Chainbinders – The burn after the burn

Back in late April, we ran a feature on the new Doki Doki Finance Degacha machine with its own new token, being $BND, with a tokenomic structure that gives more utility and/or value to the two existing native currencies $Azuki (used to spin for NFTs on Dokis native machines) and $Doki (governance). Set to an amazing backstory, a beautifully crafted set of cards and a gaming element. It’s well worth reading the earlier article, or even better the Lore tab on the Chainbinders main site as it highlights the burn (unbind) function, its place in the $BND limited time, Liquidity Generation Event (LGE). Out of the initial supply of circa 1.26 mil $BND minted, as of today (June-15th-2021), there are 597.5k burned (that’s just shy of 50%). To quote the team $BND is a ”hyper deflationary token”.

On May-18th-2021 the Chainbinders Degacha machine started spinning the NFTs, the $BND started burning. For those who have read the article hyperlinked in the introduction, or those who are familiar with the model, the function of obtaining the NFTs is exactly the same as other vendors. Out of my modest wedge of $BND, I chose to spin 5 times, at a cost of 10 $BND a turn. Give or take a few cents here and there, at the time this equated to around $50 USD (per turn). Due to the 21-day bonding curve on the $BND LGE, early investors paid about this price, with the maximum being $15 USD. This may have made some scoff at the idea of paying 150 US for what could have been a “Tuft of Ash”, but as said before, if the success’s of $DOKI and $AZUKI are replicated then (not financial advice, naturally), I would probably have placed the token in a pool on Cometh.Swap and sat back and reaped the amazing APYs, that were and still are available, and waited for the price inflation, caused by token number deflation to kick in. BUT, without showing off, as I am seldom a person who fares well when it comes to turf or dice, I would not have lost out on a $15 USD purchase price. Doki’s Degachas have always contained a risk element. This is what makes them fun, it is one of their USPs.

(The best and worse results from my 1st few spins)

After the Degacha had launched, players still had to wait until June-1st-2021 for the unbinding to begin. Even in this interim period, the liquid value of the NFTs predetermined and pegged to the ETH raised in the LGE, more desirable pieces started changing hands, on secondary markets pretty fast, and over the quoted unbind values. The Chainbinders NFTs are quite unique, in that if you spin a successfully bound character or card from the machine it carries a liquid value. There are 2 choices. One can either hold the NFT, as others unbind theirs this liquid value increases, or one can take the ETH that is contained within, take the money and either buy more $BND and spin again, hoping for better or more luck. Or do other ETH stuff.

From the first mentions on the Doki Doki Telegram group, as well as the announcements on the Chainbinders and Doki Doki Twitter channels, eager $BND holders started either collecting, burning or lamenting their spins and or wins. In the TG group which I occasionally frequent, there were some horror stories to be heard. One person got 13 “Tufts of Ash” (as linked above, they change hands for near enough nothing) out of 16 spins. This is an unusual event though. If you look through the chart below, you will see that it’s about 50/50% redeemable to non. I’m sure it happened. But if we all broke even where would the fun be?

I try not to have many regrets in life. I will always admit that my most cardinal, one that I shall take to my grave and beyond is missing David Bowie, (most of) at Glastonbury 2000. Another, and pretty close behind is that I needed the ETH, I was carried away with my good luck and I sold, burnt and unbound as if the good times would never end. I had to go to Chainbinders Anon when I got down to my last 100 $BND. I think I ended up at the wrong meeting but addiction is addiction and our faces all told a tale of regret. Learn from my lessons, watch your “Heroes” before they die, also if you can help to see the ETH clock up in your wallet SAVE SOME GOOD CHAINBINDERS. As of June-15th-2021, there were a total of 13.7k of the 62.7k unbindable NFTs that had been sent to the NFT crematoria.

It’s worth noting that the Gatcha and game are both on Matic (Polygon), although the NFTs and currency are interoperable between Matic and ETH (L1 for safekeeping). I found the Polygon experience more satisfying, save the gas. Although the ETH Serenity upgrades have done some wonderful things over the past month. Apart from when Musk tweets, it’s affordable to trade in smaller amounts. Polygon is (for now) faster and cheaper and less hassle with blocked transactions. Bridging still takes a little longer than one might like, but this has improved massively. This makes no difference to the unbind. One still receives the same amount of ETH and the same amount of $AZUKI is required to complete the transaction.

As if to prove my point. Polygon was so quick that it ruined my screenshot. Just select the NFT that you wish to unwrap. Make sure that you are happy with what you are receiving, the net after the $Azuki burn and 15% that gets split between the Chainbinders pool (10%) to increase the value of future unbinds, and 5% that goes into $Doki buybacks. I make no bones about my love of certain projects, their commercial and coding innovation. Doki Doki has come up with an NFT project with something for all crypto tastes. More than this they have made the $BND token and the NFT burn complement their existing offering. Seems like a win win win.

If you want to look at some liquid NFT porn please find attached the Chainbinders gallery:
https://chainbinders.degacha.com/universe/gallery

Written by : Benny Steele NFT Radar

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