Vote 1a: Gro DAO Token and Tokenomics

GRO DAO TOKEN RATIFICATION AND TOKENOMICS

Gro is quickly decentralizing by distributing decision-making power to a wider group of people. This proposal ratifies the first step on this journey and executes the first step in agreeing and implementing tokenomics for Gro DAO Token.

You can read more about Gro’s approach to decentralisation here: https://groprotocol.medium.com/the-chicken-or-the-egg-how-gro-dao-is-launching-governance-e02fdcd452d0

PROPOSAL SUMMARY

If executed, this proposal will: 1. Ratify GRO as the Gro DAO governance token. 2. Agree proposed GRO tokenomics including minting 5m GRO to the DAO treasury. 3. Give Distributer contract permissions to mint future GRO in order to execute the proposed tokenomics.
 PROPOSAL BACKGROUND

Currently the Gro DAO can vote using xGRO as a temporary non-transferable ERC20 voting token that is minted to users of the protocol, investors and team. Ratifying the deployment of GRO is the first step in a journey to wider decentralisation. GRO is proposed to be distributed over the coming years in accordance with the tokenomics set out in this snapshot vote and shared with the community previously.

GRO DAO TOKEN SPECIFICATIONS

• Token name: Gro DAO Token

• Token symbol: GRO

• Contract address: 0x3Ec8798B81485A254928B70CDA1cf0A2BB0B74D7

• Max supply: 100m

• Decimal places: 18
 PROPOSED TOKENOMICS FOR GRO

• 45% of the tokens will be allocated for community incentives like liquidity mining and social programs

• 13% will go to the GRO DAO Treasury to be used for grants and the ongoing operations of the protocol, including the 5% (5mn) minted for the initial Gro DAO treasury

• 19.5% will go to early seed investors

• 22.5% will go to the team behind Gro protocol and core contributors

• Team, Advisor and Seed Investor vesting: 3 year vest with 1 year cliff

• Inflation: Hard-coded at 0% during the first 3 years, then continues at 0% unless GRO token holders vote to change (can be changed after three years to a maximum of 5%)
 IMPLEMENTATION OF TOKENOMICS

This proposal starts to implement the tokenomics set out above by setting the permissions to mint future GRO. These permissions will be given to the Distributer contract (0x54ACB7E67186F6b71a10C3b5102b16A6060877C3). The distributor contract includes immutable limits in line with the tokenomics set out above.

HOW WAS THIS PROPOSAL DISCUSSED?

This proposal was put together by early contributors behind the Gro protocol, in line with the early governance plans for Gro DAO. It has been shared and discussed on the Gro governance forum: https://community.gro.xyz/t/vote-1a-use-gro-as-governance-token-and-agree-tokenomics/17

PAYLOAD DETAILS

Payload 1 mints 5 million GRO to the DAO treasury: 0x3Ec8798B81485A254928B70CDA1cf0A2BB0B74D7.mint(0x359F4fe841f246a095a82cb26F5819E10a91fe0d, 5000000000000000000000000)

Payload 2 sets Distributer contract (containing hardcoded tokenomics) as the minter of GRO: 0x3Ec8798B81485A254928B70CDA1cf0A2BB0B74D7.setDistributer(0x54ACB7E67186F6b71a10C3b5102b16A6060877C3)