Questions Regarding Upcoming SNS Launch

General DFINITY
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Please forgive me if this is not the proper section of the forum to post these questions. If you could be kind enough to re-direct me to a more suitable location/ individual if so.

The upcoming SNS release is something we are all especially looking forward to. However, before it launches I wanted to ask a few questions.

  1. Am I correct in the (my) assumption that SNS tokens will be obtained by purchasing ICP tokens then “swapping” them on the NNS to receive new SNS tokens?

    • If so, will the new feature on the NNS be that we obtain SNS tokens and purchase the coins in the projects we want?

    • Will this remove the need to join or use the Community Fund (CF)?

  2. Will the new feature on the NNS be available to ALL and ANY region or geographic location (truly censorship resistant)?

  3. Will all/ most projects go live the day of the SNS release? Or is this up to/ depending on the project and teams discretion?

    • If so, will staking for projects then become available as well? If so, how will staking for projects on the SNS look? Will there be a new dapp for the SNS that interacts directly with the NNS to create a seamless experience?

    • Will all projects have their “White Paper” and Token-Economics made public? Along with their staking API/ APY?

  4. Finally, and most importantly, will the massive expected purchasing of ICP tokens on retail exchanges, specifically for purchasing these new SNS tokens, remove these newly purchased tokens from “circulation” all together? And “forever”?

Let me give a few examples of my thought processes:

  • Say I buy 100 ICP and get x amount of SNS tokens, then I use all the SNS token to buy a coin of my choice, and I do not choose to stake them, but just hold them. Will this remove the ICP from circulation by doing so, and increase a true demand? Or will the ICP go back into the supply after “swapping” for SNS tokens and purchasing other projects?

  • Using the same scenario where I buy 100 ICP and get x SNS tokens, then I DO STAKE them, will this remove the used ICP tokens from circulation?

  • Finally, using the same scenario, where I use 100 ICP and get x SNS tokens, and I DO NOT stake and I DO NOT keep them or intend to keep them in the project, yet perform a classic “rug pull” of sorts. Will this remove the ICP or will once it is used to re-purchase ICP will create more inflation due to a possible increase of value in comparison to ICP when you exit the project.

*Please note these are thought processes and not my actual intentions. I am asking in the hope anyone else who reads it might/may have a similar question or thought process and would benefit from a very low level walk through for an “average end-user” or noob/ committed investor of sorts.

@diegop @bjoernek maybe you could help/ point me in the right direction

EDIT: @AndraGeorgescu might be another helpful/ understanding voice (for me personally) to have in the conversation. @AndraGeorgescu if you have time/ know the answers to these questions and feel you can help me process/ understand I would appreciate it.

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Yes, that’s correct

The CF is a related, but completely disjointed thing. CF is still planned.

I’ve so far never heard of intentionally restricting any IC feature to some region. This will be available anywhere you can access the IC from.

No, this is the responsibility of the project’s owner(s). I doubt that many will do it on the first day since instructions will not be quite as nice yet.

This is up to the individual projects.

The tokens will go to the SNS treasury so that they can be spent for the benefit of the project. So they will not be removed from circulation forever, but certainly for some time.

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I’d also like to add the amount of treasuries should theoretically grow over time and this should pool an increasing amount out of icp out of circulation and I imagine all legitimate DAOs will grow icp reserves in treasuries as opposed to just depleting them. as a project with 0 icp in reserves could/will likely be seen as dead/ inefficient

I vision in the future projects controlling community 8 year neurons as they seek ways to retain and gain icp in projects treasury ( I.e run autonomously ) some projects may seek extra funding for just this ( if this becomes de-facto go to for running a project, then that’s a LOT of icp out of circulation

SNS due to be wild!

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Thank you @Severin and @memetics I apologize I did not tag you directly. It was not a slight towards anyone in particular. Only me using members/ voices I trust/ know off hand.

These answers were very much appreciated. I think this might help price action. If either of you have more knowledge on how the demand portion of ICP will work please let me know.

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I think @Severin did a pretty good job answering in simple terms. Nothing obvious for me to add :wink:

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