Aavegotchi

Author: Dr Wagmi#6629 Gotchi ID: 16635 Discourse Thread: https://dao.aavegotchi.com/t/the-forge-aalloys-essence-and-smithing-a-massive-proposal/4432/48 Forge Litepaper: https://docs.google.com/document/d/1sKEmMJcwAfmIsysr1NP2D-EGvxKBtzZls7iDtM6gGXg/edit?usp=sharing

Aalloy will serve as the tokenization of the entire wearables market. It is one of the key ingredients in Forging and allows for fluid movement between wearables of different traits and rarities. This proposal seeks to clarify how much Aalloy will be required to Forge wearables of the 6 different rarity tiers. The Forge team proposes that we employ the FRENS ratio for Aalloy requirement which would require the following amounts of Aalloy to forge each rarity tier:

For context, wearables have been distributed using multiple methodologies, two of which had built-in ratios. 52.6% of all wearables have been distributed via raffles utilizing the FRENS ratio, 24.3% via the Maall sales which had different value ratios than FRENS, 18.6% via GBM which utilized market value, and the other 4.5% via miscellaneous methodologies (Aagent/OKEX). Utilizing the FRENS ratio will likely provide the most intuitive and smooth user experience as the majority of wearables were distributed using this methodology. It provides a balance between utilizing Item Cap ratios which would only require 200 commons worth of alloy to forge a godlike and the Maall ratio which would require 2,000 commons worth of Aalloy. The marginal value for valuable slots and rarity tiers will be captured by Frames with some, but likely less, captured by the corresponding schematic. See the “Distribution Ratios” tab of the Forge Google Sheet for comparison between the Distribution ratios and their corresponding GHST/Aalloy estimate : (https://docs.google.com/spreadsheets/d/1fFPZr2QE1ngpGbnfQQQS1gDxWLvMVJ6j7iNTwjtzrmU/edit?usp=sharing)

This is one of a series of signal proposals necessary in creating and deploying the Forge. These signal proposals will shape the direction and creation of Forge mechanics and be combined into a Core Proposal after the Forge is complete and ready to deploy if the DAO accepts. Some essential design decisions have received broad support from the community and Forge creators and will not be submitted for a DAO Signal Proposal. If anyone in the community would like to make a separate signal proposal shaping Forge design, they are welcome to do so. The following are the design assumptions which will be implemented in the Forge unless an external Signal Proposal decides otherwise:

• Essence will not be airdropped to those who have previously sacrificed gotchis
• Face, eye, and pet wearables will be codified as less abundant per the Framework. The Framework will be a separate DAO proposal outlining Frame distribution
• The Forge will not be a Gotchiverse installation
• No individual trait will or should be codified as less abundant
• The Forge will have an initial 10% Aalloy fee. This can be adjusted by future DAO proposal
• Aalloy, Essence, and Schematics will be ERC-1155 tokens
• All gotchis will provide an equal 1000 essence when sacrificed
• Essence will not be returned to the user after smelting a pet or Godlike wearable
• The schematic will be returned after smelting a wearable

Thanks all - The Forge Team