Summary

Dope Wars: The Hustle Begins is a next step in the evolving Dope Wars ecosystem. The Hustle is a coordination game that expands the roles of hustlers, dope, and paper and ultimately introduces a few new primitive: STREETCRED. This proposal seeks to finalize the distribution of STREETCRED.

Motivation

• Create a non-transferrable reputation token which can be used to reward long term participation and contribution to the Dope Wars ecosystem.
• Align the incentives of different participants in the ecosystem, creating a token that aligns interests of DOPE, PAPER, and HUSTLER holders.
• Create a reputation based governance system on Layer 2 (Optimism) to manage DAO assets (PAPER, ETH, and smart contracts).

STREETCRED

STREETCRED is non-transferable, reputation token. It is an attribute of a Dope Wars player representing their contributions to the ecosystem. STREETCRED will have an initial allocation as described in this proposal but can be minted/burned by the DAO in order to continually incentivizing active contribution in the ecosystem.

Distribution

The initial phase of The Hustle is distribution. During this period hustlers can farm STREETCRED by participating in the Dope Wars ecosystem. The goal is to engage Dope Wars players and reward them for their contributions. Creating an onchain reputation system that is representative of a player’s contributions.

There will initially be four ways to earn STREETCRED:

Locking DOPE

Users can lock unbundled DOPE tokens in exchange for STREETCRED. Locking will be done on Ethereum and STREETCRED will be issued to the corresponding account on Optimism. The amount of STREETCRED issued will be proportional to the amount of time the token has been locked. Tokens can be unstaked and the allocated STREETCRED will be wiped.

Paper LP

Incentivizing PAPER LP is a frequently requested by the community. Increasing PAPER liquidity could provides a way for people to enter/exist the ecosystem without causing a lot of slippage. Incentivizing PAPER LP should be done when the community thinks the token is priced fairly, otherwise it will increase resistance at the current level. When the incentive system is activated by the DAO, LP position holders on both mainnet and optimsim will be able to stake their position and receive a STREETCRED allocation as a reward.

Paper Staking

Staking PAPER with a vesting schedule is a way to show conviction in the long term success of Dope Wars. Staking PAPER will emit STREETCRED proportional to the amount of time it has been locked, increasing over time.

Contributing

Contributing to the DAO and earning STREETCRED. One of the core functions of STREETCRED will be to actively reward ecosystem contributors. It is important that the DAO has a mechanism to reward contributors and enable active participation by those who might not have enough financial capital to take a large position.

In the future, other ways for players to gain STREETCRED will be designed.

Allocation

Pools below define an initial allocated which could be adjusted by the DAO. The amount of tokens distributed will depend on the number of players participating in each pool.

Unbundled DOPE: 300m

Ethereum PAPER/ETH V3 LP: 100m

Optimism PAPER/ETH V3 LP: 100m

Stake PAPER: 50m

Existing Contributors Allocation [2]: 122.5m

[1] Implications of Locking DOPE

One goal of The Hustle will be transitioning the DAO to a reputation based governance system on Layer 2. DOPE tokens will all become unbundled, claimed and locked. The governance token will ultimately transition from DOPE to STREETCRED. Locking a DOPE token will delegate the DOPE tokens voting power to a contract that will be controlled by the Layer 2 DAO.

[2] Existing Contributors Allocation

10m: Faces, Mrfax, Tarrence

5m: Shecky, Larko, HPMNK, Perama, Clicksave, Beatws9, MBoyle, Cyberbitz, M1, Winston Wolfe, Dennison

2.5m: Connor, Penguino, Taniela, RR, Bikemaker, Broody, JC Denton, Pajke, Smakosh, Sausage, Romok, TimeTravelerBowie, rach, IzBel