Community Update #24 - $HABITAT Token

This post highlights the next steps towards the token launch.

A new token to govern the community and Habitat will be released beginning of next year. The distribution and token economics have been outlined in the last blog post.

Read about it here.

This post will outline important questions towards it. More posts and final decisions will follow.

Community Owned Liquidity

15% of the tokens will be reserved for a liquidity bootstrap sale. All collected ETH from that initial sale will be DAO owned and can be paired with the remaining $HABITAT tokens.

Creating HABITAT-ETH LP positions that are permanent therefore bootstrapping liquidity for the project. This means no need for inflationary liquidity mining programs, less slippage and a potential revenue stream of the owned liquidity position.

This sale also helps to find a new price equilibrium for the new token.

Liquidity Options

Bootstrapping the new initial liquidity for the $HABITAT Token is a key play to sustain reliable liquidity from day one. Using the token to inflate expensive liquidity mining programs is not the way to go. A new mechanism can help the Habitat DAO to remain liquid and find a fair price for the HABITAT token through organic price discovery - some options:

Balancer LBP (Copperlaunch, Prime Launch)

The bootstrap pools by Balancer can be used to setup initial liquidity in a desired ratio, e.g. 50/50, 60/40 or can perform full sales between a pair of tokens , e.g. HABITAT-ETH, HABITAT-DAI. In any scenario, the pool or proceeds from a sale are subject to governance and controlled by the DAO.

Depending on future deployments, this initial bootstrap could be done on e.g. Arbitrum.

Liquidity Bonds Program (Olympus Pro)

LP tokens are exchanged for a specified amount of HABITAT tokens, which can be staked or used in governance decisions. The LP token remains under DAO control and is managed by token-holders (3,3). We are in touch with Olympus Pro on this matter.

Claimable Tokens for Community

Based on a snapshot of $HBT holders taken before the Multi-Sig incident, people can claim their share of $HABITAT token. You can check your claimable amount on this list.

To prevent price crashes and liquidity drain by people selling $HABITAT tokens immediately, the new tokens will be vested and released on a weekly basis.

Starting with small steps e.g. Week 1: 250 HABITAT / Week 2: 500 HABITAT / Week 3: 800 HABITAT and growing over time. The amounts will be added week after week - so you can wait a couple of weeks to claim all tokens at once, e.g. after week 3 you can claim a total of 1550 HABITAT.

To still be eligible to vote on governance during the vesting period an NFT can be claimed by anyone on the list. This voting card NFT will be explained further in an upcoming blog post.

Roadmap

The focus is currently on v2 product development. The idea is to launch $HABITAT when v2 will be released. That creates more awareness about the token and the product alike.

Focus on communication and marketing will happen shortly before the launch and after (financed by the DAO). We hope to onboard communities already and will start outreach to potential users as lighthouse projects (including Habitat DAO).

More info about the vesting schedule, NFT voting cards and overall Habitat governance will follow the next weeks to come.

Team Update 📣

• pinkiebell is sick since last Wednesday. As tech lead he is in charge of the technical development of v2.

• v2 product design and prototyping is currently worked on by the team (needs to be finished so pinkiebell can start).

• new designs for the app and NFT are worked on.

• thanks again to all the contributors (tjvs, streamerd, vane, shadabk) and active members in the chats!

Happy Holidays 🎄

Happy holidays everyone! Either for Christmas or other celebrations, enjoy the days off and a happy new year 2022. Hoping that crypto and Habitat will take off even more :)