SD-002: Implementation of $BONES and Distribution Principles

Overview: The Skellie Development team proposes the creation of an ERC-20 Utility Token, $BONES, to drive utility within the Spectral Skellies Ecosystem. This token will serve numerous purpose - including allowing for the breeding of SkellieCats, minting of exclusive artwork, access Skellie merchandise, enter into Skellie Treasure hunts, and more. If in favor, DAO members must identify which method of distribution they favor - conventional or staked.

Background:

ERC-20 tokens are the most commonly used tokens on the Ethereum network. They are designed to be used for paying for functions and are known as utility tokens. They are fungible, transferable, and there is a fixed supply.

Conventional (Un-Staked) token distribution allows users to be entitled to an allotment of ERC-20 tokens based on holding a specified Non-Fungible Token (NFT) per given time period. No action is required by the holder for this entitlement, except to claim the tokens when desired.

Staked token distribution allows users to be entitled to an allotment of ERC-20 tokens based on staking a specific NFT per given time period. The holder must have their NFT staked in order to be entitled to any tokens. The holder must claim their tokens when desired.

Details:

The Skellie Development team write and deploy an ERC-20 contract that allows holders of Spectral Skellies NFTS to claim an accumulating entitlement of ERC-20 utility tokens, using the voted on distribution method.

Spectral Skellies holders will be entitled to a maximum of 5 $BONES per 24 hours period, for a maximum duration of 10 years. The exact maximum supply of $BONES will be determined and communicated prior to contract deployment. Additionally, Skellies holders will be entitled to an initial distribution of a set amount of $BONE, to be determined prior to contract deployment.

The Skellie Development team will fund an initial liquidity pool for $BONE of an amount to be determined prior to contract deployment. Additional liquidity funding will be sought to ensure stabilization of $BONES.

Should this proposal pass, one of two distribution options must be selected.

The options include:

1. Conventional (un-staked) Method
2. Staked Method

The premise of each is outlined in the background section. Both methods will entitle holders to the same number of $BONES per day.

NOTICE: $BONES is a pure utility token, will not hold any monetary or economic value, and is not an investment vehicle.

Voting mechanics:

1. Implement ERC-20 Utility Token, Conventional method of distribution
2. Implement ERC-20 Utility Token, Staked method of distribution
3. Do not implement ERC-20 Utility Token.

If 1+2 is greater than 50%, the option with the greater share of the vote will be approved. If 1+2 is less than 50%, then the proposal will not be approved.