Virtually Reducing Alchemica Cap [paused]

[reset]

Introduction

Currently, Alchemica is a capped token. However, the cap is very high as it was intended for many years of emission.

Problem

This basically translate to “uncapped” in short term as we will very unlikely to reach it.
(We already facing emission/spent issue a year in)

Currently when farm/aaltar are crafted or upgraded the alch spent is distributed as above

However, each farm/aaltar built increase emission. Simply burning 65% (30/30/5) isn’t enough. (DAO/PC keeping it and never selling it is like a virtual burn)

Solution

1. Generate Spacious Parcel to DAO (i.e. D30)
2. Build farms/aaltar using the alch in treasury
3. Use the alch from these farm to build more farms
4. Never sell the alch generated

This allow the burn to have “growth” to keep up with farms built by players (which increases emission) by taking alch away from the max cap

Optional: same should be done on PC’s side to generate spacious/farms for the alch they hold/gain daily

Benefits

1. DAO/PC get alch from player upgrading/crafting passively. These farms virtually cost DAO/PC nothing

2. Each farm build by DAO/PC 60% in total cost goes back to DAO/PC (This means these farms are built at a discount)

3. This mechanism has “growth” compare to a simple burn

4. No dillution to existing holders
   a. these generated spacious parcel willl be in DAO/PC control and never sold
   b. farm/alch generated will never be sold
   c. land sales was always possible, doesn’t break tokenomics

Cost

1. time, someone has to build farms / empty rez (but dao can build more rez to reduce number of empty per day)
2. gltr for farms
3. gas, to build/empty rez Edit: gas will be provided by builder/scholar (their expense). Covered indirectly by hourly payment or per rez empty payment just like traditional scholar / projects

GLTR: To reduce cost, we can stake something to either generate gltr or stake something to buy gltr
(as long as dao doesn’t sell alch to buy gltr or gltr generated from stake is 100% spent and not sold)

Gas: Will be minimal once Gotchichain goes live. It does cost a pretty penny currently

Gotchi: Program to obtain floor gotchi for DAO purposes

P.S. might edit if i can think of any changes that might make this better

tldr; reduce cap by having a exponential burn fueled by alch from player activity (burn in this sense is alch being in DAO/PC possession and never sold)

Implementation (wip)

1. Mint spacious parcel to DAO wallet (number of parcel to be determined)

2. Obtain gotchi to DAO wallet (or 2 if empty rez/builder is two different person)

A separate thread was started to discuss the procurement process

3. Build Aaltar/Farms with following settings:
   a. gltr speed up
   b. rez to harvester ratio that results in “1 empty per day”
   c. farm level (to be determined)
   d. number of harvester (to be determined)
   e. alch type (fud/fomo/kek/alpha) (to be determined)
   e. access right to borrowed gotchi to empty rez
   f. wip: not sure how to craft (L1) / upgrade installation w/DAO’s alch
   (it seems like the borrower will have to have the alch in their possession)
   access right to equip/upgrade installation can be granted to borrowed gotchi

4. DAO rent out (WL) 1 gotchi with following settings:
   a. 0 upfront
   b. 0% borrower / 100% owner (not sure due to 3e)
   c. duration: 1 hour
   d. do not “claim and end” when gotchi expire
   e. borrower initiate “claim” daily to get collected alch into DAO wallet
   f. c (1 hour) allow the dao to end the borrowing at any time should dao determine the borrower is no longer fit to do their job

5. Empty Rez: I think “automation” should be allowed to remove the need to hire someone w/treasury fund.
   (This is for dao internal purposes and should be an exception to the rule.)

If this is not possible, will need someone to go around all the farms and empty it all once a day. (not % based but # of empty performed? This is due to 1 empty per day set up.) wip

a. open bid?
b. requirements? (i.e. scholar? borrowing history? gotchi owner prioritized?)

6. Hire someone 1 hour per day to build/upgrade farms? wip
   a. open bid? (i.e. to the best offer?)
   b. requirements? (i.e. gotchi owner? etc.)
   c. if this person is different from #5 (or automation is used) DAO will need 2 gotchi instead of 1

7. GLTR funding: wip

8. procedure: verify wip
   a. build/empty are done properly
   b. how often
   c. who

9. procedure: pause/end/resume wip
   a. conditions / possible scenario
   b. steps:
   pause/end: end gotchi lending
   resume: relist gotchi lending

[Quincy1971]

Are these the parcels that were to be sold at a later date?

[reset]

Depends. There is precedent in “minting” parcel for DAO

Also, our scheduled land parcel sale was cancelled.

It really depends on how you look at it. We can take parcel from that land sales if you want to do it that way.

[Quincy1971]

Ok. So if i am understanding correctly, You want the DAO to mint a number of spacious parcels and use the DAO’s alchemica to build them out. You are wanting to use them as a way to permanently lock-up a percentage of alchemica through farming and channeling. Ok i have a few questions.
1. What the plan once the parcels are emptied?
2. Would it not be easier for the DAO to just use the tokens in a liquidity pool?
3. What is your end plan for all the accumulated alchemica because one day they will enter the economy?

[reset]

No channelling are involved.
Only empty rez (we do need at least 1 gotchi to do that)

However, I argue that this is one of the cases where “bot” should be a potential consideration as this is for DAO purposes

1. once the parcel are empty. Wait for re-roll just like everyone else. When all re-roll are used nothing happens. DAO simply keep those parcel forever

2. Putting it into a LP pool does not help in a situation where every time someone “sink” it increase emission via new farm
   (LP solution can be looked at as a separate thread but that does involve some kind of pairing not just alch as well as IL)

3. Those alch should never enter the economy. (basically what we doing right now - holding) Moreover, the alch collected are used to build more aaltar/farm. Unless DAO decide to refund the structure, its locked up.

4. This also fill up “The Great Portal” where there is a potential “bank run” on installation as the DAO has no interest in refunding their own installations

[reset]

How many parcel, farm level, number of rez etc

I think its best for alch task force to work on implementation detail once my prop pass as they have the expertise on their team

I would like to reserve the right to name this mechanic much like forge team named “the forge” if this ever pass

[Quincy1971]

So no channeling by a DAO owned gotchi . I was referring to once it was emptied, so the DAO would keep it or perhaps sell it . The alchemica will eventually come back into the economy because the DAO will probably not vote to burn it since it would affect the total supply. FWIW i think that it is an interesting proposal but you should flush your idea out more. As far as I know the alchemica task force is over so it will fall on you to do most of the detailed explanations. If you need a sounding board, i am here.

[reset]

Maybe I was a bit unclear.

After you empty a rez, you use the alch to build farms so there shouldn’t be alot of liquid alch on hand. Only exception is if one day DAO vote to refund the structures itself

Even if DAO vote not to burn alch in their possession.
It is very unlikely DAO will vote to release it back to economy so its basically locked up or “burn”

The only difference is the alch is being used in this case to established a burn that grows since our current major sink is farming and it increases emission on each burn.

1. Player craft/channel/empty rez > % of alch goes to DAO
2. DAO build more farms using alch from #1 & #3
3. DAO farm produce alch
4. More alch locked up (burn) matching player activity

DAO can also stop building farm/empty rez at any time if this extra burn is no longer wanted

It is not possible to use the L9 for channelling as it would be a form of dilution to L9 holders once these aaltar interact with the economy (non-isolated)

[HARDKOR]

The max cap is for 30 years. You arent affecting anything this decade if you somehow manage to get the dao to mine half the supply.

[reset]

Unfortunately, if we apply this sentence then why are we adjusting player’s emission rate?

Even if they mine half the supply they aren’t affect anything

You do have a point tho. I reply again once I think of an answer in this prop’s pov instead of players

I am working on a proper reply

[reset]

Can’t think of a good reason to continue this. Locked unless I can think of something