I don't about you, but I'm feeling 22

[tecparamsbot]

What is the overall Commons Configuration strategy?

I wanted to try something a little different. Make the opening price as high as I see reasonably possible, and preserve a reserve ratio of about 22%. Higher cumulative entry & exit tributes to fill up the Common Pool with more funds from speculation. Low token freeze so that Hatchers can take advantage of some profit & still fill up our Commons Pool. Also, this is a great meme and a great song to play during params presentations. https://www.youtube.com/watch?v=AgFeZr5ptV8

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Summary

Module 1: Token Freeze & Token Thaw

Parameter	Value
Token Freeze	22 Weeks
Token Thaw	52 Weeks
Opening Price	2.22 wxDAI

Module 2: Augmented Bonding Curve

Parameter	Value
Commons Tribute	22.00%
Entry Tribute	22.00%
Exit Tribute	2.20%
*Reserve Ratio	22.65%

*This is an output. Learn more about the Reserve Ratio here.

Module 3: Tao Voting

Parameter	Value
Support Required	88%
Minimum Quorum	8%
Vote Duration	7 day(s)
Delegated Voting Period	4 day(s)
Quiet Ending Period	2 day(s)
Quiet Ending Extension	2 day(s)
Execution Delay	1 day(s)

Module 4: Conviction Voting

Parameter	Value
Conviction Growth	222 day(s)
Minimum Conviction	0.22%
Spending Limit	22.0%

Module 1: Token Freeze and Token Thaw

Strategy:

This is the highest opening price that I felt I could justify. Just little less than 6 months of initial total frozen vesting to take care of the Hatchers! They can sell a little' make a little profit, but with a RR of 22, there's still not too much TEC volatility.

Parameter	Value
Token Freeze	22 Weeks
Token Thaw	52 Weeks
Opening Price	2.22 wxDAI

Hatcher's TEC Release Schedule

This is the release schedule for TEC that was given to Hatchers. Their TEC will start out frozen and then slowly become liquid according to the graph above.

Token Release Timeline

Duration	% of Tokens Released	Price Floor of Token
3 months	0.00%	2.22 wxDAI
6 months	7.69%	2.05 wxDAI
9 months	32.69%	1.49 wxDAI
1 year	57.69%	0.94 wxDAI
1.5 years	100.00%	0.00 wxDAI
2 years	100.00%	0.00 wxDAI
3 years	100.00%	0.00 wxDAI
4 years	100.00%	0.00 wxDAI
5 years	100.00%	0.00 wxDAI

Module 2: Augmented Bonding Curve (ABC)

Strategy:

22% Commons Tribute - yes, relatively low, but we're compensating with high cumulative entry & exit tribute.

Here's the plan: start out with entry high and exit low... so speculators taking advantage of the price floor are filling the common pool. ALSO with the initial buy, we boost the common pool with an extra 50k right off the bat.

THEN, nearing the end of the token freeze, we vote to swap the entry and exit tributes... so have the exit tribute 22% and the entry at 2.2%... so Hatchers can benefit from profitting off the higher token price and low volatility but are a prohibitted slightly from quitting a large amount... and feel good about paying the little extra to the support the TEC Common pool.

Parameter	Value
Commons Tribute	22.00%
Entry Tribute	22.00%
Exit Tribute	2.20%
*Reserve Ratio	22.65%

*This is an output. Learn more about the Reserve Ratio here.

Allocation of Funds	wxDAI
Common Pool (Before Initial Buy)	277469.19
Reserve (Before Initial Buy)	983754.38
Common Pool (After Initial Buy)	332469.19
Reserve (After Initial Buy)	1178754.38

TEC Price vs ABC Reserve Holdings

The ABC mints and burns TEC tokens, the price of the TEC token is dependent on the funds that is held in the Reserve. This graph shows how the ABC's Price for TEC tokens changes with the ABC's Reserve Balance. The Initial Buy that will happen at launch is highlighted.

Example Transaction Data

Tx	Reserve	Total Supply	Price	Amount In	Tribute	Amount Out	New Price	Slippage
0	983754.38	1956421.69	2.22	250000.00 wxDAI	55000.0	81798.70 TEC	2.55	6.88%
1	1178754.38	2038220.39	2.55	5000.00 wxDAI	1100.0	1525.49 TEC	2.56	0.13%
2	1182654.38	2039745.87	2.56	100000.00 wxDAI	22000.0	29722.57 TEC	2.69	2.46%
3	1260654.38	2069468.44	2.69	3000.00 TEC	1770.66	6277.79 wxDAI	2.68	0.25%

ABC Overview

Reserve (wxDai)	Supply (TEC)	Price (wxDai/TEC)	Market cap
10,000	691,970	0.06	44,157.28
50,000	996,303	0.22	220,756.25
100,000	1,165,665	0.38	441,504.94
200,000	1,363,819	0.65	883,003.46
300,000	1,495,001	0.89	1,324,501.56
400,000	1,595,659	1.11	1,765,998.84
500,000	1,678,380	1.32	2,207,496.93
600,000	1,749,141	1.51	2,648,993.74
700,000	1,811,291	1.71	3,090,493.05
800,000	1,866,911	1.89	3,531,990.74
900,000	1,917,386	2.07	3,973,487.68
1,000,000	1,963,694	2.25	4,414,985.55
1,250,000	2,065,494	2.67	5,518,729.20
1,500,000	2,152,577	3.08	6,622,477.01
1,750,000	2,229,062	3.47	7,726,220.08
2,000,000	2,297,510	3.84	8,829,967.69
2,500,000	2,416,617	4.57	11,037,456.09
3,000,000	2,518,503	5.26	13,244,943.81
3,500,000	2,607,990	5.93	15,452,433.43
4,000,000	2,688,074	6.57	17,659,922.67
5,000,000	2,827,427	7.81	22,074,896.76
7,500,000	3,099,391	10.68	33,112,354.86
10,000,000	3,308,074	13.35	44,149,799.47
15,000,000	3,626,270	18.26	66,224,709.50
20,000,000	3,870,428	22.81	88,299,606.69
50,000,000	4,763,136	46.35	220,748,956.11
100,000,000	5,572,843	79.22	441,497,902.38

Module 3: Tao Voting

Strategy:

Quiet ending is 2 + 2 (+2) (+2). On meme & also these are the best TV params.

Parameter	Value
Support Required	88%
Minimum Quorum	8%
Vote Duration	7 day(s)
Delegated Voting Period	4 day(s)
Quiet Ending Period	2 day(s)
Quiet Ending Extension	2 day(s)
Execution Delay	1 day(s)

Tao Voting Timeline From Proposal To Execution

This shows how the timeline stacks up for yes/no time based votes that can change the configuration after launch.

Timeline Data

# of Quiet Ending Extensions	No Extensions	With 1 Extension	With 2 Extensions
Time to Vote on Proposals	7 days	9 days	11 days
Time to Review a Delegates Vote	3 days	5 days	7 days
Time to Execute a Passing Proposal	8 days	10 days	12 days

Module 4: Conviction Voting

Strategy:

I went with an Orogeny-themed, low min convicition, high conviction growth. On meme, yet still very reasonable. In the early days, Hatchers can't do anything with their tokens but vote! Our max token holder has something like 200k tokens, so this person alone could pass even some of the larger proposals within 7 days.

Parameter	Value
Conviction Growth	222 day(s)
Minimum Conviction	0.22%
Spending Limit	22.0%

Minimum Percent of Voting Tokens Needed to Pass Funding Requests

This shows how the minimum percent of tokens needed to pass proposals after 2 weeks varies with the percent of the Common Pool funds being requested.

Example Funding Request Data

Proposal	Requested Amount (wxDAI)	Common Pool (wxDAI)	Effective supply (TEC)	Tokens Needed To Pass (TEC)
1	1,000	100,000	1,500,000	3621
2	5,000	100,000	1,500,000	5526
3	25,000	100,000	1,500,000	Not possible
4	1,000	750,000	1,500,000	3340
5	5,000	750,000	1,500,000	3509
6	25,000	750,000	1,500,000	4583

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Parameter Definitions

Token Freeze and Token Thaw

• Token Freeze: 22 weeks, meaning that 100% of TEC tokens minted for Hatchers will remain locked from being sold or transferred for 22 weeks. They can still be used to vote while frozen.
• Token Thaw: 52 weeks, meaning the Hatchers frozen tokens will start to become transferable at a steady rate starting at the end of Token Freeze and ending 52 weeks later.
• Opening Price: 2.22 wxDAI, meaning for the initial buy, the first TEC minted by the Augmented Bonding Curve will be priced at 2.22 wxDAI making it the price floor during the Token Freeze.

Augmented Bonding Curve (ABC)

• Commons Tribute: 22.00%, which means that 22.00% of the Hatch funds (277469.19 wxDAI) will go to the Common Pool and 78.00% (983754.38 wxDAI) will go to the ABC's Reserve.
• Entry Tribute: 22.00% meaning that from every BUY order on the ABC, 22.00% of the order value in wxDAI is subtracted and sent to the Common Pool.
• Exit Tribute: 2.20% meaning that from every SELL order on the ABC, 2.20% of the order value in wxDAI is subtracted and sent to the Common Pool.

Tao Voting

• Support Required: 88%, which means 88% of all votes must be in favor of a proposal for it to pass.
• Minimum Quorum: 8%, meaning that 8% of all tokens need to have voted on a proposal in order for it to become valid.
• Vote Duration: 7 day(s), meaning that eligible voters will have 7 day(s) to vote on a proposal.
• Delegated Voting Period is set for 4 day(s), meaning that Delegates will have 4 day(s) to use their delegated voting power to vote on a proposal.
• Quiet Ending Period: 2 day(s), this means that 2 day(s) before the end of the Vote Duration, if the vote outcome changes, the Quiet Ending Extension will be triggered.
• Quiet Ending Extension: 2 day(s), meaning that if the vote outcome changes during the Quiet Ending Period, an additional 2 day(s) will be added for voting.
• Execution Delay: 1 day(s), meaning that there is an 1 day delay after the vote is passed before the proposed action is executed.

Conviction Voting

• Conviction Growth: 222 day(s), meaning that voting power will increase by 50% every 222 days that they are staked behind a proposal, so after 14 days, a voters voting power will have reached 75% of it's maximum capacity.
• Minimum Conviction: 0.22%, this means that to pass any funding request it will take at least 0.22% of the actively voting TEC tokens.
• The Spending Limit: 22.0%, which means that no more than 22.0% of the total funds in the Common Pool can be funded by a single proposal.

Advanced Settings*

Parameter	Value
HNY Liquidity	100 wxDAI
Garden Liquidity	1 TEC
Virtual Supply	1 TEC
Virtual Balance	1 wxDAI
Transferable	False
Token Name	Token Engineering Commons
Token Symbol	TEC
Proposal Deposit	200 wxDAI
Challenge Deposit	400 wxDAI
Settlement Period	5 days
Minimum Effective Supply	0.01%
Hatchers Rage Quit	60000 wxDAI
Initial Buy	250000 wxDAI

*Learn more about Advanced Settings on the TEC forum

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