We would like to thank all of you for your patience and continuous support. We are posting this update to address a key issue to all of our stakeholders. We have also come up with a comprehensive solution for the problem and are prepared to announce a big development for our ecosystem. While this may surprise many people, we are confident that this change and expansion of our ecosystem will take this brand in the right direction and secure its position in the DeFi industry. As with any projects or digital assets, there are failure risks involved — we are saying this to be completely transparent and not create any speculations — but we believe that this move is currently the most effective way for us to try to establish something truly remarkable and build a competitive infrastructure.
Problem with the staking pools
After having noticed the huge amount of gas fees requested to withdraw staked amounts from our EWF pools, we started investigating and searching for solutions internally and in collaboration with our auditor, Solidity Finance, in order to bring these fees down to standard amounts. During our research, it turned out that our smarts contracts were victims of a loophole generating too many queries — making it impossible to withdraw, as well as deposit, funds from our EWF pools.
As a result, we immediately contacted third parties and auditors to try to find a solution to this problem, offering a big reward for a successful job. Unfortunately, everyone shortly confirmed to us that no solution could be found to allow the withdrawal of the staked amounts in our EWF pools and that therefore these amounts should be considered as permanently lost.
For your reference, here is the address of our EWF pools demonstrating that all amounts are effectively blocked and can not be withdrawn by any party:
Devastated by this information and the damage this problem has done to our community members, it was clear that we needed to come up with a solution and make sure that we shift our project in the right direction — make a radical change providing even more value to people who trusted us. This means more development, decentralized leadership, aggressive marketing, stronger utility, improved and more active communication with the community, etc. DefHold needed to rise from the ashes bigger and better for all of us.
THEREFORE we are proud to announce that DefHold has acquired Bitpower and Bitpayer, consolidating all three projects into Bit Alliance DAO — building the world’s first truly decentralized VC platform. This merger will maximize community value and merge all assets into one powerhouse, powering the $BPT token and creating value for all the stakeholders in the ecosystem.
At its core, Bit Alliance DAO will be holding presales for upcoming projects accepting $BPT and utilizing it as a reserve currency for VC treasury — every new token launching on the platform will get backed in some ratio with $BPT, also growing the DAO treasury. But its true value is found in the nature of its operating model. The more projects launch on the platform, the bigger and more diversified portfolio is created, establishing a community-driven ecosystem of assets acting as backing and reserves for the others — enabling the Bit Alliance community to generate enormous value, grow the DAOs treasury and use those resources to power and shape the next generation of DeFi projects — all that through a voting mechanism.
People who lost their funds in our staking pools will be refunded 1:1 in their initial stake value in $BPT tokens, plus a 5% value add bonus (or they can opt to stake their BPT in the same transaction to reduce the gas cost and earn up to 1.5x of their staked funds valuation in BPT).
Recently acquired by Bitpower brand, $BPT was launched by a team behind $BPP without a token sale and listed on a few smaller centralized exchanges at $0.004 price point. Furthermore, it was listed on price tracking services such as Coinbase Vision and CoinMarketCap. Without any promotion or utility, the price reached $0.32. The total supply of the token is 8 billion but we will be permanently burning 50% of the supply (4 billion tokens) after the listing on Uniswap in September. Please be aware, the existing exchanges are mostly bots trading hence $BPT price fluctuations are intensive — this will change with listing on Uniswap and the announced developments.
Since Bitpower core team has already stepped down intending to decentralize leadership within their community, DefHold team wanted to follow their example, decentralize the leadership and protect the project against future regulatory scrutiny (nonetheless, secure/reestablish the trust of the community). What is more, ensure the long-term stability and longevity of the brand and make sure that people holding $BPT tokens will be rewarded greatly in the future. The first step is to move in a direction of a DAO and put the power in the hands of the community and the next one is to onboard a respected third party to serve as the executor/contractor of that DAO — a team that will work for the wellbeing of the stakeholders.
Hence, we are proud to announce that MirMir Solutions will be serving as the executor of the DAO and will be managing all the assets moving forward. They are a development organization funding the development and aiding in the management of DeFi protocols, security tools, and general decentralized technologies. MirMir is founded by Cyotee, a well-known and respected developer, auditor with impeccable record and tech advisor whose experience comes from working on innovative projects such as NFY Finance and Rari Capital.
As a contractor for the DAO, MirMir Solutions will be working with established crypto influencers and respected legal advisors to efficiently bring this project to the market and help the community manage its growth. What is more, the goal is to establish a legally compliant DAO where people can launch successful projects and make an impact on the blockchain industry. Both communities, including MirMir team, will leverage their network to establish a strong network of partners and projects within the ecosystem.
NOTE: All the assets have been transferred to MirMir Solutions team. In order to cover the initial development costs (e.g. legal, hiring), MirMir Solutions team has started liquidating some $DEFO and $BPP tokens in the market. In regards to DefHold leadership, Pisp will stay on board as an external advisor of MirMir until September.
Migrating to $BPT: $DEFO AND $BPP HOLDERS
All Defhold and Bitpower token holders will be migrated over to Bitpayer by September 1, 2021.
We will soon launch staking contracts enabling people to stake and exchange their $DEFO and $BPP tokens for BPT with a 5% value add. With this migrating structure in place and promotion that will be initiated soon, people will be incentivized to purchase more $DEFO and $BPP to receive a bigger value add (bonus) — creating demand and liquidity in the market.
Once the migration of tokens is complete on the 1st of September 2021, we will use $DEFO and $BPP tokens to drain their liquidity from exchanges and use those resources to list BPT on Uniswap with liquidity. Furthermore, we will launch farming and staking for BPT token holders.
Communication, Promotion, Transparency
We will be launching an updated website for Bit Alliance DAO by the end of March. Both DefHold and Bitpower communities will migrate to a new Telegram channel that will be managed by MirMir Solutions team and its partners. Here we will post a minimum of one weekly announcement, updating the community on advancements, processes, shortfalls, and any other information necessary for full transparency and trust. In Q3/Q4, we will also launch a monthly podcast/YouTube broadcast where the principals or a designated agent will answer questions and discuss new opportunities.
DeFi Mitigated Risk Pool (DMRP)
As the official launch of the first stage of the DAO, and as a way to create ongoing value for existing $DEFO and $BPP token holders, until the full migration in September, MirMir team will be building and launching a mitigated risk pool, giving token holders an ability to use the value of the locked tokens to invest their migrating funds ($DEFO, $BPP tokens) in various community projects or pools of token purchases. These investment pools can be established independently or through community votes. Each token holder will be able to enter a pool with a specific share of their migrating supply. Their tokens will remain locked until the migration is done, protecting the rest of the community against dumps, but they will be able to allocate them to specific investments within the migrating pool.
Allowing for code-based variant investing: A group of participants in the DMRP will be able to enter into a cooperative agreement to promote new $BPT based projects which are based on pooled reserve staking. This allows groups of like-minded individuals to increase the value of their projects and speculations while mitigating the inherent risk involved in new proposals. Groups can use portions of their reserve Defhold together in a unified project with a defined contribution allowing group purchasing power with only a portion of staked reserves.
For example: Put a percentage of your reserve up to fund a portion of the code development — that percentage correlates completely with the amount of risk. Bit Alliance DAO treasury can/will create leverage with a percentage of the Bit Alliance DAO treasury (with permission of general owners). This will be maxed at 10%.
This is truly exciting times for DefHold and Bitpower communities because we are consolidating the values of both communities and using resources to establish a decentralized and innovative project that will benefit all stakeholders and enable them to leverage the DAO infrastructure and shape the future of the DeFi industry. What is more, while the fundamental idea is the establishment of the DAO itself, we will be building a community of tech enthusiasts, developers and projects that will be working together on building the world of tomorrow.
NOTE FOR THE BITPOWER COMMUNITY: DEFHOLD ACQUISITION DOES NOT INCLUDE SPHERE OR BITCHALLENGLY. BITCHALLENGLY WILL BE DEVELOPED AS PLANNED AND LAUNCHED IN JUNE/JULY 2021.