The NaaS (Nodes-As-A-Service) boom between December 2021 and April 2022 showed a strong market appetite for product to deliver continuous yield. However, investors typically invested in the nodes not for it’s purpose as an RPC Endpoint, but as a way to accrue perpetual yield through the project’s node emissions. Some projects provided triple digit returns within a month, and many have since failed due to the liquidity pool being drained when early investors cash out for profits. A further deficiency of the typical node modality is that they are not tradable.
COMB Financial thus pivoted away from the NaaS model in early February 2022 in order to stabilize the price of $COMB and manage investor expectations.
1,500 Podz were first released in mid-April 2022 to check market sentiment, and they were sold out within 48 hours. Capsules are being released in perpetual fashion moving forwards in order to fulfill the market appetite for tradable products which generate continuous yield.
The original NaaS mechanics involved projects selling nodes, which would generate a continuous amount of their own token, allowing the investor to either compound them for more nodes, or sell them at market for a profit. See the below diagram for a schematic on the profit generation model of nodes, which is unsustainable:
Comb Financial’s Podz and Capsules are akin to “Generation 2.0 Nodes”. The capsules are fNFTs (Financial Non-Fungible Tokens), and accrue rewards internally in tokens other than $COMB. The capsules will execute a buyback of $COMB upon harvest, providing consistent buy pressure to $COMB. Furthermore, by buying COMB at market and locking it up for two years, capsules provide a a deflationary effect on COMB.
Capsules will have a $1 in FTM minting fee, and minimum 1 $COMB deposit. This is expected to remain for the foreseeable future, with a projected future minting price of $10 in FTM.
See the below diagrams for more understanding on the profit generation model of Capsules:
zCOMB gets its rewards from the entire Comb Financial Ecosystem, as depicted in the following diagram and elaborated upon in the section on zCOMB.
Capsule rewards can be claimed either individually or up to 5 at a time. Rewards are distributed on a daily basis.
Capsule rewards can be compounded for more rewards. As rewards are compounded, the amount of locked COMB increases, raising its intrinsic value for sale in the Marketplace. Each action of compounding will sell earned zCOMB rewards and purchase $COMB on the market, to be locked into the capsule.
The Capsule’s lock can be reset to 2 years in order to maximize its APR. Its APR will decrease linearly with time.
Depositing $COMB will increase the value locked within your capsule, and thus increase your zCOMB allocation and hence absolute yield.
Different capsules have different LP Assets backing them. These assets ensure that Comb Financial rewards remain sustainable. LP assets include fBEETs, and SCREAM-FTM LP. The assets will be withdrawable.
This feature will allow an investor to withdraw the asset that is deposited into the capsule.
Depositing $COMB will increase the value locked within your capsule, and thus increase your zCOMB allocation and hence absolute yield. You need to have an existing capsule before you can deposit $NECT, and thus cannot create a capsule without $NECT.
As capsules tap onto zCOMB’s revenue share capability, the two year lock needs to be refreshed periodically in order to maintain the capsule’s high yield. If not refreshed, the capsule will unlock after two years and all previously locked COMB (included compounded COMB) can be withdrawn.
Capsules will be tradable on Comb’s NFT marketplace.
Capsules can be transferred in the same way that Hives and Podz can. You can execute the transfer from the following url: https://ftmscan.com/token/0xbac40dc5168d2f109dfad164af438d6b9c078254#writeProxyContract