I always strongly believed that the success of the Genesis DAO is tightly coupled with the success of DAOstack. Another strong relationship belief I hold is that the success of DAOstack is strongly linked to the success of its token, and vice versa.
Added to that the mission of Genesis DAO 1.0 “to expand the DAO ecosystem through DAOstack adoption and the increasing utility of the GEN token” reinforces that original hypothesis.
One common way projects attempt to raise a token value is to do a massive airdrop, typically to every wallet holding ETH & proportionally to the ETH held. But what’s the use if those people don’t care? And if some of the wallet holders lost their keys? What if people getting a significant amount decide to dump the airdroped token? Etc.
What I propose is a sort of airdrop based on contribution made. Simply put: a default minimum airdrop to any proposal that passes (5 bucks worth of GEN), then a proportional airdrop of 2.5% if the requested funds are above 200 bucks & finally have a capped amount (25 bucks worth of GEN).
In this case I use “airdrop” to use a familiar term, but it is simply an additional contribution reward coming from the DAO wallet itself.
A few examples, proposal asking:
- 100 DAI --> you get 5 bucks of GEN
- 150 DAI --> you get 5 bucks of GEN
- 400 DAI --> you get 10 bucks of GEN
- 600 DAI --> you get 15 bucks of GEN
- 1000 DAI --> you get 25 bucks of GEN
- 1250 DAI --> you get 25 bucks of GEN
Intended consequences of this strategy:
- Added incentive to create proposals, even if the reward is low (i.e. asking for Rep only)
- The most active participants accumulate GENs
- More staking activity
- Foster cross-DAO activity if such strategy is implemented on other DAOs running on DAOstack, i.e. if implemented in DHack, more devs coming from there to Gendao
p.s. I didn’t dive into the “hows” re. calculation of the 2.5%, but essentially it can be done using KyberSwap’s services