Read the latest progressive ownership optimization model (GOO) proposed by Paradigm in one article

链捕手

特邀专栏作者

2022-09-07 06:54

This article is about 1872 words, reading the full article takes about 3 minutes

How does GOO solve the problem of alternative token distribution for NFT projects?

Original title: "GOO (Gradual Ownership Optimization)》

Original Author: Dave White & Frankie, Paradigm

Original compilation: Biscuit, chain catcher

Original compilation: Biscuit, chain catcher

Today, Paradigm research partner Dave White and research assistant Frankie proposed a Gradual Ownership Optimization (GOO) model to solve the problem of alternative token distribution for NFT projects. The following is part of the compilation and arrangement of the article by Chain Catcher.

At present, there are two main ways for NFT projects to issue alternative tokens:airdrop.
At a certain point in time, all NFT holders receive fungible tokens proportional to the number of NFTs they hold.Constant release.

Each NFT holder receives a constant amount of tokens over time.

One method of constant release is staking, where NFT holders lock their NFTs in a smart contract and receive a certain amount of tokens each day.

Another method similar to constant release is Play to Earn, where users who own or have access to a given NFT can play the game and earn a certain number of tokens per day.

In both cases, over time, the number of people who hold NFTs may be very different from the number of people who hold fungible tokens.

In the case of constant release, since fungible tokens are issued at a constant rate, newly issued tokens account for a smaller and smaller proportion of the total supply, and the ownership represented by NFTs and fungible tokens cannot grow Reverts to consistency over time. Additionally, no matter how many fungible tokens a user owns, there is no incentive to match it with a comparable number of NFTs, or vice versa. Once the groups of NFT and token holders diverge, there is nothing to realign their relationship.

first level title

GOO Solution Use Cases

Upcoming NFT project Art Gobblers will issue an ERC-20 token called Goo. The more Goo a Gobbler NFT holder has, the faster it can generate Goo. This means that the total supply of Goo is increasing every day, from thousands to millions or more.

Hoarding Goo by users who don't hold any Gobbler NFTs is a very bad strategy, as everyone else will get Goo more quickly, and non-holders' share of the total Goo supply will rapidly decrease to zero. On the other hand, if a user who holds multiple Gobblers NFTs owns only a small amount of Goo, his Goo production will fall behind compared to other players.

Assuming that a user holds Gobbler NFT and its total Goo production capacity accounts for 1% of the total supply, if the user never withdraws his NFT and Goo, he will always get at least 1% of the total Goo supply. This ensures that NFT holders have long-term control over their share of Goo.

Mathematically, the initial Goo issuance is equal to:

A single Gobbler NFT has a mult multiplier representing the base acquisition speed of Goo. We use differential equations to automatically combine Goo issuances over time, and also automatically balance issuance among Goo's if a user holds multiple Gobblers.

While designed for Art Gobblers, the mechanism works for any NFT ecosystem with fungible tokens. It aligns NFTs and token holders while ensuring the priority importance of the NFT itself.

first level title

Overview of GOO mechanism

The addresses of all Art Gobbler NFTs map Goo into the Goo tank associated with the account. The owner of this address can add or remove Goo from this container at any time.

Art Gobblers acquire Goo as quickly as the square root of the Goo in their container. Each Gobblers has its own mult multiplier which describes the base acquisition speed of Goo.

first level title