Sustainable Crypto Charity

Siqi Chen believes that creating sustainable impact from crypto tokens requires a different approach than simply selling tokens, which creates conflict with the community. After accidentally raising significant funds through a crypto token named after his daughter, he's exploring more sustainable models for charitable fundraising.

Key Points:

• The Zero-Sum Game Problem:

  • When you own a token attached to your narrative, selling it creates a zero-sum game against your community
  • "When you sell then you're just like playing your zero sum game against the community and they're all gonna be upset for you for sure"
  • This dynamic is "very difficult" and unsustainable

• A Potential Sustainable Model:

  • Lock tokens into a liquidity pool instead of selling directly
  • "The only sustainable way to do this is to lock a bunch of the token into a liquidity pool"
  • When people buy or sell, you collect exchange fees without directly selling into your community

• The Dogecoin Example:

  • "Imagine a version of dogecoin where every time someone sells or buys it creates like up to hundreds of thousands of dollars a day in fees"
  • These fees could then be used for donations or research funding
  • With a large market cap, this could generate significant ongoing funding

• Real-World Application:

  • Already implemented this approach with his "Nira" token
  • "I locked a bunch of the mirror coin into a liquidity pool so we're still perpetually generating [funds]"
  • Successfully raised over $1.4 million for rare disease research

• Challenges and Stress:

  • The process was extremely stressful - "by far the most stressful time I've ever had in my life"
  • Required significant time commitment - "it ruined my vacation"
  • Dealing with misunderstandings when people don't read explanations