Feedback and Concerns Regarding 1ct TFT Price Floor and Farmer Utilization Rewards - Jeroen Vermond #68

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opened 2025-12-24 07:35:52 +00:00 by yadalamy · 0 comments
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Email - jeroenvermond@live.nl


Subject: Client Feedback on 1ct TFT Price Floor & Farmer Utilization Rewards


Key Client Feedback:

  • Farmers are not being adequately compensated for utilization rewards due to the 1ct TFT price floor.

  • Despite high utilization, the client reports operating nodes at a financial loss.

  • The client currently has ~560 vCPUs rented, with most workloads consuming CPU only (minimal RAM/SSD).

  • The current system allows CPU-intensive / PoW workloads to run on nodes already operating at a loss.

  • The 1ct purchasing-power mechanism places an estimated ~60% additional financial burden on farmers.

  • This results in:

    • ~60% lower TFT income for farmers.
    • Reduced TFT demand, contributing to lower token price.
  • Bulk-purchasing users face no downside risk due to the 1ct price floor:

    • TFT value is protected if price drops below 1ct.
    • Users still benefit from ~50% bulk discounts.
    • Full upside remains if TFT price increases.
  • The client believes this mechanism shifts risk from users to farmers, which they consider unfair.

  • The approach is seen as favoring one stakeholder group (users) while negatively impacting farmers and overall ecosystem growth.

  • Due to the scale of operations and sustained losses, the client states this model is not financially sustainable.

  • Their decision to continue running nodes depends on how these concerns are addressed.

Source Messages on Telegram :

  1. https://t.me/threefoldfarmers/85490
  2. https://t.me/threefoldfarmers/85573
Email - jeroenvermond@live.nl --- ### Subject: Client Feedback on 1ct TFT Price Floor & Farmer Utilization Rewards --- ### Key Client Feedback: * Farmers are **not being adequately compensated** for utilization rewards due to the **1ct TFT price floor**. * Despite **high utilization**, the client reports **operating nodes at a financial loss**. * The client currently has **~560 vCPUs rented**, with most workloads consuming **CPU only** (minimal RAM/SSD). * The current system allows **CPU-intensive / PoW workloads** to run on nodes already operating at a loss. * The **1ct purchasing-power mechanism** places an estimated **~60% additional financial burden on farmers**. * This results in: * **~60% lower TFT income** for farmers. * **Reduced TFT demand**, contributing to lower token price. * Bulk-purchasing users face **no downside risk** due to the 1ct price floor: * TFT value is protected if price drops below 1ct. * Users still benefit from **~50% bulk discounts**. * Full upside remains if TFT price increases. * The client believes this mechanism **shifts risk from users to farmers**, which they consider unfair. * The approach is seen as **favoring one stakeholder group (users)** while negatively impacting **farmers and overall ecosystem growth**. * Due to the **scale of operations and sustained losses**, the client states this model is **not financially sustainable**. * Their decision to **continue running nodes** depends on how these concerns are addressed. Source Messages on Telegram : 1) https://t.me/threefoldfarmers/85490 2) https://t.me/threefoldfarmers/85573
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mycelium/circle_support#68
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