Bisq DAO Cycle 8: Results

This post summarizes the results of Cycle 8 of the Bisq DAO.

It comes a bit later than usual, as Cycle 8 wasn’t a pretty one. During the cycle, some significant issues were made apparent in the human side of the network: a lack of management and budgeting resulted in suboptimal resource allotment needed for growth, which seemed to reflect in a lower BSQ price.

In response, key contributors are working on substantial changes to the way Bisq operates in order to address these issues and ensure continued confidence in the Bisq DAO among contributors and users alike.

These changes will be discussed more thoroughly in a call next week, as well as in a post on this blog shortly thereafter.

Summary

  • Cycle took place between blocks 604 507 and 609 186
    • Calendar dates: 11/19/2019 - 12/21/2019
  • 37 proposals
    • 1 generic proposal
    • 1 parameter change and 1 bonded role
    • 35 compensation requests
  • 445 votes cast
  • 125 083 BSQ issued for compensation (151 293 BSQ was issued in total, of which 26 210 was for reimbursing the refund agent)
  • 53 239 BSQ burned from trading fees (79 449 BSQ burned in total, of which 26 210 was disputed BTC funds)

More details on BSQ burned: the 53 239 BSQ burned from trading fees is the sum of BSQ burned directly for fees (13 449) and BTC fees collected by burningman2 to buy and burn BSQ (39 790 = 66 000 BSQ total burned1 - 26 210 BSQ of disputed BTC funds). Since this was the first cycle in which BTC fees were used to buy and burn BSQ, the BTC fee total is abnormally high: it includes BTC fees that were collected before the cycle started, and should be relatively lower going forward.

High BSQ issuance in the face of anemic trading volume resulted in a relatively big increase in BSQ supply during the cycle, a problem that aggravated the BSQ market.

As of the end of Cycle 8, BSQ was trading at about 9200 satoshis/BSQ, which was about $0.66 at the time (BSQ had been holding in the $0.80-1.00 range for much of the year). Since then the price has dropped quite a bit more, with many trades in the 3000-6000 satoshis/BSQ range. The bitcoin-USD rate has jumped over 20% since Cycle 8 ended, which has somewhat dampened the effect of the nominal price drop, but the real drop in BSQ price is still significant.

Core contributors are taking the price signals as a wake-up call. As mentioned above, the network is working to correct course, and details are to follow shortly.

Proposal Details

Add Italian as a main language

Generic proposal (link)

Accepted

RiccardoMasutti has contributed to Bisq and a number of other Bitcoin projects for a while now, and made this proposal to make the Bisq software, website, and selected video subtitles available in Italian to try capturing a bigger Italian user base through his speaking and other Bitcoin education efforts.

Although the proposal was approved, it’s unclear when (or if) it will be fulfilled, as budgeting guidelines (currently in progress) don’t allow very much funding for translations.

Request to take over the Bisq donation address

Generic proposal and parameter change (link)

Accepted

Key stakeholders approved a proposal to change the owner of the Bisq donation address. A corresponding parameter change proposal was made to change the bitcoin address in the DAO, and the new owner’s 50 000 BSQ bond was locked upon the close of Cycle 8.


1 see proof-of-burn transactions adding up to 66 000 BSQ burned: proof 1, proof 2




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