Everything EOS Short Clips and Rants, 3 Mar 2022

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From YouTube: ENF Ventures – #EndRant

Description

Yves La Rose reveals some details behind ENF Ventures and how the ENF intends to utilize it to leverage external capital for funding EOS projects while offsetting operational costs of the ENF itself.

/rant is meant to be a straightforward way for Yves to share his thoughts on the issues of the day, and respond to questions and ideas raised by EOS community members themselves. Where one rant ends, another begins, and the discussion continues.

Let us know what you think in the comments below, and join the conversation on Discord. Perhaps your questions or comments will inspire the next rant!

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All right.: let's talk about something that was on the quarterly report., and so we dropped a little nugget in there in the q4 2021 quarterly report.

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And in there, there was an item in q3.

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For 2022 called enf ventures.

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And what that is- and so I'm here to give you an update on what that is,, what the idea is behind enf ventures and where we're at, give or take, right now..

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So the idea behind enf ventures is that we wanted to create a mechanism.

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To be able to allow external capital to be able to enter the system and part of that external capital, to be able to be captured by the enf and essentially come and offset.

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The costs that the enf puts on the ecosystem.

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So the enf currently is being funded by inflation at the rate of 2%.

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In the ecosystem in eos.

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and the way that that works is that 2% goes into the eosio.saving account.

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And whenever the enf is running low in funds in its own account,.

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Then it asks for a refill from the network consensus..

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The idea behind that is that it's it's accountability behind the system,, so that, instead of having other ..., instead of being similar to other foundations, where other foundations launched with a certain amount of tokens at the onset., and they essentially have to manage their treasury.

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and that number goes down over a period of time.. The enf has no tokens, essentially,.

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It has no access to any kind of of treasury.

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What it does is, it builds a track record.

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and if that track record is.

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Creating value and the token holders.

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And the network validators believe that that value is worthy.

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Of continuing to fund,, then the enf asks for transfers from eosio.saving, which goes into eosio.grants..

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Now that again, as I said, it, comes from inflation and that essentially puts downward pressure on the token price to a certain extent.

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and so in the long term,. What we would want to accomplish, or what I'm looking to accomplish, is to offset that downward pressure, essentially as quickly as possible,, so that there's more external capital coming into the ecosystem and that is being deployed in a traditional vc route so towards ideas that potentially could generate a return, but that some of that capital, a percentage of that essentially goes to the enf and in an ideal world, or if this is extremely successful., then that percentage of capital that goes to the enf theoretically,.

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If successful, enough could come and offset the inflation that the.

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Or the the costs, essentially that the enf is bearing on the system.

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and so that over a period of time, and if this being successful, enf ventures that at some point the enf no longer has any cost on the ecosystem. however, legally,, because it is a not for profit non soliciting corporation in the way that its bylaws are structured and its mission and its mandate,.

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It has to continue directing any kind of.

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Revenue that it gets towards building on eos.

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And so that's the idea behind enf ventures.

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it's to have this external arm or this this this other arm,, this other entity.

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That would be responsible for going to seek external capital.

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Part of that that would be directed towards applications or towards businesses, towards individuals, users, developers., just like a traditional vc to make a return.

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However, part of the profits that are being made by the enf ventures would flow back to the enf,.

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Offsetting the operational costs of the enf.

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Because the enf is a not for profit,, it cannot run a profit legally and so would essentially reduce its dependance on the inflation.

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and in an ideal world. Enf ventures is so successful that the enf no longer needs to utilize inflation.

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And then, essentially, the entity can continue functioning without having any cost on the ecosystem.

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however,. It would be returning the value that it was generated in the ecosystem., essentially in the long term, somewhat being present to offset.

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Even the cost that it bore on the ecosystem.

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for the first x period of time, where it did need that that that inflation from the ecosystem..

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So that's the idea behind enf ventures..

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It's been in the works now for quite some time..

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In order to be able to set this up properly, in order to be able to just as the enf was set up in a certain fashion to ensure that everything that it does needs to be directed back into the eos ecosystem.

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and there's a way for that to happen in enf ventures and securing the gps and securing.

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The essentially the entity in a location that would be favorable to be able to accept investments from or global investments, essentially from people throughout the world.

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and be able to set up that corporate structure. That would allow for all of what I just mentioned to happen.. That's been taking some time., so it's been doing, we've been doing a lot of research..

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We've also been in the background, speaking to lps. That would be interested in this. we'd been setting up flagship products that would be essentially the recipients of the first external capital.

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That would be coming in or generating interest for the lps to be able to deploy external capital into the ecosystem., and that's the idea behind enf ventures, and that's my vision behind that..

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What do you think?? What would you like to see in enf, ventures?.