SwissBorg Referendum: Should BORG Be Listed Exclusively on DEXs?

Arguments FOR Delisting BORG from CEXs and Listing Exclusively on DEXs

1. Embracing Decentralisation and Aligning with SwissBorg’s Vision of Wealth Democracy

• Traditional centralised exchanges act as opaque gatekeepers, holding custody of users’ tokens in unsegregated wallets with transactions taking place on internal ledgers. By moving BORG exclusively to DEXs, we will bring its transactions completely on chain, giving the greatest level of exchange transparency possible.
• This is a bold move forward toward true financial freedom, where no external entity can control or interfere with the trading of BORG.

2. Eliminating Market Manipulation by CEXs

• CEXs often work with market makers who manipulate token prices through arbitrage, creating price volatility and unfair trading conditions.
• By focusing on DEXs, we remove this middleman and allow BORG prices to be determined by more organic market forces, driven purely by demand and supply, creating a fairer ecosystem for all BORG holders.

3. Increased Transparency and Security

• Decentralised exchanges operate on transparent blockchain protocols, ensuring all transactions are visible on-chain. This guarantees fairness and reduces the risk of hidden fees or underhanded market activities, which could occur unknown hidden on CEXs.
• By moving all BORG transactions to DEXs, users could have greater transaction security by not relying on centralised entities that may be prone to hacking, internal fraud, or operational failures. Coupled with SwissBorgs hybrid MEX model and unique segregated account system, this could be said to result in enhanced security overall. 

4. Increased Volatility and REAL Volume

• By moving BORG exclusively to DEXs, the absence of market makers may lead to more volatility due to a larger spread in prices. While this can result in higher price fluctuations, it also likely leads to increased trading volume, which can be beneficial for liquidity and token activity, making BORG a more investable asset for new traders.
• Liquidity Concentration: concentrating liquidity on decentralised exchanges (DEX) would help in building a stronger foundation for the token. This would provide a single point of liquidity, making it easier to attract traders and investors.

5. Provides Total On Chain Focus

• BORG on chain will be the total focus for SwissBorg. We will no longer need to spend time and resources maintaining sometimes tricky relationships with CEXs and market makers.
• More critically, it will target everything to make BORG the greatest decentralised asset possible. Projects, including our partner BorgPad, can fully embrace BORG knowing that trading volume will be flowing through their trading pairs and (potentially) incentivised liquidity pools. 

6. Positive Opportunities by Positioning SwissBorg as a Bold Leader: BetterThanCEX

• SwissBorg may be seen as a bold innovator and thought leader
• This move will not only signal our full belief in the on chain world but also showcase our ability to “change the game” and drive the narrative in a rapidly evolving industry. Who else would be daring enough to proactively seek delisting from CEXs? This could set SwissBorg apart as a trailblazer, potentially inspiring others to follow suit.

Arguments AGAINST Delisting BORG from CEXs (Reasons to Keep BORG on Both CEXs and DEXs)

1. Backup in Case of Solana Network Issues

• The BORG token currently operates on the Solana blockchain, which, while efficient, has experienced occasional network outages. If Solana goes down, users won’t be able to trade BORG within the SwissBorg app or any Solana-based DEXs (Could still trade the ERC-20 token on DEXs).
• Keeping BORG on CEXs provides a safety net. If there are network disruptions, users will still have access to trade BORG on centralised platforms.

2. Access for CEX Users

• Many crypto traders still prefer to use centralised exchanges, as they are more familiar with them. Although the vast majority of BORG is traded in our app, by removing BORG from CEXs, we may alienate a portion of potential traders who rely on these platforms.
• This could reduce the overall trading volume and liquidity for BORG, limiting its exposure and potentially lowering demand for the token.

3. Broader Market Reach

• Centralised exchanges attract a larger pool of traders and often have higher liquidity. Although most bORG trading takes place on our app, by delisting from CEXs, we risk narrowing BORG’s reach, especially to newer or less experienced users outside our reach who may not be comfortable with DEX trading.
• Keeping BORG on both CEXs and DEXs ensures broader market exposure and attracts a diverse range of users, from experienced DeFi traders to newcomers.

4. Potential for Bigger Slippage

• On DEXs, without market makers to provide liquidity, users may experience larger slippage when placing bigger trades. For users trading within the SwissBorg app, this could mean paying significantly more (or receiving less) when executing large trades due to the greater spread in prices.

5. Potential Market Uncertainty 

• Delisting BORG from CEXs may create some amount of FUD among potential investors, particularly those unfamiliar with DEXs. When people outside our immediate community discover that the token is no longer available on major centralised platforms, it could lead to negative market sentiment, with concerns about liquidity, accessibility, and the token’s overall stability. This could hurt BORG’s reputation and create negative publicity.