Confidential Assets (CAs) are an integral building block of the Beam ecosystem and set to be a driver of growth within it. They were first introduced to Beam in 2020, and the initial amount required to issue them was set at 3,000 $BEAM. This came after a community vote on the matter.
Now we are back to see if this number should be reduced in the upcoming Hardfork, and if so, by how much. The required $BEAM can be updated, however, it does require a Hardfork, so not something that is easily altered.
The main benefit of decreasing the amount of Beam required is that it reduces the cost for CA creation. This is especially relevant with the number of DeFi applications set to expand this year. One example of this is that of the AMM DEX. When users enter a pool, they can receive an asset representation of their share of the pool. This can be a Confidential Asset, however the current amount of 3,000 $BEAM may turn people off, and somewhat stunt the growth of the ecosystem.
This is the main motivating factor behind this post, to gauge how the community feels with regards to a Confidential Asset insurance cost reduction.
Please share your thoughts on the matter, and ask any questions you have surrounding it.
Intention is to lower the issuance rate to one of the below:
- 100 BEAM
- 300 BEAM
- 500 BEAM
- 800 BEAM
This allows for cheaper issuance of assets on the Beam network as the DeFi ecosystem continues to grow.
We will discuss for the week, and if the general consensus is to reduce the BEAM required for asset issuance, we shall conduct a vote here on the forum. As the Hardfork is coming in the not too distant future, and the Voting Dapp is not yet live, the forum will be used for voting in this case. The voting Dapp will be live after the 7.0 release, so this will be the first and last time the forum will be used for a governance vote.