The Bolshevik's Gambit fork with Revolutionary Opening Price and Iron Curtain Conviction Voting (simulation 10 million WxDAI in, 1 million TEC out)

[tecparamsbot]

What is the overall Commons Configuration strategy?

This is not a proposal for the weak willed.

We are charting out into new territories of ideology, coalescing into forms of governance and economics. We have rallied a strong community around our cause with our Trusted Seed. We should be confident in our cultural build to guide us to where we need to go without imposing technical red tape on our primary revolutionaries.

We have to recognize that the TEC at launch will not be same force as it will be in 6 months. We can expect to expand and mature with time and our post-launch settings will adjust to reflect our evolution. I have outlined envisioned changes in this proposal.

A low opening price reduces the sell pressure once we go post token freeze, likely adhering hatcher's to our mission rather than salivating like wild beasts over the token price. However newcomers will want to take part and the buy pressure with such a low opening price will be considerable. with an ample entry tribute we can hope to secure a further amount of funding, while slightly dissuading sells.

Tao Voting and Conviction Voting is reasonably agile, which is what any radical movement needs. We can hope to adjust our settings as our Commons cools off post-revolution.

FORK THIS PROPOSAL (link)

Summary

Module 1: Token Freeze & Token Thaw

Parameter	Value
Token Freeze	12 Weeks
Token Thaw	52 Weeks
Opening Price	1 wxDAI

Module 2: Augmented Bonding Curve

Parameter	Value
Commons Tribute	70.00%
Entry Tribute	8.00%
Exit Tribute	10.00%
*Reserve Ratio	19.34%

*This is an output. Learn more about the Reserve Ratio here.

Module 3: Tao Voting

Parameter	Value
Support Required	88%
Minimum Quorum	8%
Vote Duration	6 day(s)
Delegated Voting Period	3 day(s)
Quiet Ending Period	2 day(s)
Quiet Ending Extension	3 day(s)
Execution Delay	1 day(s)

Module 4: Conviction Voting

Parameter	Value
Conviction Growth	7 day(s)
Minimum Conviction	4.0%
Spending Limit	18.0%

Module 1: Token Freeze and Token Thaw

Strategy:

Revolutions happen quickly. We have supreme confidence in our plan to create an amazing Commons and generate value. 3 months Freeze is a reasonable amount of time in crypto to hold tokens. That being said, a year of Thaw means that TEC holder's will be very unikely to sell their Tokens for a while since so little will be available. If they intend to sell they will wait and speculate a bit longer.

Taking this into consideration as well we have to "Trust" our trusted seed. These Hatchers are not likely to sell en masse anyway unless we really mess up.

Parameter	Value
Token Freeze	12 Weeks
Token Thaw	52 Weeks
Opening Price	1 wxDAI

Hatcher's TEC Release Schedule

This is the release schedule for TEC that was given to Hatchers. Their TEC will start out frozen and then slowly become liquid according to the graph above.

Token Release Timeline

Duration	% of Tokens Released	Price Floor of Token
3 months	1.92%	0.98 wxDAI
6 months	26.92%	0.73 wxDAI
9 months	51.92%	0.48 wxDAI
1 year	76.92%	0.23 wxDAI
1.5 years	100.00%	0.00 wxDAI
2 years	100.00%	0.00 wxDAI
3 years	100.00%	0.00 wxDAI
4 years	100.00%	0.00 wxDAI
5 years	100.00%	0.00 wxDAI

Module 2: Augmented Bonding Curve (ABC)

Strategy:

We're coming to realize we'll need a good chunk of money to kick-start our vision and to adequately reward contributors and fund WGs and projects. This leaves us well over 800k to ignite the revolution.

A low opening price is fine because Hatcher's are true believers in the cause, in the collective well being of the Commons and spreading its ideology. Even with a low initial balance the reserve ratio is at a healthy amount, this means that as our supply grows we can count of having lower amounts of price slippage

Strong tributes in the beginning will test the resolve of our new revolutionistas and penalize the feeble-willed who abandon our cause early. By having higher tributes we can hope to capture additional funding from the hype train generated by the Commons Upgrade.

Once our revolution is successful and our provisional government is established we can put our Tao Voting parameters to the test by lowering the tributes to healthier economic levels (3, 3). I envision this happening within 3-6 months.

Parameter	Value
Commons Tribute	70.00%
Entry Tribute	8.00%
Exit Tribute	10.00%
*Reserve Ratio	19.34%

*This is an output. Learn more about the Reserve Ratio here.

Allocation of Funds	wxDAI
Common Pool (Before Initial Buy)	882856.50
Reserve (Before Initial Buy)	378367.07
Common Pool (After Initial Buy)	902856.50
Reserve (After Initial Buy)	608367.07

TEC Price vs ABC Reserve Holdings

The ABC mints and burns TEC tokens, the price of the TEC token is dependent on the funds that is held in the Reserve. This graph shows how the ABC's Price for TEC tokens changes with the ABC's Reserve Balance. The Initial Buy that will happen at launch is highlighted.

Example Transaction Data

Tx	Reserve	Total Supply	Price	Amount In	Tribute	Amount Out	New Price	Slippage
0	378367.07	1956421.69	1.0	250000.00 wxDAI	20000.0	188202.31 TEC	1.47	18.17%
1	608367.07	2144624.0	1.47	5000.00 wxDAI	400.0	3126.61 TEC	1.48	0.30%
2	612967.07	2147750.61	1.48	100000.00 wxDAI	8000.0	58877.81 TEC	1.65	5.56%
3	704967.07	2206628.42	1.65	3000.00 TEC	395.34	4546.39 wxDAI	1.64	0.28%
4	700025.34	2203628.42	1.64	10000000.00 wxDAI	800000.0	1474666.55 TEC	13.92	73.67%
5	9900025.34	3678294.96	13.92	1000000.00 TEC	638446.5	7342134.74 wxDAI	3.71	42.65%

ABC Overview

Reserve (wxDai)	Supply (TEC)	Price (wxDai/TEC)	Market cap
10,000	968,981	0.05	51,717.70
50,000	1,322,758	0.20	258,545.47
100,000	1,512,506	0.34	517,080.03
200,000	1,729,477	0.60	1,034,149.49
300,000	1,870,553	0.83	1,551,219.10
400,000	1,977,574	1.05	2,068,289.62
500,000	2,064,785	1.25	2,585,357.59
600,000	2,138,889	1.45	3,102,426.15
700,000	2,203,614	1.64	3,619,495.45
800,000	2,261,263	1.83	4,136,568.61
900,000	2,313,363	2.01	4,653,636.67
1,000,000	2,360,984	2.19	5,170,707.02
1,250,000	2,465,104	2.62	6,463,380.51
1,500,000	2,553,575	3.04	7,756,051.99
1,750,000	2,630,850	3.44	9,048,730.89
2,000,000	2,699,675	3.83	10,341,405.52
2,500,000	2,818,731	4.59	12,926,751.69
3,000,000	2,919,894	5.31	15,512,096.71
3,500,000	3,008,253	6.02	18,097,449.37
4,000,000	3,086,952	6.70	20,682,792.17
5,000,000	3,223,087	8.02	25,853,493.31
7,500,000	3,486,002	11.12	38,780,218.79
10,000,000	3,685,449	14.03	51,706,956.23
15,000,000	3,986,081	19.46	77,560,445.52
20,000,000	4,214,139	24.54	103,413,904.40
50,000,000	5,031,176	51.39	258,534,777.65
100,000,000	5,752,915	89.88	517,069,709.39

Module 3: Tao Voting

Strategy:

Revolutions need to be agile as well. For this we should aim for high consensus, short-er duration.

Tao Voting might not interest everyone, but that's why we have delegates. It should be reasonable to expect high turnout for votes since voting power should either be used or delegated, not sitting idle, this is not how revolutions are made!

A quick-er vote duration means we could wrap up and execute votes within one week. If there's any contention we add ample time for more participation.

A greater execution delay however allows our economy's participants to react to any potential changes to its configuration before being implemented.

Parameter	Value
Support Required	88%
Minimum Quorum	8%
Vote Duration	6 day(s)
Delegated Voting Period	3 day(s)
Quiet Ending Period	2 day(s)
Quiet Ending Extension	3 day(s)
Execution Delay	1 day(s)

Tao Voting Timeline From Proposal To Execution

This shows how the timeline stacks up for yes/no time based votes that can change the configuration after launch.

Timeline Data

# of Quiet Ending Extensions	No Extensions	With 1 Extension	With 2 Extensions
Time to Vote on Proposals	6 days	9 days	12 days
Time to Review a Delegates Vote	3 days	6 days	9 days
Time to Execute a Passing Proposal	7 days	10 days	13 days

Module 4: Conviction Voting

Strategy:

With these settings we'll need to optimize voter engagement, even humble requests in the range of 15-35k will need an exceptional amount of tokens staked if we assume to have good engagement from hatchers. this build also protect us adqeuately from small proposals passing under the radar

Parameter	Value
Conviction Growth	7 day(s)
Minimum Conviction	4.0%
Spending Limit	18.0%

Minimum Percent of Voting Tokens Needed to Pass Funding Requests

This shows how the minimum percent of tokens needed to pass proposals after 2 weeks varies with the percent of the Common Pool funds being requested.

Example Funding Request Data

Proposal	Requested Amount (wxDAI)	Common Pool (wxDAI)	Effective supply (TEC)	Tokens Needed To Pass (TEC)
1	1,000	100,000	1,500,000	67266
2	5,000	100,000	1,500,000	115029
3	25,000	100,000	1,500,000	Not possible
4	1,000	750,000	1,500,000	60898
5	5,000	750,000	1,500,000	64704
6	25,000	750,000	1,500,000	90371
7	35,000	900,000	1,500,000	97627
8	15,000	900,000	1,500,000	72869
9	40,000	700,000	2,000,000	171725
10	1,000	700,000	2,000,000	81285

FORK THIS PROPOSAL (link)

Parameter Definitions

Token Freeze and Token Thaw

• Token Freeze: 12 weeks, meaning that 100% of TEC tokens minted for Hatchers will remain locked from being sold or transferred for 12 weeks. They can still be used to vote while frozen.
• Token Thaw: 52 weeks, meaning the Hatchers frozen tokens will start to become transferable at a steady rate starting at the end of Token Freeze and ending 52 weeks later.
• Opening Price: 1 wxDAI, meaning for the initial buy, the first TEC minted by the Augmented Bonding Curve will be priced at 1 wxDAI making it the price floor during the Token Freeze.

Augmented Bonding Curve (ABC)

• Commons Tribute: 70.00%, which means that 70.00% of the Hatch funds (882856.50 wxDAI) will go to the Common Pool and 30.00% (378367.07 wxDAI) will go to the ABC's Reserve.
• Entry Tribute: 8.00% meaning that from every BUY order on the ABC, 8.00% of the order value in wxDAI is subtracted and sent to the Common Pool.
• Exit Tribute: 10.00% meaning that from every SELL order on the ABC, 10.00% of the order value in wxDAI is subtracted and sent to the Common Pool.

Tao Voting

• Support Required: 88%, which means 88% of all votes must be in favor of a proposal for it to pass.
• Minimum Quorum: 8%, meaning that 8% of all tokens need to have voted on a proposal in order for it to become valid.
• Vote Duration: 6 day(s), meaning that eligible voters will have 6 day(s) to vote on a proposal.
• Delegated Voting Period is set for 3 day(s), meaning that Delegates will have 3 day(s) to use their delegated voting power to vote on a proposal.
• Quiet Ending Period: 2 day(s), this means that 2 day(s) before the end of the Vote Duration, if the vote outcome changes, the Quiet Ending Extension will be triggered.
• Quiet Ending Extension: 3 day(s), meaning that if the vote outcome changes during the Quiet Ending Period, an additional 3 day(s) will be added for voting.
• Execution Delay: 1 day(s), meaning that there is an 1 day delay after the vote is passed before the proposed action is executed.

Conviction Voting

• Conviction Growth: 7 day(s), meaning that voting power will increase by 50% every 7 days that they are staked behind a proposal, so after 12 days, a voters voting power will have reached 75% of it's maximum capacity.
• Minimum Conviction: 4.0%, this means that to pass any funding request it will take at least 4.0% of the actively voting TEC tokens.
• The Spending Limit: 18.0%, which means that no more than 18.0% of the total funds in the Common Pool can be funded by a single proposal.

Advanced Settings*

Parameter	Value
HNY Liquidity	100 wxDAI
Garden Liquidity	1 TEC
Virtual Supply	1 TEC
Virtual Balance	1 wxDAI
Transferable	True
Token Name	Token Engineering Commons
Token Symbol	TEC
Proposal Deposit	200 wxDAI
Challenge Deposit	400 wxDAI
Settlement Period	5 days
Minimum Effective Supply	1.0%
Hatchers Rage Quit	60000 wxDAI
Initial Buy	250000 wxDAI

*Learn more about Advanced Settings on the TEC forum

FORK THIS PROPOSAL (link)