$DOWN: A Next Generation Social Token
$DOWN (Goose Feathers 2.0) is being issued to replace $FTHR (Feathers), the ‘social currency’ of BruceTheGoose, an NFT Artist, Collector, and Entrepreneur. $FTHR was inititally deployed in April 2020, through the social currency platform Roll. In mid-March of this year, Roll suffered a security breach which resulted in losses upwards of six million USD in various social/community tokens, which were immediately liquidated; which caused further economic turmoil within the effected communities by crashing their token value. Some examples of the affected community tokens include $MORK by the artist duo Hackatao, $WHALE by NFT superfan WhaleShark, $FWB by the “Friends With Benefits” community initiative, and $SKULL by the artist Skeenee; as well as over a dozen others.
Over the several weeks since the incident, the team at Roll has been relatively quiet on social media and other communication channels. While there has been direct contact between Roll staff and leaders of some of the most heavily impacted communities, there has been little to no communication with smaller communities and independent creators, aside from a single email stating that the team would inject approximately $500k USD (under 10% of direct losses) into liquidity for the communities that were affected. Due to the lack of communication, the knowledge that the team hasn’t been able to determine what actually happened and the realization that several million dollars was left in a hot-wallet with sub-par security measures, many communities that were affected by the hack, and even several who weren’t, have decided to cut their losses and deploy new tokens; in some cases, such as with $FWB and $FTHR, the new tokens are being airdropped to pre-existing community members who were holding the tokens issued by Roll.
Enter $DOWN; a next-generation social token to reward and incentivize collectors, followers, fans etc. of the NFT artist known as BruceTheGoose. Taking inspiration from the $WHALE vault and the $SKULL Collection, the value of $DOWN will be supported not only by the skill, reputation, and professional growth of BruceTheGoose, but also by the same factors applied to other artists, brands, projects and independent creators that accept $DOWN as a form of payment for NFT’s /services offered or open liquidity pairings with $DOWN and their own token(s). What makes Goose Feathers 2.0 unique as a social token isn’t the concept of being backed by reputation/success, or by the tangible digital assets within its creators collection; that’s becoming a fairly common basis of underlying value in the current tokenized economy. The reason that $DOWN is (*to our knowledge) the first token of its kind to ever be created, is that it will be directly tied to the value of the stated underlying assets.
To accomplish this, BruceTheGoose will create a multi-network wallet, which exists within an ERC-721 NFT. Details about these NFT’s can be seen in this video, (below) and an example of a live vault (originally meant to serve as supporting value for $FTHR) can be seen here. The vault-wallet (aptly named the $DOWN Deposit Box) will be used to hodl 1st editions of the artist’s multiple-edition works (and select single edition exclusives); assorted items from their extensive personal collection, as well as occasional deposits of varying other tokens.
To further allow the community to be a part of this new paradigm in social money, the address will be publicly visible to allow for anyone to deposit tokens or NFTs in the interesting of increasing the overall value of $DOWN. It would even be possible to set the public address for the $DOWN deposit box as the receiving address for OpenSea’s royalty structure, or create a ‘hat’ on rDAI that would direct accrued interest to the NFT instead of the user’s wallet or Maker vault. The overall possibilities are vast; and many are likely to be experimented with over time. More important than what CAN be done though, is what WILL be done. To directly associate the value of the deposit boxes stored assets (and potential income stream) the NFT will be “sharded” via the Niftex platform, which will then deploy an ERC-20 to represent fractional ownership of the NFT. The resulting ERC-20 token will be $DOWN; and will be actionable in the sense that governance has been baked into the new deployment of the Niftex protocol along with updates to the buyout function. Hopefully the buyout clause won’t become a recurring source of frustration, but the simple fact that it’s available serves to add demand to $DOWN, and the option to enact governance in relation to the underlying NFT makes for an entirely new realm of possibility. As one example: A hodl’er of $DOWN could create a proposal to utilize circulating tokens to acquire a rare NFT into the vault, or to sell a certain asset from within the vault to open a liquidity pool on an additional platform.
Overall, $DOWN is a social experiment, not an ivestment vehicle, so the hope is that its existence, and the experimentation involved, will serve as an inspiration to other creators, token issuers, and community economies as the mainstream world continues to rapidly adopt (or at least pay attention to) the world of cryptocurrencies, DeFi, and NFT’s that continues to innovate at mach speed. To conclude, some *planned* strategies for $DOWN have been listed; but are all of an experimental nature and therefore subject to change.
Upon deployment, 10% of the total supply of $DOWN tokens will be sent to the wallet NFT they are fractionalized from. The idea is this: if the value of the combined assets in the vault increases, it should cause the market value of $DOWN to increase as well, thereby increasing the value of the vault that holds 10% of the supply… this might be some serious degenomics, but it should be interesting at the least.
- Purchases from BruceTheGoose using $DOWN as payment will have 25% of the sale donated to carbon offset and reforestation initiatives.
- Liquidity providers will be able to look forward to earning rewards in the form of NFT’s as well as additional $DOWN or other ERC-20 tokens when staking their LP tokens.
- LP farming, NFT redemption, etc. will be present on a multi-chain system, by leveraging various platforms and strategies to create a market for $DOWN on Eth Mainnet, Polygon, xDAI and possibly FUSE or even BSC
- Further experimentation is encouraged and will likely be rewarded (based on merit and originality)
MORE INFO : http://brucethegoose.tilda.ws/down
[the site is still being built, don’t mind the broken links]
