[VOTE] Before you move to Matic, stop over at AavegotchiDAO!
Frens, before the great MATIC migration happens, let’s all make a pitstop at AavegotchiDAO for two exciting votes!
In this post, we present to you two separate Aavegotchi Improvement Proposals (AGIP) — one to add a fee to the bonding curve (AGIP-2), and another to support increasing the DAICO tap to 150K (AGIP-3) to support monthly purchases of GHST from the bonding curve for future player rewards and liquidity incentives.
Full details on both of these proposals are below. Please read carefully before casting your votes!
The voting schedule will be as follows:
- January 11–18 — Both Proposals live on Snapshot for off-chain signaling + discussion
- January 18–21 — Both Proposals launch on Aragon for onchain vote
Voting on the onchain votes on January 18 comes with a huge 500 XP airdrop (250 XP per vote) for ALL claimed Aavegotchis of the owner 30 days after Aavegotchi launches on Matic. Vote now for the sake of your future Gotchi fren!
IMPORTANT: Please transfer GHST to your wallet before the JANUARY 18 balance snapshot if you intend to participate in the onchain vote!
And now, without further ado, the Proposals!
AGIP-2: Add fees to the bonding curve.
Snapshot Proposal Link:
https://snapshot.page/#/aavegotchi.eth/proposal/QmSnA43RqFEYVkkCoTexQxMxWiwznpKAUkeGafMzgnzBHg
Aragon Vote Link:
Vote begins January 18th
Proposal Summary:
The bonding curve is the main source of liquidity of GHST. Large buyers and sellers can currently buy in and out without any fees.
Our market maker offers the ability to add fees to buy and sell orders.
Multiple community members have proposed adding fees up to 0.3% to buying and selling on the curve.
This is possible to do by calling the `updateFees` function on our bonding curve, but should we?
It’s up to you, AavegotchiDAO.
Options:
- 0.3 fee for buying and selling on the curve
- 0.3 fee for only selling
- No fees (leave as is)
Any fees would automatically be transferred to the DAO Treasury address at 0xffe6280ae4e864d9af836b562359fd828ece8020 and would be considered as assets of AavegotchiDAO (separate from the tap emission, which is reserved for usage by Pixelcraft Studios).
updateFees function: https://github.com/AragonBlack/fundraising/blob/master/apps/aragon-fundraising/contracts/AragonFundraisingController.sol#L121
AGIP-3: Increase DAICO Tap from 100K DAI / month to 150K DAI / month to support monthly purchases of 50K DAI worth of GHST from bonding curve
Snapshot Proposal Link:
https://snapshot.page/#/aavegotchi.eth/proposal/QmdUFf1fd7MhhxLYNSYh8uqavwMaj2cvUy3Vh8qMYdh9jz
Aragon Vote Link:
Vote begins January 18th
Player rewards and liquidity incentives are crucial to bootstrapping the Aavegotchi ecosystem to a level where it becomes self-sustained on trading volume and economic activity.
Whenever GHST is spent in the Aavegotchi ecosystem, 33% of it is automatically sent to a burn address. Unlike most cryptocurrencies, burning GHST (except via the bonding curve) does not actually lower the total value of GHST, since that value is stored as DAI within the bonding curve.
What burning does do is trap DAI within the bonding curve, essentially increasing the reserve ratio over time, which stabilizes the price of GHST.
In order to offset the burning (which could ultimately turn GHST into a stablecoin), we advise the community to increase the tap to 150,000 DAI per month. This will help balance the reserve of the bonding curve, while also providing an extra 50,000 DAI per month that will be put towards player rewards and liquidity incentives.
Our recently-announced Rarity Farming player reward bonus of 50,000 GHST is a great example of this, as is the Matic liquidity incentive of 50,000 USD we are offering starting January 29.
In Summary
These improvement proposals are part of a wider tokenomics strategy and it’s reasonable to want to analyse all aspects that go into sound decision making.
AGIP-2 has already seen a decent amount of discussion in the Discord and merits being elevated to this Snapshot vote. The concept for AGIP-3 was developed more internally as a necessary ying to the 33% burn mechanism’s yang.
We understand that some in the community may be skeptical of the proposed changes, given the recent price activity of GHST, but we wouldn’t be introducing them for votes unless we were confident that the benefits are significant, while the risks are minimal.
The core team endorses both AGIP-2 and AGIP-3.
Next Steps
Off-chain signaling and discussion is now live on Snapshot. Jump in!
AGIP-2: https://snapshot.page/#/aavegotchi.eth/proposal/QmSnA43RqFEYVkkCoTexQxMxWiwznpKAUkeGafMzgnzBHg
AGIP-3: https://snapshot.page/#/aavegotchi.eth/proposal/QmdUFf1fd7MhhxLYNSYh8uqavwMaj2cvUy3Vh8qMYdh9jz
You are also encouraged to join the conversation happening in our Discord’s dedicated DAO channel.
Onchain voting for both Proposals begins on January 18th and lasts for 72 hours. The required quorum for each proposal to pass is 8% of GHST’s total supply, or around 1.8 million GHST at current prices.
If you plan to participate, please send the amount of GHST you’d like to vote with to your personal wallet (not Binance or the GHST Staking contract) before the January 18 8PM SGT snapshot.
Remember: Voting on the onchain votes from January 18–21 comes with a huge 500 XP airdrop (250 XP per vote) for ALL claimed Aavegotchis of the owner 30 days after Aavegotchi launches on Matic. Vote now for the sake of your future Gotchi fren!
We understand that the community may be skeptical of increasing the tap, given the recent price activity of GHST, but know that 100% of the 50,000 DAI increase will be used transparently for player rewards and liquidity incentives. If the change is approved, we will announce the purchase schedule swiftly after.
Thank you for your participation in our growing ecosystem, and we look forward to engaging with everyone and answering any questions you have about the proposals.
Stay spooky frens!
Aavegotchi Team
