Token Launch Plan Proposal

Good day to you, dear augemented web fellows.
Since the joyful moment when the project will get its own token is not far off, as representatives of the group of early adopters of the project we want to offer the DAO our vision of how the launch of the token could take place.

TOKEN DESCRIPTION
Since we need native utility ecosystem token we propose to have emission based on the Bonding Curve model. The Bonding Curve is a form of a smart-contract, that buys and sells tokens, based on the price formula that’s been introduced.


In this example, the X-axis represents the total amount of tokens released, and the Y-axis represents the current price of the token. The relationship between the amount and the price can be shown as a formula, and in this specific graph is depicted as the “BC” curve.

More information on bonding curve models can be found here: https://blog.dapplets.org/how-to-help-endangered-animals-and-earn-on-crypto-investments-9f789c635edd

The token bonding curve is the primary market-maker that is forming the supply of tokens and their price. Later it turns from market-maker to price indicator as other markets arise.

LAUNCH SCHEME (DRAFT)
Below are the interactions of the ecosystem participants in the proposed launch scheme.


Legend
Early Baсkers - participants of the seed round.

Baсkers Pool - a smart-contract that can accumulate Early Baсkers’ contribution and has the exclusive rights to process the first transaction on the Bonding Curve.

Foundation Treasury - account of the Foundation entity, used for financing the Protocol development, community needs, airdrops, legal needs.

Team Fund - account of the Development company, used for financing the Dev Team, advisers etc.

LAUNCH PLAN

  1. Early Baсkers fill the Baсkers Pool contract with liquidity.
  2. When the Backers Pool is filled, accumulated liquidity will be sent to the Bonding Curve, making the first minting transaction.
  3. Tokens, minted by the Bonding Curve, are sent back to the Backers Pool contract and divided between all parties according to the allocation table.
  4. A part of these tokens goes to the Foundation Treasury and the Team Fund.
  5. The remaining number of tokens is going to the Early Backers in accordance with their shares of participation in the Pool contract.
  6. Bonding Curve opens for the public:
    a. Option 1: immediately after the first transaction. Vesting* can be applied for the Backers’ Tokens.
    b. Option 2: within the scheduled time after the first transaction. No vesting is applied. Foundation & Backers have time to organize marketing activities for the public.

VESTING PROS AND CONS

  1. Vesting should suppress short-term speculations and price pressure caused by the early baсkers’ exits after the curve starts.
  2. After the Early Baсkers Pool starts (and maybe after a short grace period), any backer’s contribution will be vested proportionally to the time passed after the pool’s start.
    Example: a contribution that came in one day after the pool starts will be vested one day after the BC starts.
  3. Vesting may rise over-proportionally. For example, one extra day of delay => one extra week of vesting.
  4. Advantage of this scheme: any backer can choose his strategy. Speculator (unvested 1st mover) or strategic (vested second mover).
  • Vote “Yes”
  • Vote “No”

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