New LEVX tokenomics

Motivation

With the upcoming launch of levx.io, we'd need to bring a new tokenomics of OGZ(previously LEVX) that'll incentivize those who contribute to the protocol by staking their NFTs or voting for those. Giving rewards is the best onboarding strategy in DeFi/NFT space and we'll do it to create a hype around our platform in NFT space, which is getting bigger and bigger.

Specficiation

Inflation

Since levx.io protocol is a soft fork of Curve finance, we'll follow a similar inflation model. OGZ follows the linear inflation schedule below. The inflation is reduced by 2^(1/4) each year. Each time the inflation reduces, a new mining epoch starts.

Current total supply of OGZ is 33,333 tokens, which is 11.111% of the eventual total supply of 300,000 tokens. The initial inflation rate which supports the above inflation schedule is 42,428 OGZ. All of the inflation is distributed to NFT stakers, according to measurements taken by the gauges. During the first year, the approximate inflow into circulating supply is 116.24 OGZ per day. Practically in 33 years 99.999% will be supplied but it'll take 305 years to eventually inflate the whole amount.

NFT Gauges

Inflation is directed to users who stake NFTs or vote for them within the protocol. This usage is measured via NFTGauge contracts. Each NFT collection has an individual NFT gauge. The GaugeController contract maintains a list of gauges and their types, with the weights of each gauge and type. To measure liquidity over time, the user stakes their NFTs into the NFT gauge. Token rates which the gauge is getting depends on current inflation rate, gauge weight, and gauge type weights. Each NFT receives a share of newly minted OGX proportional to the amount of veOGZ voted. Among them, 10% of the tokens go to the owner of the NFT and the rest to the voters.

Gauge Weight Voting

Users can allocate their veOGZ towards one or more NFT gauges by splitting the percentages. Gauges receive a fraction of newly minted OGZ tokens proportional to how much veOGZ the gauge is allocated. Each user with a veOGZ balance can change their preference at any time. When a user applies a new vote, it gets applied at the start of the next epoch week. The weight vote for any one gauge cannot be changed more often than once in 10 days.

Treasury Allocation

For every newly minted OGZ, additional 10% can be minted for the treasury. Since for initial supply 33,333, 10% won't be allocated for the treasury, the total amount that can be minted for it is 22,424 OGZ. This fund will be used for operating the DAO: hiring new people, conducting marketing campaigns, supporting contributors, etc.

Conclusion

Now is the real beginning of the DAO as a protocol, not a social community. I believe we could implant the success DNA of Curve finance into us by introducing this new tokenomics. Details can be changed due to your opinion, so let me know your thoughts.