Ideation: VRGDA Subscription Model ("MoonDAO Passport")

As suggested by my other recent proposal, MOONEY is used, but not consumed, in governance. With the Stake to Vote proposal, MOONEY is being rehypothecated through a vote escrow contract. However, there are many issues with ve-lock tokenomics, which have been abundantly explored at this point. it’s not a sufficient form of decentralization on it’s own, but there can be other ways to diversify the consumption of MOONEY so that it is apparent that it is a utility token and not a security.
One way to use MOONEY is by static tokengating of channels. We currently do this with the Discord section “Mooney Holders”. This also includes tokengating with the Ticket to Space. However, this has not generated a significant benefit for the DAO; engagement has been low, and there’s no way to incentivize others to acquire MOONEY simply for the status symbol.
Another way to use MOONEY is through dynamic tokengating, and not through discord channels, but to other valuable resources. The DAO should have a clear proof of concept of this, and the best way to do so is with a nontransferrable subscription NFT that consumes either ETH or MOONEY according to a set schedule, adjusted by demand. The Variable Rate Gradual Dutch Auction is the most novel and most compelling NFT pricing in the ecosystem to date. With this pricing model, we can further decentralize the distribution of MOONEY (by redirecting the consumed amounts through llamapay + participation criteria), as well as demonstrate an inflow of ETH (which further supports the DAOs longterm viability). Web applications can be easily gated with the use of Lit Protocol or Guild, and any useful stream of information of the DAO can flow through DAO contributors to the end consumer, autonomously.

Edit: I think this also speaks to the need for the DAO to separate flow of tokens to specific purposes. this contract could also divert any MOONEY consumed to a multisig specifically for bounties for features that can be added to subscription-gated pages, instead of sending them back to the main treasury to depend on DAO-wide governance. Simplifying this feedback loop allows for any related projects to be more productive in content creation, as well as promote the singular mission of distributing MOONEY based on productive merit.

Awesome I really liked reading the articles that you linked.

Barney is thinking about creating a liquidity pool rewards program for the community to put up liquidity, and there could be some interplay between staking and liquidity rewards (similar to what Nation3 already does).

I’m just learning about vrgda’s right now, but the idea is really neat. Can you elaborate more on how you envision the NFT that consumes MOONEY over time?

I’m not sure if this is what you mean, but I’m imagining it’s something like, the NFT consumes X amount of MOONEY per month. And if you don’t have the MOONEY in your wallet, then you lose the rewards for having that NFT (e.g. it automatically burns)

I think that’s a super cool idea, and it makes people need to buy MOONEY over time to continue to have the same rewards. Really interesting.

Let me know if that’s correct, curious to hear how vrgda would come into play, would that set the “subscription price” dynamically? Do we really need something like that though? Why not just keep it static? Curious to hear your thoughts.

I’m not sure if this is what you mean, but I’m imagining it’s something like, the NFT consumes X amount of MOONEY per month. And if you don’t have the MOONEY in your wallet, then you lose the rewards for having that NFT (e.g. it automatically burns)

Not quite, user deposits MOONEY to mint a nontransferrable auth token that remains usable for a set period of time, which the backend would conditionally accept. They would keep those NFTs forever, but would need to mint new auth tokens to “renew” the subscription. This could also be multi-tier for monthly, quarterly, or annual subscriptions.

The reason it’s important to dynamically set the subscription price to meet demand is that the supply is nonscarce, and the demand is currently very low. So, this is super beneficial in terms of BD where new users can onboard easily in times of low demand, give feedback and increase usage, and if/when the gated resource becomes high quality & saturated with users, then there’s an automatic limiter that helps supply&demand reach equilibrium despite the frothiness of that hypothetical market.