AG Token Launch Plan
UPDATE: to allow for some sell pressure at token launch the team decided to remove the vesting period for the 8,000 community tokens. Seeds is still 365 days for fully vested but with a 0 day cliff.
Also, project name is now Agave and token symbol will be AGVE
As we get closer to the launch of Agaave, it’s time we outline our plan for the initial token distribution. The Agaave protocol token
AG will have a fixed supply of 100,000. it will be used to govern the protocol, liquidity and community incentives.
The protocol will be controlled by the Agaave token holders. Initially these token holders will be predominantly the 1hive community. The exact distribution mechanism will be announced after distribution to avoid gaming.
- 5% assigned to the Agaave seed team,
- 90 day cliff
- 365 day vesting
- 8% distributed to the 1Hive community in a fair launch
- 30 day cliff
- 90 day vesting
- 5% to the 1Hive DAO for permanent staking
- Staking bootstraps the security mechanism of the platform and provides a revenue stream which incentivizes 1hive to have an interest in future development.
- 10% will be added to a HNY/AG pair on Honeyswap (subject to a funding proposal)
HNY/AGliquidity tokens will provide a liquidity bridge between
- The remaining 72% supply held by the Agaave Aragon DAO will be be held by the Token Manager and be distributed via dandelion voting.
- The Agaave token holders will need to decide on how the remaining 72% supply is used such as for incentivizing liquidity, development, and marketing. More detail on these below.
- Some portion of the supply can be moved to a conviction voting vault pending a dandelion vote.
Reasons for why Agaave needs its own token can be read at The Agaave Token forum post. Such reason include but are not limited to: Agaave should not need to perpetually ask
HNY holders to subsidize its development, risk of liquidation, governance for token, setting risk parameters, protocol management, incentivize liquidity, and to create a fair distribution initially.
One of the most critical KPIs for the success of Agaave is liquidity. without enough tokens lent to the platform, the protocol will stall. The
AG token would likely be distributed to depositors and potential lenders, but this is not a decision the seed team should make unilaterally. Once the initial distribution has been made and a market value for
AG has been established the community can decide.
To fund the development of the platform, developers will make proposals. This will allow anyone, not just the seed team to work on the project
For 1Hive and Agaave to be successful, we need to bring in new platform users and investors, so we will make a proposal to the Agaave DAO for a second airdrop targeting Aave and other aligned communities. However, this is not a decision for us to make it will be up to the Agaave token holders