This proposal aims to burn the unclaimed NSTR tokens that were awarded to early investors and users during the Token Generation Event (TGE). As of now, 21 million NSTR tokens (approximately $1.5 million) remain unclaimed. The claim deadline is set for December 17th, after which we propose the remaining unclaimed tokens would be gradually burned over a 6-month period. By reducing the total supply of NSTR, this measure would enhance the scarcity of the token, potentially increasing its value, and benefiting current holders.
Motivation
By reducing the total supply of NSTR, the remaining tokens will become more scarce. This increase in scarcity is expected to benefit all current token holders. Burning unclaimed tokens aligns with Nostra’s long-term goal of sustainable tokenomics and value accrual for active participants. Unclaimed tokens currently serve no utility and create potential uncertainty in the supply. Implementing a transparent and predictable burn process will signal to the market that the Nostra ecosystem is committed to optimizing token supply, which could further bolster investor confidence.
Proposal
The team would implement a gradual burn of the unclaimed tokens over a 6-month period starting from December 17th, after the claim deadline passes. If this proposal is approved, the freely circulating NSTR supply, excluding the tokens allocated to the treasury and future airdrops whose use is conditional to governance approval, will decrease by approximately 36%.
Next steps
Leave this proposal open for discussion
If there are no material objections, open a Snapshot vote with the proposal
If the proposal is voted yes, we will proceed with implementing a gradual NSTR token burn program over 6 months starting from December 18
Why not redistribute between $NSTR holders/suppliers + Famiglia Card holders, this gives real use to these NFTs and values members who believe in Nostra Protocol. BG🌹
Burning tokens to reduce supply may seem like creating scarcity, but the impact is minimal for a newly launched token that hasn’t fully undergone price discovery. When considering sustainable tokenomics and long-term value accrual, it makes more sense to distribute the tokens to existing holders. This approach would help restore confidence among current holders, especially those who felt let down by the airdrop.
With the upcoming expansion to other chains, this approach would not only strengthen the loyalty of current users but also attract new participants to the ecosystem.
21% of the total supply? This is probably a joke. This is too much for such a distribution. It is better to burn, all holders will benefit from this, not just a few people!
appreciate the team to take initiative in revisiting the tokenomics to provide a healthy token distribution among active community members. Burning the token supply not claimed will help boost the overall token distribution and price chart. up only for the token holders!!!
i believe NSTR price could well go beyond the $0.4 range if this burning actually takes place. Price should pump by at least 300%.
I am looking forward to it, and I believe this marks a new era for NSTR to become ultrasound deflationary token. This adds to my suggestion of buyback and burn using Nostra revenues. Check my proposal: Nostra Governance Proposal: Buyback and Burn Program for $NSTR
Price chart looks healthy with more pump incoming.
I believe returning the 21 million unclaimed tokens to the Treasury as a strategic reserve would be more beneficial for the long-term growth of the protocol. This would:
Still effectively reduce circulating supply while preserving optionality
Allow the DAO to use these tokens productively for future ecosystem development
Provide flexibility for strategic initiatives rather than permanently destroying the tokens
I support @starknetgod’s suggestion to move these tokens to the Treasury instead of burning them. This gives similar scarcity benefits in the short term while maintaining options for strengthening the protocol over time.
Additionally, burning such a large portion of supply seems extreme and potentially concerning for a newer token.
Redistribute to those holding $NSTR, but TGE for a period of 3-5 years, at each time claim these tokens, holders must still keep $NSTR in their wallet to be able to claim.
To me, the best option is to leave the tokens as they are. As a world traveler it happened to me to be gone for MONTHS and miss out on airdrops because of that.
Moreover, unclaimed airdrops are likely to be real humans, and not bots/gamed behavior.
Thanks for all the feedback on this topic. It’s nice to see some strong opinions and thoughts being shared.
I think we need to carefully consider the potential legal ramifications if a claimant to these tokens comes after burning them, leaving no recourse to reinstate them.
I suggest moving these unclaimed NSTR tokens to the Nostra Treasury as an alternative until we can be comfortable with this point.
