Synereo Destroys $146,221,787 USD in AMPs
Up until an hour ago, Synereo LTD and its founders governed $300,000,000 worth of AMPs . But it was never our intention to be the central bank for our information flow currency. Such centralization goes against the very principles Synereo stands for.Merely standing for principles is not enough.
That is why we have decided to burn about half of all AMPs held in Synereo’s wallets , including the Founder and Future Funding wallets, effectively destroying over $140 million worth of the cryptocurrency based on recent market prices.
Here’s what’s burning:
· Founder Reward Wallet: 100,000,000 out of 200,000,000
· Future Funding Wallet: 396,901,858 out of remaining 793,803,716 AMPs*
· User Reward Wallet: 100,000,000 out of 200,000,000 AMPs
· Content Creator Wallet: 75,000,000 out of 150,000,000 AMPs
· Bounty Wallet: 55,000,000 out of remaining 220000000 AMPs**
· Intermediary Bounty Wallet: 4207079.25 AMPs***
Total Burnt: 731,108,937 AMPs
During our first sale last year, we sold fewer AMPs than we had expected. This is also why it took us longer to deliver (miraculously as we did, considering). We did not anticipate the incredible rise in value, based on the appreciation of our growing community walking this path with us. We had planned to have more AMPs on the market, as well as begin distributing them to users, much sooner.
Synereo kept the AMPs it holds for very specific purposes, with a deliberate, long term plan. With the coming release and going forward, many of the AMPs Synereo holds will be distributed as originally designed – allocated to new users joining the network, to musicians and other content creators, as bounties, and through grants for dApp developers.
Likewise, since we are working on a Proof-of-Stake blockchain, once it’s released to the mainnet next year, it will not make sense for Synereo to hold more than 50% of all coins (even though they’re locked in multi-sig wallets at the care of a trustee, and will not participate in staking).
We guarantee that by the time we will have released our next-gen, scalable, PoS-based Blockchain, Synereo will hold fewer than 50% of all available AMPs throughout the different wallets the company controls. We will achieve this by distributing the AMPs for their intended purpose, and by burning whatever is left at the time of release.
Synereo has made it clear from the start that it is planning to portion out its control and influence of the platform, by
1. Giving out control to a decentralized governance mechanism, operated on our distributed platform, and
2. Making sure we’re not a centralized AMP repository.
This project will not help anyone if Synereo maintains an entrenched, centralized position. That is why we want to distribute AMPs as soon as we can, to begin establishing a truly decentralized economy.
* 2437122.7068 AMPs are owed to people who already participated in the pre-sale. 45,000,000 will be taken out for the pre-sale wallet. Unsold AMPs will also be burnt.
** Rather than burning the entire half of the Bounty Wallet, we have sent 55,000,000 AMPs to a new, Project 11 wallet. This wallet will ONLY be accessible once we have 15 curators for the project, when our trustee will provide them complete control, disconnected from Synereo.
*** These AMPs should have been burnt after the last sale, but were sent to the Intermediary Bounty Wallet by mistake. They will now be burnt as extra AMPs burnt from the Bounty wallet.
Comments and commonly asked questions
Will Synereo sell AMPs privately following the sale?
Following the upcoming sale, Synereo will not sell AMPs privately.
Why does Synereo need to keep all of these AMPs, anyway?
Synereo was designed as a long term project, with a funding model similar to that of startups planning to experience sustainable growth rather than flame out quickly – as many of the projects in the crypto-space did. With that in mind, we have designed a multi-phase funding model, as well as allocated funds to wallets – closely monitored by our community and under the control of an external trustee – meant to slowly be distributed in a way that benefits the entire Synereo network and the participants in it.
What are some examples of Synereo using its AMPs to increase the value of the network?
Project 11, providing grants from the Bounty Wallet, is going to facilitate the creation of new dApps on the Synereo platform. With each new dApp in the ecosystem, new users will stream into the network, and more uses for AMPs will become available. Project 11 is a major piece of the Synereo puzzle, and will be heavily funded with AMPs as it grows.
With the Synereo social layer entering the alpha stage, users are soon going to start getting AMP rewards for signing up, going through the tutorial and publishing their first messages on the network – and, of course, inviting their friends. There are more than 2 billion users of social networks in the world, and we need every little bit of action to be able to reach them.
Likewise, to keep these users’ experience on the network interesting and fresh, we have the Content Creator Wallet to provide incentives for musicians, bloggers, photographers, and other artists to join the network and operate in it. Synereo has the most advanced distributed content delivery mechanism on the market, and we intend to allow content creators to make full use of it.
What happens to a founder’s AMPs if he leaves?
AMPs are contractually protected through a legal agreement governing them, similar to shares in the company. Founders can only sell AMPs in agreement with other founders, even if they leave. No one founder can sell all of his coins, transfer them to a 3rd party, or otherwise abuse his stake.
AMPs from the Founder Wallet have not yet been used. All Founder AMPs can be tracked here.
Remember: All AMP transactions carried out by Synereo can always be tracked in the exhaustive Synereo Finances doc.
AMPs are bound in multi-sig wallets, with their use having to be authorized by an external trustee. Should any anomaly in their use surface, our diligent community will quickly be aware of it.
Each single AMP in Synereo’s possession has a purpose.
Each and every AMP going out is meant to contribute to the network effect of the Synereo ecosystem and benefit all participants in it.
Think of the unreleased coins as simply not having been mined yet.
Coins waiting for more people joining the network, for more nodes to be set up, for more functionality to be spun up on the Synereo platform. That these coins have already been issued does not mean they will come into play sooner than those of many other projects with large pools of outstanding coins that aren’t placed in immediate view, like AMPs are.