With agreement from PleasrDAO, we can propose a final token allocation schedule.
Please note that all percentages are approximate at time of writing and may slightly differ when it comes to execution.
The current supply looks something like this:
PleasrDAO - 45%
Community LP - 5%
Community DAO - 22%
Individual holders - 28%
When DOG was created, PleasrDAO owned 100% of the supply. This is a difficult position to fairly remove yourself from. They have recently transferred the LP to the community, and have now made other heavy concessions such that the supply becomes fairly distributed over time. Their supply allocations are listed below. Please note all percentages are approximate and may differ in reality by ±1%.
PleasrDAO is pledging 7% of the supply to airdrops. This will be transferred to the community DAO for distribution in the next two years.
PleasrDAO is pledging 7% of the supply to proportional redistribution, an alternative to burning. This will also be transferred to the community DAO for future distribution. No date is yet set for redistribution.
PleasrDAO is pledging 20% will be placed into LP positions. The structure and rules are as follows:
1). PleasrDAO will at no point sell tokens directly into the market.
2). PleasrDAO will create nine different ranged pools, in addition to their single existing pool. These ranges will exceed well past the ATH of the DOG token.
3). A pool will only be removed once the price has fully exceeded the range of the pool and reached the midpoint of the next pool. The midpoint would be equivalent to 1.5x the top of the previous range. For example, the current range, which caps at 400,000 dog per eth (0.0000025 eth per dog), would be removed when the price reaches 266,666 dog per eth (0.00000375 eth per dog). This rule is in place so that liquidity removals have no immediate impact on the market, and may not be felt at all. The idea is to only sell tokens as the price increases, while facilitating buying with the same liquidity while the price is in that range.
800,000 DOG per ETH → 400,000 DOG per ETH, 2% supply, 0.3% fee
400,000 DOG per ETH → 200,000 DOG per ETH, 3% supply, 0.3% fee
200,000 DOG per ETH → 100,000 DOG per ETH, 3% supply, 0.3% fee
(current ATH is here)
100,000 DOG per ETH → 50,000 DOG per ETH, 2% supply, 0.3% fee
50,000 DOG per ETH → 25,000 DOG per ETH, 2% supply, 0.3% fee
25,000 DOG per ETH → 12,500 DOG per ETH, 2% supply, 0.3% fee
12,500 DOG per ETH → 6,250 DOG per ETH, 2% supply, 0.3% fee
6250 DOG per ETH → 3125 DOG per ETH, 2% supply, 0.3% fee
3125 DOG per ETH → 1562.5 DOG per ETH, 2% supply, 0.3% fee
At this point we are 10% of ETH’s market cap, and can consider our job done.
This distribution of liquidity over a huge range, and the rules laid out here, create a slow but fair way for pleasrDAO to exit some of their remaining position without severe market impact. It is also conditional on the success of the token price, and facilitates liquidity far beyond what the community LP could achieve on its own.
9.85% of the supply will be locked for 4 years. This is intended to be kept by PleasrDAO for its long term holdings and use in the future.
1% of the supply will be donated to Atsuko Sato.
My proposal, as head of tokenomics, is that the community DAO pledges to match these allocations to the best of our ability:
Another 1% of the supply will be donated to Atsuko Sato.
4% of the supply will be used for airdrops. Please note that all individually mentioned airdrop methods are not set in stone and will be adjusted as best judged by the council.
Another 4% will be used for proportional redistribution.
6% of the supply will be used for future LP requirements, such as new cross chain pools. This is in addition to the LP we already manage, as was given to us by PleasrDAO. This may continue to be managed by us by our discretion to create the best liquidity environment for DOG.
5% of the supply may be used for OTC sales. This is in an effort to bootstrap strategic investors, swap tokens with other collaborating projects, or to create liquid runway for the team. All tokens sold this way will be subject to a vesting or lockup schedule.
3% of the supply is reserved. This can be used for future giveaways, and other discretionary use, such as future team payments. All tokens paid to the team this way will be subject to a minimum 1y lock or vesting schedule to avoid the previous problem of bleeding the LP.
In total, these agreements allocate the remaining 68% of the supply. After all steps are completed, the two DAOs would, for discretionary use, own an absolute maximum of just 16% of the supply.
Overall, the supply would look like this:
OTC & LP - 36%
PleasrDAO - 10%
Community DAO - 3%
Atsuko - 2%
Airdropped - 22% (5% Base, 5% TBD, 11% proportional redistribution on our L2, 1% our L2 airdrop)
Existing holders - 27%
I lay out an approximate roadmap for these distributions below:
2024
Q1
January
DAOGE sends 1% to Atsuko
PleasrDAO sends 1% to Atsuko
DAOGE deploys 3% LP on Base. As with other community LPs, this is not for the profit of the DAO but for the good of the DOG holder community at large and will not be moved unless best judged by myself and the council.
- 63% unallocated, 63% undistributed
February
Pleasr locks 10% for 4 years.
Pleasr creates pools to sell 20% of the supply.
Pleasr dedicates 14% of the supply to airdrops & redistribution.
DAOGE dedicates 8% of the supply to airdrops & redistribution.
DAOGE announces 3% reserved supply, remaining 3% future LP and 5% OTC sales in a roadmap that outlines all supply allocations and plans.
Base campaign is underway. This includes a multi-tiered airdrop, totalling 5-6% of the supply.
- Fully allocated, 58% undistributed
March
DAOGE sells 2.5% OTC, bootstrapping strategic investors.
TBD airdrop campaign; 4-5% airdropped. (this is a tentative number)
- 50.5% undistributed
Q2
DAOGE sells another 2.5% OTC.
We plan to launch a doge print/”megapixel” around this time.
- 48% undistributed
Q3
Dogechain launches as an alt-DA L2 built on the optimism stack; we bootstrap new users by airdropping at least 1% of the supply here.
We also use the low fee environment to equally redistribute DOG to all addresses proportional to their balance, using 11% of the supply. This is our alternative to burning. Note this will have a price impact; we can look at potential mitigations closer to the time.
The additional 3% future LP will have been assigned use at this point.
- 33% undistributed
Q4
Wet Doge is launched to incentivize community LP providers, strengthening liquidity.
This involves Atsuko minting a picture of Kabosu being showered, from the early days of her blog. This image is then fractionalized. The tokens can then be earned by supplying infinite range DOG-ETH to sushiswap. They have a contract that allows us to supply wet doge as an incentive token to these LPers. It is ‘mined’ by them in real time as they provide LP. You can ‘earn’ a provenance coin this way.
- 33% undistributed
2025+
- 33% undistributed. 20% or less exists in Pleasr’s pools, depending on how much has sold. After the completion of this plan, the remaining 13% may be used to the discretion of PleasrDAO and the community DAO. This amount is our end goal.
This plan of redistribution is designed, with experience and historical cases in mind, to allocate the supply in ways that strengthen the project both financially and socially. I am happy to elaborate further on this if necessary. Planned airdrop amounts may be split to different destinations as decided by the DIC; additional products like the L2, megapixels and Wet Doge may be iterated on and changed as is best seen fit.
We should hold an on-chain snapshot vote to see if the community agrees with the general outline of this plan.
