Tokenomics — FounderJabba Series
FounderJabba’s much-anticipated tokenomics write-up.
Long ago, in a foreign land, a wise man made a statement:
That statement turned out to be not very wise, and turned my DMs into a warzone. So in this article, I’ll be detailing the tokenomics strategies for some of the SalsaDAO ecosystem’s tokens.
SalsaDAO Token ($sDAO)
What is the mission of SalsaDAO? After its surprising rise in popularity after releasing the first yield farm to Tezos mainnet, we decided to reflect and find a true mission for SalsaDAO, as we weren’t just a meme DAO anymore.
The good thing is that we actually had product out before our token release, so the community cut us some slack on the long-term roadmaps and tokenomics - but now we’re here to repay that trust and reward long-term holders for their patience.
I see SalsaDAO as a company, and you’ll see this concept well-reflected in many of the decisions we’ve made for the future of $sDAO. My mission as founder of SalsaDAO is to put the collective on a long-term path to success in the Tezos ecosystem. This means providing special benefits to $sDAO holders, profit sharing to those who have invested, and building up a healthy DAO treasury of funds, tokens, and NFTs.
Goal-Setting
The overarching goal for the next year of development is to achieve a 51/49 split of my holdings and the community holdings. The target for full 50/50 ownership of SalsaDAO is whenever I see our logo on a soccer teams shirt, or otherwise advertised IRL somewhere. Simply because that would be cool.
The path to 51/49
During our tokenomics review we realized that the initial $sDAO ecosystem was flawed, and we have refactored the strategy to reflect long-term success of the $sDAO token. We see those initial farms as our Initial DAO Offering. We can summarize the numbers as follows:
- Total Supply: 50m $sDAO
- Total dispensed in “IDO” Farm: ~15m $sDAO
- Total left until 51/49 ownership: ~10m $sDAO
Following that list, we have ~10m $sDAO to go before hitting 51/49. So the plan will be to aim for 2m $sDAO distributed per release. This is the major shift, $sDAO is going scarce.
Around 2 million $sDAO shares will be distributed over 3 months of each release (Summer, Fall, Winter, Spring). The last 2m $sDAO will be earmarked for collabs, surprise bonuses, and for gifting to the SalsaDAO Treasury.
Actions that provide meaningful value to SalsaDAO as a whole will be rewarded with $sDAO; this protects current token holders, as giving the tokens out too quickly will decrease its value quickly. It also protects SalsaDAO by making sure shares are only given for work that benefits SalsaDAO. Liquidity pools are the natural fit for “meaningful work” that can be done for SalsaDAO. More details on the meaningful work in the farms section.
Farms
The overarching farm strategy is to look at them as a stabilizing tool, not the main feature of what we’re doing at SalsaDAO. They are generally used to smooth out the experience of interacting with GC/SalsaDAO affiliated dApps. The list of the Summer Release farms, and their justifications are below:
- $GSAL LP -> $sDAO. This will stabilize the Quipuswap $GSAL LP and make trading $GSAL smoother during the Summer Release. $sDAO will be rewarded for providing liquidity to the XTZ/$GSAL pair.
- $sCAS -> $sDAO. This will stabilize the sCasino Bankroll Pool and allow for higher bets during the Summer Release. $sDAO will be rewarded for simply staking your $sCAS shares, since they are a symbol of your stake in the sCasino.
- $sDAO -> $GSAL. Here is an example of an $sDAO bonus farm. Simply stake your $sDAO and you will continuously get free $GSAL for betting or investing in the house bankroll.
Green Salsa ($gSAL/$GSAL)
Green Salsa will be the premiere token for the Summer Release. This is a utility token, and I want to take a chance to clearly outline our utility token strategy. First of all, utility tokens will be volatile. Utility tokens will always start out cheap, so be on the lookout as the price may stabilize much higher. Utility tokens are the main vehicle for profit sharing; as the creator of said utility tokens, I get paid in these utility tokens. My job as a developer is to distribute them fairly, so let’s go to the $GSAL breakdown.
Total Supply: 100m $GSAL
- 20m Airdrop to $sDAO holders. HODLers, Quipi LP stakers, Tz10x Stakers, you do not have to pull liquidity because I can read those ledgers manually. But please claim any $sDAO rewards from the $RSAL farm by Wednesday May 5th, that’s the only place I can’t figure out people’s $sDAO amounts because they aren't claimed.
- 20m Casino Bankroll Pool. This will stabilize the sCasino BP and allow for higher bets upon release.
- 20m Earmarked for Quipuswap LP, future addition to TacoShop, and SalsaDAO Treasury
- 20m $sDAO Bonus Farm (Free bets)
- 20m Genius Contracts holdings
n.b. my $sDAO is exempt from the airdrop and bonus farms.
As you can see, the 20m $GSAL profit that GC makes is exactly the same as the total profit for $sDAO holders via airdrop. $sDAO holders actually get even more $GSAL than GC does overall, because of the bonus farm.
Thank for reading our tokenomics deep dive. Want more GC content?
