Merge ANJ with ANT: 0.02 ANT/ANJ Proposal

Summary

If approved by ANT holders, this proposal will result in an offer to ANJ holders to perform a one-way conversion of ANJ to ANT at a rate of 0.02 ANT per 1 ANJ. To take advantage of this offer, ANJ holders must commit to locking and activating the ANT they receive in Aragon Protocol for a period of one year.

Motivation

The recent discussions have demonstrated the strength of the $ANJ community and its conviction in the Aragon Court thesis. While $ANT holders ultimately have governance power over the Court, we think it’s important to at least understand $ANJ holders’ views and use these to inform $ANT voting. From our perspective, the worst case outcome for both sides is a contentious $ANJ “fork” in which the community is split and Aragon Protocol now has a competitor with the same name (Aragon Court Classic?). Avoiding this outcome is crucial and, our research indicates, easily achievable.

We think $ANJ jurors who remain committed to the Court vision post merger are more valuable and are worth paying a higher premium to provide they convincingly signal this commitment. Projects such as Synthetix have exemplified the positive effects that locking up users can have on a community and on bootstrapping a supply-side and we feel there are lessons to be learned here. $ANJ holders who want to exit the system should still be allowed to do so and compensated for the upside they’re giving up, but this should entail a much lower premium.

As such, we seek to give $ANJ holders a chance to express their views and signal what premium they would require in order to convert and lock up their $ANJ to $ANT for 12 months. Our goal is to avoid a splintered community and keep as much as possible of the $ANJ community as part of the future of $ANT.

Specification

• New $ANT will be minted to offer a conversion price of 0.02ANT/ANJ to $ANJ tokenholders who take the one-way conversion offer and lock the ANT they receive and activate it in Aragon Protocol for a period of 12 months.

• The Aragon Association will schedule a follow-up vote by $ANT holders on Monday November 23, 2020 lasting 48 hours to decide what conversion rate $ANJ holders who take the conversion offer but do not lock and activate their $ANT will receive. There will be three options, each option put to a separate vote with “Yes” or “No” as the response. The option that gets the most “Yes” votes AND has more “Yes” than “No” votes will win. A tie will be broken by a vote of the Aragon Association Board of Directors + one advisor. The options that will be put to a vote are:

  • New $ANT will be minted to offer a conversion price of 0.015ANT/ANJ to $ANJ tokenholders to convert their $ANJ to $ANT with no lock + activation requirement.
  • New $ANT will be minted to offer a conversion price of 0.0175ANT/ANJ to $ANJ tokenholders to convert their $ANJ to $ANT with no lock + activation requirement.
  • New $ANT will be minted to offer a conversion price of 0.02ANT/ANJ to $ANJ tokenholders to convert their $ANJ to $ANT with no lock + activation requirement.

ANJ poll results

https://snapshot.page/#/anj/all

Discussion

https://forum.aragon.org/t/proposal-next-steps-for-anj-holders/2478