. Not
releasing a token with a special supply and vesting schedule.
Sid Nirvana
Tomorrow
Jonah 🏅🎹
| Satoshi Club
Oh it’s here already
Pavel P
So, you are in the right time here!
Sid Nirvana
https://raydium.medium.com/nirvana-is-launching-on-acceleraytor-6661c7b71e99
Alright – I think we’re coming up on the hour – and I want
to respect all your time.
Do we have any other questions? This has been fun!
Jonah 🏅🎹
| Satoshi Club
Yes
Let’s proceed to the next one
Pavel P
Q5 From Telegram User @rotoxy
Since your protocol has no pre-allocation of token to team, marketing, development or any purpose, you said that fees will be essential to ensure your protocol can continue to run. I saw different types of fees such as trading fees, contract purchase fees, NIRV loan origination fees, NIRV stability fees, and ecosystem growth fees. Can you tell us at what point of protocol usage when these fees will be demanded from users and how they are going to be used to scale the health of your protocol? Don’t you think too many fees may have effect on users because I saw that you charge as high as 20% for NIRV stability fees? Where will the proceeds from these fees be kept and will there be a DAO to review fees or determine how and when fees-generated revenue will be used?
Sid Nirvana
Great point.
Typically, protocol’s will fund themselves by issuing a
token.
And then the insiders (VCs & founders) will sell the
token to the community.
Since there has to be some other side to the trade, the
community ends up paying for this.
Nirvana wants to go a different way.
It is “tokenless” — so it does not require funny
secondary markets.
Instead, this fee oriented approach means that the protocol
only funds itself if the market *uses* the protocol
This goes back to our principal of fairness
There should be no compensation if there is no demand for
the protocol.
We believe that an honest, transparent fee structure is
actually better for the users and the community.
And it means everything scales together.
Pavel P
100% agree!
Sid Nirvana
Less adoption = les fee revenue, and so there is no overly
dilutive “death spiral” that can make protocols collapse
Happy to answer questions about fees in more detail in our
Discord about the specifics
discord.gg/nirvanafi
Pavel P
This has been so detailed so far!
Jonah 🏅🎹
| Satoshi Club
You’ve provided impressive answers so far
Sid Nirvana
you’re too kind
Jonah 🏅🎹
| Satoshi Club
Right now we have one question left for this part
Pavel P
Q6 From Telegram User @Highpee
Although I am yet to see your full roadmap, I went through your protocol available resources and I am yet to see any NFT related application and Metaverse related features in your present protocol design. Can you share the roles NFT will be expected to play in Nirvana, considering that NFTs is a popular blockchain topic at the moment? Do you plans gamification and since you already have the MetaStablecoin, are there plans to enter the metaverse? Lastly, can you share your roadmap and some of the events you have lined up for the rest of the year?
Sid Nirvana
NFTs are on the roadmap.
As you can see, Nirvana loves to rethink things from the
ground up.
Super secret plans that I can’t share now
Jonah 🏅🎹
| Satoshi Club
Understood
Do you have any planned activity that you can share?
Sid Nirvana
Nothing yet. But
let’s just say they will have true, valuable utility with the protocol.
We are starting the enlightened cryptomonk revolution.
Pavel P
Before we proceed to LIVE part please share your official
links with our community
Sid Nirvana
nirvana.finance
discord.gg/nirvanafi
We have an active community ready to answer questions!
Pavel P
Thank you!
Jonah 🏅🎹
| Satoshi Club
Thank you for your answers in this first part of our AMA
Pavel P
So, we are ready to proceed to LIVE questions from our
community!
Pavel P
Get ready for some action now!
Jonah 🏅🎹
| Satoshi Club
Are you ready for the storm ?
Pavel P
We will open chat for 120 sec
Sid Nirvana
let’s do this!
Pavel P
Once we close it back please choose 10 questions to answer
Part 2 — live questions from the Telegram community
Q1 from Telegram user @Karoceh
You mentioned pre-ANA is best thought of as an option to buy ANA at its current floor price. But what is the plans to encourage pre-ANA holder to keep their ANA? Have you anticipated massive ANA sales if traders want to chase short profits??
Sid Nirvana
ANA is not just for selling!
You can also lock ANA to mint NIRV – which is more value. Especially if you bought ANA at the floor price.
This 2-token system balances the sell-pressure for ANA, giving people another use case for it.
Q2 from Telegram user @Ravan_since_1996
Has Nirvana partnered with any other project yet? Or have thought of partnering with any project in the future?
Sid Nirvana
Yes! Raydium and Hubble are official. We are in talks with several lending and perpetual dexes. We are also going to work with Terra to bring massive UST into the solana ecosystem.
Q3 from Telegram user @Aiza32
Nirvana introduced a new concept that I never saw before in a Stablecoin, the “Metastable” coin, can you explain us exactly how works the collaterizaton mechanism of the ANA token? How is possible to this coin have a limited downside considering the current market situation?
Sid Nirvana
ANA has a firm floor made of diversified stablecoins.
These provide backing for the token. ANA is “partially collateralized” in this sense, that its price can go up, but can only go down so far.
It is “metastable” because it is beyond stable
Q4 from Telegram user @Savitasapra3
What makes $NIRV token more stable in comparision to other stable coin or tokens such as USDC, USDT, DAI, etc which are currently having large market share in stable Coins or Tokens?
Sid Nirvana
NIRV is superstable through diversification
If a single stablecoin loses its peg, NIRV’s diversified backing absorbs that shock
Holding NIRV de-risks your exposure to individual stablecoins.
Q5 from Telegram user @Manugotsuka
I realized that Nirvana use a similar mechanics of a rebase token, but I’m not really sure, so can we consider you a rebase token? If not what are the elements that make you differ from a rebase token?
Sid Nirvana
It is actually not a “rebase” token.
Rebase tokens emit more of the same token to depress the price, and reward early adopters. This is a form of price control through dilution.
Nirvana rewards stakers with “options” (prANA). It does not emit ANA or NIRV.
Staking ANA does not reward you with more ANA — that pattern leads to house-of-cards ponzi dynamics.
Nirvana is built for long-term sustainability.
Q6 from Telegram user @MCBTrade
Could the concept of a “superstable” token be a revolution for the future of DeFi? Could you tell us about the adoption level of this model in crypto?
Sid Nirvana
We think so! This is a 2nd-generation project. It could only come after the first wave of stablecoins appeared.
So, many stablecoins are all competing with each other, and fragmenting liquidity.
Nirvana’s mission is to unite them all. We are all one in Nirvana. Ommmmm.
It makes for a token that is stronger through diversification.
Q7 from Telegram user @jameslekan664
It was stated that Nirvana provides limited DOWNSIDE but unlimited UPSIDE. I believe DOWNSIDE means negative consequences while UPSIDE means positive effects. I would like to know; what exact DOWNSIDES will the Nirvana platform put a limit to and what UPSIDES does the Nirvana platform hold for users?. What major edge does Nirvana have over other similar platforms to improve the overall user experience and ensure user retention?
Sid Nirvana
That’s right. What this is about is risk.
ANA can only fall to floor, but it can rise indefinitely.
And the floor rises with adoption.
Q8 from Telegram user @Josegamboac
What type of Staking is developed in Nirvana? How does it work? What kind of rewards can be obtained through the Nirvana staking system? Who can participate in the Nirvana Staking system?
Sid Nirvana
Staking is unique on Nirvana
You stake ANA to be rewarded with prANA (pre-ANA) — an option to buy ANA at the floor price.
This way of rewarding with options is a new approach to sustainable APYs
Q9 from Telegram user @Einsteinyl
Can you explain more detail about how to earn prANA reward from Nirvana? What are the requirement?
Sid Nirvana
Simply stake your ANA! prANA is emitted continuously to ANA stakers.
Part 3 – Quiz Results
As usual, for the third part, Satoshi Club Team asked the chat 4 questions about the crypto project. A link to a Quiz form was sent into the chat.
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