Tokenomics

Supply

We have minted 1 Billion AUDIT Tokens (asset1h2qa2evcnwpchh349pdxu3q6e8f4unulq2nzg2) and have it capped at that amount forever. No additional tokens can ever be minted. 1 Billion was chosen as it would allow for a lower price which the average investor could afford to participate in the DAO.

Stake Pool Rewards

SCATDAO cares about the Cardano community and wants everyone to be involved in keeping it safe regardless of how much money they have to invest. Therefore, 20% of the tokens will be distributed through our stake pool. There will be a stake pool fee charged in line with most other pools which will allow delegators to keep the vast majority of their ADA rewards and still earn tokens for us. We would also note that this allocation is large because we intend to distribute our tokens through the stake pool over an extended period of time. This is not the same concept as an ISPO which runs for a limited number of epochs. We will utilize the stake pool for the foreseeable future to supplement our operations and therefore want to have sufficient rewards for our delegators to give them more of a voice in how our DAO is run.  

Treasury

As previously mentioned, Treasury is allocated 30% of tokens, 15% of which will need to be sold to create a trading pair, provide liquidity, and fund the treasury. Therefore, 15% of the total token supply will be sold through an Initial DEX Offering (IDO).

Community Airdrop

To encourage as much participation as possible in our DAO, we plan to have a community-wide airdrop that will grant free tokens to everyone who is delegating to a stake pool. This is for ANY stake pool, not just for those who delegate with us. 5% of the total supply is being reserved for this airdrop and we plan to distribute it using https://dripdropz.io/.

Public Pre-Sale

3% of the total supply is being sold in a public pre-sale to raise funds to complete our first version of the platform. We will be forever grateful to Project Catalyst and everyone who has voted to fund us and get this project started. There are considerable expenses that we still have in order to complete this project, and we feel that selling a percentage of our tokens to raise these funds is a fairer approach than relying on Catalyst to foot the entire bill. Catalyst is fantastic for getting projects kicked off and creating an MVP or proof of concept, but by continually requesting funds each round, that limits the number of other projects that will get their shot at making their vision a reality. The funds raised here will be used to hire additional headcount including additional Plutus devs to write our smart contracts, begin paying the headcount we currently have who have been working for free, pay for a security audit after our contract is complete (even auditors need an independent 3rd party audit), marketing expenses, and any other overhead.

Participation Rewards

20% of the total supply will be held to reward community participation in reviewing audit work, finding bugs/issues, performing research, or other activities that support the work of our DAO.

Development Team

The Development Team has been allocated 22% of the total supply. Tokens for Dev Team will be vested over a 4 year period to assure investors there will not be a sell-off that will suppress the price of the token at the expense of other investors. The tokens will be unlocked according to the following schedule:

  • Product Launch: 1/5 of the tokens will be unlocked
  • 365 days later: 1/5 of the tokens will be unlocked
  • 365 days later: 1/5 of the tokens will be unlocked
  • 365 days later: 1/5 of the tokens will be unlocked
  • 365 days later: 1/5 of the tokens will be unlocked

Token Allocation

Development Team – 22%
Treasury – 15%
IDO Sale – 15%
Pre-Sale – 3%
Stake Pool Rewards – 20%
Community Airdrop – 5%
Participation Rewards – 20%