Distribute NFT platform revenues to OGN stakers?

Origin Story, our NFT platform, has powered multiple record-breaking, multi-million dollar drops and is now open to the general public. We’ve been scaling the product and making headlines with continued success, but until now, there has never been a direct tie between the platform’s growth and OGN.

For example, our recent Lucky Ducky drop grossed 604 ETH ($2.04M at current ETH price of $3,388) in 15 minutes. The Story platform fee of 7.5% accounts for $153,476 that is currently collected by the company. Despite generating millions in revenue (e.g. 3LAU’s $11.7M, Metacask’s $2.3M, and many others) over the last year, OGN holders have only indirectly benefited from Story's success, which came in the form of token buybacks. It's evident that the market has undervalued and overlooked OGN for this reason, and our community has been clear in asking for more direct forms of utility and value accrual.

This proposal’s objective is to create a decentralized and direct value accrual mechanism between Story and OGN, additionally creating a powerful and concise narrative for why token holders should buy, hold, and stake OGN.

If this proposal passes, the team will build new smart contracts that will trustlessly and automatically direct 100% of on-chain platform fees from the Story platform to new OGN staking smart contracts. These fees include primary sale fees as well as future secondary marketplace and royalty fees. OGN stakers will be able to collect their share of protocol fees based on how much OGN they have staked relative to the entire pool of OGN stakers.

OGN stakers will also be able to stake their OGN to multiple pools, akin to DeFi yield farms, including a platform-wide pool and individual collection pools. Using the Lucky Ducky example, we can imagine 50% of fees, or 302 ETH, being directed to the overall platform pool (which aggregates fees from all Story drops) and the other 50% of fees being directed to the Lucky Ducky pool. Actual percentages can be set via governance votes.

OGN stakers who want a simple and diversified return on the Story platform will want to stake to the platform pool. This means that they benefit from all Story drops, including Lucky Ducky but also the many others that will happen concurrently or over time. Of course, it is likely that this pool will be the most crowded. OGN stakers who are especially bullish on Lucky Ducky (as an example) doing well in the primary and secondaries may find that they are able to generate higher returns by staking to that individual pool if other stakers aren’t participating. This also incentivizes these stakers to further evangelize the Lucky Ducky drop since they can directly benefit from the project’s success. This creates a win-win between the creator and OGN stakers.

If this proposal is approved, we will rapidly begin working on upgrading OGN token utility and our staking contracts as well as the Story NFT contracts:

• When creators launch new NFT collections on Story by deploying their own smart contracts, the ensuing mint proceeds will be split between the creator and the protocol.
• The protocol fees will be withdrawable by new OGN staking contracts, effectively funding the staking pools. Importantly, the entire flow of funds will occur on-chain in a permissionless fashion that does not involve the Origin team or treasury. The Origin team will contribute the initial code, but the smart contracts will be responsible for distributing funds to stakers. When complete, creators will be launching their own NFT smart contracts with the community of OGN holders staking to pools of their choosing.
• It’s worth mentioning that we will deprecate our old OGN staking program currently at www.ousd.com/stake. All existing stakers will still get their rewards, but we will prevent new stakers from using the old program after a brief grace period if this proposal passes.

We are eager to get community feedback on this proposal. The core team is very excited about creating this new value accrual mechanism for the OGN community and creating the virtuous flywheel between Story and OGN.