V God talks about Haberg tax

V Shenfa said that different versions of the auction and Hagberg tax may be more suitable for domain auctions. He also visited the @ensdomains live broadcast on July 10 to discuss the feasibility of the Harburg tax on the ENS domain auction.

Here are the views of the media collecting and sorting V gods:

Some people complain that the Hagberg tax puts pressure on property owners because new bidders can replace the original property owners at any time. When someone buys your property (such as a property) at a price, you can take it back at 1%. However, you'd better raise the price after retaking, otherwise someone will buy your property the next day or the second week. The 1% price you paid will serve as a reminder to warn you that the price you are bidding is too low. In this system, the owner loses the property only if the purchaser is much higher than the owner's valuation than the owner.

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We can achieve the same idea in different ways to meet the needs of different users. One of them is to build a new system where users can pre-deposit funds in the contract to pay the Hagberg tax and implement an independent mechanism that allows users to bid on any asset project, but each bid must be fully mortgaged. . The current tax rate paid by the property owner is calculated based on the highest valuation of the property. The property owner can sell the property at the highest price in real time (or, when the prepaid tax is exhausted, the property is automatically sold). The advantage of this system is that the property owner holds the right to sell the property. People can ensure stability by limiting the rate at which tax rates rise (for example, doubling every week).

Note: The Haberg tax is actually a rent system where the lessee evaluates the subject and pays taxes based on the self-assessed price. At any time, anyone can rent the subject at the lessee's estimate.

Example:

1.A successfully registered a.eth without hindrance. During the registration process, A pre-stores 100 ETH as the rental budget in the contract. At this time, A already owns the domain name a.eth, assuming the rent is 0 (or assuming the rent is the minimum cost basis, for example, $5 per year).

2.B bid for the domain name a.eth at a price of 10 ETH, and additionally lock the prepaid amount 2 ETH (total 12 ETH). In theory, it is legal to have a zero prepayment, but this is not wise. If the prepayment amount is zero, you will lose it immediately if you acquire the domain name because the fee contract is invalid. A. The current fee to be paid increases to 0.1 ETH per year (10 ETH bid price * 1% Jiading tax rate per year).

3.C bid for the domain name a.eth at a price of 20 ETH, and additionally lock the prepaid amount 2 ETH (total 22 ETH). The cost that A needs to pay now rises to 0.2 ETH per year (20 ETH bid price * 1% Jiading tax rate per year).

4. One year later, at this time A can make 99.8 ETH from the prepaid contract, which is 100 rental prepayment minus 0.2 ETH annual rent. B and C accounts are locked in the accounts of B and C respectively, and there is no need to pay the bidding fee.

5. Assuming A decides to sell the domain name, he will sell the highest bidder C. At this point, A will receive 20 ETH and automatically receive its pre-stored balance for a total of 119.8 ETH. C becomes the domain name owner, he initially locked the ETH, 20 ETH is transferred to A, and the remaining 2 ETH is used as the account balance. The rent he needs to pay is 0.1 ETH per year (B is the highest bid at this time, bid 10 ETH, so the rent to be paid is 10 * 1% = 0.1 ETH per year.

6. One year later, C's withdrawal amount is 1.9 ETH.

7. If C unfortunately loses his private key, he will not be able to voluntarily give up the domain name. Assuming no other bidders during this period, C's contract expired after 19 years. If a bidder appears, the highest bidder can purchase the domain name, and if not, anyone can subscribe to the domain name for free.

I think that in addition to the efficiency of distribution, the Haberg tax has many advantages: (i) it is a tax, you can use the funds it raises to do other things; (ii) it reduces the privilege of entering the system early but not getting it. . I think people really underestimate the value (ii); assuming that all domain names belong to passers-by from 2015 to 2019, the competitive pressure on the ENS field will be even greater by 2035, but the Harburg tax will be reduced to some extent. This pressure is small. (chain on finance)

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