Overview

As you are probably aware, DAO Masters is going to be migrating to a new token. In short, the driver behind this decision was for us to be able to have tokens in our treasury in order to reward active contributors, and to give us flexibility down the road should we want to mint more tokens. Over the past few weeks, we have been spending time as a community thinking about the best way to fairly distribute these new tokens. Below is our proposal for what that will look like, based on feedback and input from DAO Masters community members as well as external DAO operators.

Thanks to everyone who has chimed in with their thoughts and input, it is greatly appreciated 🙂

Proposed Distribution

We are proposing minting a total of 10,000,000 new tokens, and distributing them as follows:

• 10% to Existing token holders
• 5% to season 1 contributors (based on Coordinape results)
• 5% to season 2 contributors (based on Coordinape results)
• 5% to season 3 contributors (based on S3 compensation)
• 75% to the Treasury (our multi-sig)

Mechanically, what this will mean is that, for every 1 DAOMSTR token you hold today, you will be able to redeem it for appx. 16.49 of the new DAO Master tokens. 10% of 10,000,000 = 1,000,000. Currently, there are 60,625.25 DAOMSTR tokens. (1,000,000 / 60,625.25 = 16.49, meaning 1 old token = 16.49 new tokens).

Rationale

As we have discussed over the past few weeks, something that we want to design for is the ability for active community members to earn a fairly weighted share in governance. Thus, we want to have a relatively large amount of our token supply in our treasury, to enable us to slowly but consistently reward active contributors with these membership tokens. There have been some good discussions in the tokenomics discord channel around how exactly we want to handle the issuance of tokens each season. Namely, at what rate we want to ‘inflate’ the circulating token supply each season. The balance here is both making it so new contributors can earn meaningful governance, but without wanting to create a system that is too dilutive so to unfairly impact members who decide to take a season off. Thanks to everyone who has chimed in, there has been a ton of good thinking there (Ryan, Joer, Kagami, Chris, MJ, among others). As we discussed most recently on the community call, it is probably best to vote on the issuance on a season to season basis due to the expected variance in season scope and length.

Voting

If you are in favor of this proposed token distribution plan, please vote Approve!

If you are against this proposed token distribution plan, please vote Reject! And, if you have any particular comments, please follow up in the tokenomics channel so we can account for your concerns!