Overhauling ASR, LFG, and DAO participation

Jupiter DAO
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I have revised these ideas in a new post, please read it here: Revisions for Voting

JUP airdrop gains quick attention, but not DAO participation.

Jupiter will lose future potential if we casually distribute the token again. Most people will dump their JUP and never learn anything. You need to educate people about why DAO participation is useful, and this can be done by incentivizing DAO rewards, but not necessarily easy airdrop rewards.

AIRDROPS AND DAO PARTICIPATION:

Instead of airdropping JUP, airdrop an NFT that you have to burn or use to receive JUP. However you must vote in at least one proposal in order to claim the JUP (maybe distributed via ASR?). The NFT can act as a consumable and/or can be sold on secondary markets instead of market dumping JUP. It acts as a gateway into the DAO, and can be redeemed for JUP once you participate in the DAO. The nuances of this idea need to be worked on, but it is a better way of spreading education and participation, as well as getting JUP into the hands of voters. This also acts as a time-capsule that will reward people who learn of voting later in the future and still hold the NFT. There should be some limits on who this NFT would be distributed to, as many wallets would attempt to farm this NFT.

I also like the concept of burning JUP. However it should be more a market-burn, less of a treasury-burn. This will drive price and attention. JUP is currently in the top 100 coins on Coingecko, so it’s definitely being watched. We need to further drive that attention and benefit DAO participation. This can be done via LFG process, which also needs to be revamped. The DAO should be focused solely on JUP, and not other project tokens. Force LFG projects to reward voters with JUP.

HOW TO REWARD VOTERS VIA LFG VOTES:

LFG will be one of the largest IPO/ICO markets in the world. This means it needs to be a pay-to-play market. We should not use project tokens as the entering fee, we should use JUP. Projects can literally print their tokens out of thin air, meaning they are worthless until proven otherwise. Force projects who want to be voted on in the LFG process to buy JUP off the market, lock it in for a vote, and then have that JUP distributed to voters via ASR. All projects should lose the JUP they stake; this acts as a barrier to rug-pulls and shows the DAO how serious a project is by the capital they are willing to lose for our attention. Project tokens who win their LFG vote should distribute their tokens via LFG, and that should be wholly separate from the DAO ASR rewards.

VOTING WEAKNESS:

Currently projects can just buy JUP and vote for themselves. This is not good. We also need an incentive for time-based staking and voter rewards. We should distribute higher ASR rewards to longer-term stakers and consistent participants. Also we need to denote tiers of JUP stakers. This can be done with NFT airdrops when you have Y amount of JUP staked for X amount of time. Maybe a special NFT for everyone who never sold the initial airdrop of JUP. Maybe those NFTs can get certain traits once you participate in a certain number of votes. I’m not too familiar with NFTs, but there should be a way to “upgrade” or “downgrade” an NFT if someone removes stake, fails to vote, etc… (Maybe we can do this with WNS from wenwencoin community?)

FINAL THOUGHTS:

Our community is too wrapped up around the idea of tokens, and forgetting that we have a revolutionary way of tracking participation in the cryptoverse, NFTs. The JUP token is a representation of the value accrued by the whole Jupiter ecosystem. Value is gained via attention. We create a community by sustained attention on common goals. Airdropping a token is the worst way to attract attention. Creating a “game” is the better way to get people to stay. We need to make airdrops rewarding via forced participation to “get the candy” (JUP), and if the game is good enough, people will stick around. Think of it like an Easter Egg Hunt. That cat needs to lay an egg.

TLDR

  • Don’t drop JUP token so easily, force people to participate in DAO, and attract voters not dumpers.
  • Make LFG projects pay for our attention.
  • NFTs are a way to unlock JUP, avoid market dumps, and overhaul voting.
  • Cat lays an egg.
    :egg: :egg: :egg:
  • Mostly Good Ideas
  • Mostly Bad Ideas
0 voters

P.S. Discord sucks!

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I voted for the good idea of incorporating an evolutionary mechanism within the utility of an NFT associated with a set of criteria. However, I still have my doubts about the technical feasibility of this process, and I notice that you do too, as things stand.

As far as the WNS standard is concerned, it seems to me that this has nothing to do with the function you’re advocating. Apart from the notion of programmable NFT, I don’t see any other link with what can be done with WNS. Technically, I’ve got some big gaps, so I wouldn’t go any further into that territory.

But I immediately see a difficulty of a different kind: if programming allows you to set evolutionary rules, how do you take into account the fact that these rules are themselves subject to change? Because the points you raise are decisions of company policy, which in theory can be changed as events dictate. If you program NFTs in a certain way on the basis of a long-term and definitive commitment, you lose flexibility in terms of your room for maneuver in the event of a problem during that period. I hope you understand what I’m getting at.

I look forward to more comments on this subject in the comments of this thread.

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yeah look not a bad idea or concept youre proposing, but i dont like the idea of burning nfts. it gets messy. plus we would be catching a falling knife going into the nft market. I think we keep it simple, i did a post about my proposal the other day if you want to read it.

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Yes perhaps NFTs are a bit ambitious at this point. Whether it’s burning or evolving. I suppose the main concern is how to get people to the DAO and gather consistent attention, which it doesn’t seem airdropping tokens achieves. Especially now that these are known events by the market, seems ripe for farming.

I can distill the problem down to the question of: How to get people to the DAO and maintain interest?

ASR rewards can certainly maintain interest. And I think JUP rewards should require some small amount of work with the DAO. Most large wallets have notifications in-wallet now, so perhaps you don’t even need an NFT to give instructions. Wallet providers could deliver the message instead. Food for thought I suppose.

The far easier ideas to tackle are time-based staking benefits, NFTs aside. As well as having outside projects transact with the DAO in JUP tokens. So I suppose I’d be satisfied enough to get those concepts in mind.

Thanks for the feedback

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Ill check out the post!

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I feel the real answer to this question is money. What is gonna make people the most amount of money? for me this can be acheived through this : a snowball/ compounding effect.

So my proposal is this, if you never sell your airdrop → it will compound next jupuary and so on and on.

OFC throw in the prerequisite of community engagement and jup network engagement with its products and that may users are rewarded for loyalty.

It faces them with the choice to sell their airdrop now for less $ , or let it compound each jupuary where they could potentially make a life changing amount o fmoney ect.

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Sounds good and makes a lot of sense going forward :sparkles:

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Appreciate the ideas and feedback.

My pov on it is that NFT’s adds a unnecessary complication to it. Not everyone is a fan of NFTs, and if we are to onboard new users outside of the web3 space to the Jupiverse we do not want to make them jump through a lot of hoops and spend hours upon hours understanding how to participate.

Therefore I do not think NFTs have a good application on any of the DAO processes, even though I can see what you mean with it though.

As for the JUP token drops, such as jupuary and ASR… It does reward those who participate in the Jupiverse already - The product users and the DAO participants. In other words, it aligns the incentives of the Jupiter mission with its users, community and DAO participants.

LFG participants already pay for attention, if we assume some of their team members or community members acquire more JUP to vote for their project! I think a great aspect of the launchpad is that I can get a stake in the project that’s launching through participating in the LFG voting - I do not have to buy their tokens in the launch if I do not want to take the risk. Having them buy JUP to participate, is already accomplished through their ability to participate in the voting. I do not see this as a weakness at all, but a strength of the JUP token utility and the governance mechanics (ASR).

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I voted Mostly Good Ideas. One thing we have to keep in mind here and it’s a common thread here is the staking, ASR or Jupuary rewards and the dumping of rewarded/airdropped JUP. One way we can possibly resolve the farming and dumping of JUP is to have JUP locked. A good way to incentivise people to stay and participate for the long run, and not just short term farmers is to have a lock up incentive. We could have 3 options or more realistically:

  1. stake JUP to participate in LFGs and have 30 days unstaking. These stakers just receive the minimum rewards in terms of airdrops. i.e. what we have right now.

  2. Stake JUP and Lock up for 12 months. During these 12 months you cannot unstake and at the end of the 12 months, if you wish to unstake there is no waiting period or you could lock up again.

  3. Stake JUP and Lock up for 24 months. During those 24 months you cannot unstake and at the end of the 24 months, if you wish to unstake there is no waiting period or lock up again.

So the longer you lock up your JUP, the greater the rewards you get in terms of an increased reward ratio. This would then separate the true believers from anyone else and those who truely believe should be rewarded.

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I do subscribe to this pov in general. More commitment = more benefits. Simple and straight forward.

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I agree with your view that DAO participation is important. I think your methodology of distribution using NFTs is not the best. ASR has been great and using the claim method where your JUP is automatically staked is perfect.
When the JUPUARY #2 comes around maybe we should allow users to claim 100% of their allocation providing its immediately staked similar to ASR. Your thoughts on burning make sense, less of a treasury burn is ideal. If they choose to claim their balance without staking they get a 50% haircut and the remaining 50% of tokens are burnt.

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Yes, I’m not sold on the NFT idea. Mainly I’m trying to think of a way to have wallet owners understand why they’re getting a JUP airdrop, and how to use it in the DAO. Perhaps we just have to wait for a snowballing of experience in the whole ecosystem. Although I do think wallet providers could add a notification during the time of Jupuary to inform wallets that get JUP airdropped, as another idea.

I do see how projects can benefit the DAO by market-buying JUP and voting for themselves. However the benefit is largely for that project, instead of the DAO. Projects can resell the JUP on the market if they don’t find it useful, and there is no difference for voting with a 1-day stake vs having locked your stake for 6 months. I also think getting tokens from projects for ASR is less useful than getting JUP for ASR. This is due to the fact that projects can potentially print their tokens at will. I understand different projects have different tokenomics, but I do think the attention on LFG tokens dilutes the DAO attention/value a bit.

Creating an incentive for LFG projects to lock JUP into the ASR fund would demonstrate a few things:

  • Project is willing to pay for our attention directly by adding capital into ASR
  • Project cannot inflate token value since it is not their project token
  • Projects are using the currency of the DAO to communicate with the DAO

Let projects distribute their LFG tokens via LFG, and have projects contribute JUP to the DAO. Losing LFG projects could even get their locked JUP back. This also forces projects to decide if they’d rather pay the DAO for attention or buy their own votes.

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I like that approach.

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We shouldn’t complicate the process with NFT burning etc. Keep it simple, once we have qualified through one criteria or another, just get dropped your airpdrop. But agree with your other points.

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Agreed why did we have to burn NFT before receiving incentives, at long run people we still receive the token at the end. The main jupnuary process is that making the incentive getting to right hand.

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I think that the more complicated a system is - the higher the chances something messes up

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:face_with_raised_eyebrow:
You cant force people to participate in DAO. Interest span in crypto generally is very fleeting

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Sorry but I’ve voted for mostly bad ideas on this one.

I’ll start with what I do like.
Projects should be fronting up JUP tokens to participate in LFG rather than putting up their own.
Similar to how Pyths OIS requires publishers to buy and stake Pyth tokens to participate in their program at the risk of having those tokens slashed when providing false data, buying and fronting Jup tokens is more of a commitment from these tokens and provides greater benefit to the project.

Voting weaknesses - I agree with aspects of this, projects buying Jup to participate in their own votes. Maybe the can be combatted by adding a small warm up period to stakes of new tokens, aside from that it’s probably just the nature of the beast being a decentralised space adding too many caveats goes against the grain of this. Also adding tiers to long term vs short term stakers imo could be a deterrent for new participants to become involved as they may feel their contributions would be too diluted compared to those that have been there long term.
Long term stakers will have already had multiple ASRs, giving them the opportunity to have compounded their stake and presence already.
We want to make it as easy as possible for new participants to get involved with the project imo. The larger the community becomes the better the project will do.

Airdrops and DAO participation.
I think the current model of ASR is fine as is, the implementation of these NFTs could over complicate this unnecessarily.

I agree that DAO/community participants should be recognised but I think this can be better done via Jupuary or similar means.

With the burn of tokens, the whole idea of this is to bring FDV more inline with current MC and alleviate the perceived downward pressure of selloffs from events such as Jupuary. By doing a treasury burn this reduces the total number of tokens being released into the market at any given time and will provide a greater benefit.

All of the above are valid points I just think the methods to achieve some of these things need a bit of refining.

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Please see my new post with revised ideas:

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Check out the new post with revised ideas

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