HVND Token Upgrade

Summary

Deploy an upgraded HVND token contract.

Abstract

In November, BLVKHVND's LP program ended and we hosted a set of discussions around an upgraded token that would yield better opportunities to set up crowdfunds and other means to build and sustain value for the DAO's community. Over the next few days, we will offer a set of discussions to further discuss the terms of the contract.

• 1/2/22 – HVND 2021 Recap Town Hall
• 1/5/22 – HVND 2022 Roadmap Outline + Mirror
• 1/7/21 – HVND Community Jam

This proposal looks to lock in the terms of the contract, along with the allocations, logistics and breakdowns.

Motivation

As BLVKHVND starts the New Year, it’s important to build the treasury with a token built for longevity that enables expansion and incentivizes active members of the community.

Since the inception of the HVND token contract from our initial crowdfund on Mirror, we were at the mercy of token that would be minted upon the contributions we could secure. A stroke of luck afforded us a much larger token pool than we originally planned but our token would forever be bound by a crowdfund contract limiting our capabilities to leverage that token in a multitude of ways. In November, we learned of plans for Mirror to upgrade their suite of crowdfund token contract tools in the near future. This development affords us a number of strategic advantages when deciding the future of the token, including:

The ability to upgrade the token, decoupling it from the initial amount generated from the crowdfund—essentially allowing us to decide whether we would like to increase or decrease the total supply. The ability to launch future crowd-fund initiatives with a smaller, more focused scope. For example, a treasury diversification raise allowing HVND holders and the general community to buy into a larger position, or a raise tailored to VCs at a higher rate. Being able to dynamically tailor these crowdfunds with a new contract would allow us to contextualize these raises in a way that is fair to the community at large, while minimizing undue impact on governance and the market.

The above examples are not the only scenarios on the table, but the impetus for upgrading the token and utilizing a more advanced contract & tools is the ability to more effectively raise funds from the community, angel investors, and VC partners. This could provide exploratory capital to hit the ground running while we better define future means of generating revenue in-house.

This proposal will decide the token’s future with the DAO:

• Upgrading the token but keeping the same supply
• Upgrading the token but adjusting the supply

Specifics

Logistics Total Supply: 1,350,620 HVND Voting: Upgrade (same supply) | Upgrade (different supply) | No Upgrade (same supply)

Option One: Upgrading the token contract with Mirror but keeping the supply the same (1,350,620 HVND). This is the simplest action we can take. It doesn’t disrupt the current means of token distribution (found here: https://blvkhvnd.mirror.xyz/ZbaiH73szr-vD-ystrI4aW2Q52OhbLx5KHETEVS8VhM) and tokens would be reissued 1:1.

Option Two: Upgrading the token contract with Mirror but changing the supply presents us with an opportunity, but a challenge. The opportunities are for those who are interested in tokenomics to offer ideas to improve upon our means of distribution and long-term strategies around token usage. The challenge is that we need to spend adequate time planning the alternative.

Means of Distribution: Snapshot will be captured of all token addresses on Jan 1, 2022. Airdrop will be sent to members, members burn old tokens.All members can request a reimbursement for burned tokens by sending a link to @sirsu in the BLVKHVND discord to be eligible for reimbursement.

Liquidity Provisioning: For our LP providers, we appreciate your initial willingness to participate in our LP program last Fall and contributed to sustained market value for many of our early members and built a means for new members to join the HVND. Without you all, we lose a vital on-ramp to our community. As such, we want to ensure that our LP members are taken care of.

First order of business is having current LP providers send their liquidity to the DAO. Those members will receive HVND/ETH LP shares pro-rata. For those that have exited and folks who want to provide LP, the remaining HVND from this pool will be split pro-rata following the creation of the new liquidity pool.

Shortly thereafter, we will look to continue our liquidity mining program. More on that later.

Closing Thoughts: This proposal marks a pivotal moment for BLVKHVND.

As we extend this offering to the community, we are forging ahead with the intent that we are here to stay. That we are here to develop the future of esports and competitive gaming. This is very new for all of us, and yet, we feel ready to tackle the world.

To those who have been with us since day one, we couldn’t have done it without you.

Let’s not just play the game, let’s change the game. #heavyistheHVND