Brian33 yes, the Klima would be burnt, contracting supply and alleviating pressure on the protocol.
So we would reduce the assets in treasury in exchange for burning some Klima.
Meanwhile we are inflating supply by about 50% per month in order to get those assets. This feels very counterproductive.
Brian33 these BCTs would be used for offsetting, but it stands to see whether that is the case or not.
Appreciate the clarification and understand you have thought this through as well.
That would be ideal but if we burn the BCT it becomes worth nothing so we would need to find corporates or DAOs that we can OTC sell BCT to for them to offset which would require a big effort to grow the ecosystem around BCT. I just don't see that happening as we try to diversify from BCT and major portions of the Klima team jump ship in favor of launching a BCT alternative.
If we don't secure alternative demand for BCT, we can't really use it for inverse bonding without blowing ourselves up. But we barely have any other assets to inverse bond so why should we allow the use of this tool? Not sure what I am missing but this isn't making much sense to me how this benefits Klima holders.