First Annoucement
What is Niubi Governance and why do we need it ?
Intro to Niubiswap
https://snapshot.org/#/niubiswap.eth
Niubiswap is a decentralized exchange, automated market maker yield farm, aiming to become a decentralized autonomous organization (DAO) or more precisely, to work as a decentralized autonomous company (DAC) and investment fund, building DeFi services, leveraging the Binance Smart Chain, and focusing Asian market as main strategy.
Chinese founders with Fair-launch and early community-exit strategy (by Vitalik) and community-driven strategy
Just like any other project, Niubi has a team of Founders, administrators, contributors, and shareholders. Niubiswap was designed and built with a real fair-launch model, with the goal of transitioning to a fully decentralized organization where NIU holders would participate in the decision-making process. The founding teams goal was to participate in this fair launch, bootstrapping the foundation of the Niubi project, and supporting initial development for a further "community exit" (https://twitter.com/VitalikButerin/status/1296963994637316096) strategy with natural dilution and the wide token distribution, providing the project with a strong roadmap focusing on asian countries and communities.
Only 25,000 NIU were initially minted and half of it was distributed to early team members and founders (chinese team behind Niubiswap who invested to start it, with french and U.S. advisors, along with anonymous Developers on Binance Smart Chain). No ninja mining, no secret allocation. Only 15,000 NIU reserved for the team (very low considering 300,000 NIU printed/day) with 9% of the Niubi Dev Fund remaining untouched since the project's launch to prove that the Niubi founders are committed to growing the project for long term development.
Already decentralized after one week
With about 300 000 NIU tokens minted every day, NIU is being distributed to early farmers and newcomers, along with the founding team. The Niubi Dev Fund account (minting about 9% of all NIU token) is already diluted. The founding team currently owns about 5% of the total token supply. Because the founders of the project own such a small percentage of the token supply, in combination with the project being community driven, the project is mostly decentralized, meaning the community has power over the founding organization due to the dilution of the founding teams supply.. It's in the NIU users interest to consider that we are all part of a decentralized, autonomous company and building this together as partners. The project should then adapt accordingly with the implementation of an open-decision making process.
Why is it important and why other project might fail while Niubiswap will succeed in the game ?
Open decision-making and collective intelligence are our secret ingredient to succeed in a dynamic and competitive market. We need to quickly adapt to the competition, and be able to leverage collective intelligence and any open contribution by being fully inclusive and incentivizing participation of talents with all possible inputs.
As other Yield farming competitors will become more decentralized and diluted, they will be abandoned by owners without any possible solution because they will lose skin in the game. If there is no incentive to participate in the projects development on a decentralized level, there is always an incentive for the developers to get the most out of the project they are creating, and this can lead to early exits, otherwise known as RugPulls.
More traction, more R&D, more risks, raising the question of transparency, governance, token economics, centralization. Niubiswap is focusing on solving those issues by-design with a decentralized and community-driven strategy. Featuring a native governance token called NIU that is fully community distributed, decisions will be taken by NIU holders in a DAO Governance platform, we are partnering with the famous Snapshot using weekly polls. See [Niubiswap Governance]
Teaching users: Niubiswap should be committed to educate users how DeFi and Yield Farming works. Educated users become valuable shareholders as they will be able to contribute to the strategy, development and marketing plan with their talent and networks. As soon as they understand the underlying principles and mechanisms of a decentralized and autonomous company, they can contribute to it, as NIU holders and shareholders
Faster than expected. Time to decentralize.
To reinforce the project’s commitment to being created solely for the benefit of users, Niubiswap is following a fair launch model with its governance token (NIU). However, while NIU will enable all the governance activities of Niubiswap, and therefore its future development, governance proposals will not start until one month after the launch of Niubiswap. This waiting period of one month is to ensure that enough NIU is distributed to the community and that the Niubiswap foundations and governance model are set up correctly for decentralization.
After one week, we did realize that things are going faster than expected. The community took over the NIU tokens and some huge investors and early believers jumped in. Considering the current NIU token price and its distribution, we think it would be in the best interest of all parties involved due to the timing of our growth to begin the governance process and community-driven strategy at a faster then anticipated time frame.
Lessons in Skin in the Game from Nassim Nicholas Taleb
Skin in the Game: Hidden Asymmetries in Daily Life is a 2018 nonfiction book by Nassim Nicholas Taleb, a former options trader with a background in the mathematics of probability and statistics.
Taleb's thesis is that skin in the game—i.e., having a measurable risk when taking a major decision—is necessary for fairness, commercial efficiency, risk management, along with the capabilities to understand the world around you.
Decisions should be made by the people who will personally benefit or suffer, based on their outcomes/consequences (i.e., people with their skin in the game).
Skin in the game is not just an incentive problem; it’s about upside and downside risk, and having symmetry in both.
Niubiswap users, hence NIU token holders will personally benefit or suffer from these decisions. Those decisions should be handled by NIU holders.
Niubi current token economy
300,000 NIU minted per day, with 60% sent to Niubi Zone (FARMS), 30% to Hongbao Zone (POOLS), 10% to Niubi Dev Fund (current managed by the chinese core team, will progressively be managed by YOU, NIU holders. Still untouched from day 1. 0$/0 NIU sold).
Of those 300,000 NIU/day, 20% will be sent to the Dev Fund reserve (6000 NIU), 10% to the Team & Ops (6,000 NIU), 10% to the Daily Special lottery (3,000 NIU / 50% for the winner - 50% burned,) 10% Burn from the Dev Fund (3,000 NIU), 40% of the Investment Fund is sent to reward Hongbao (12,000 NIU).
Dev Fund reserve and Team & Op represent 12,000 NIU per day, 6,000 currently distributed to the Niubiswap developer, and myself, the Niubiswap strategist and contributor.
The Chinese team is not touching any NIU for the moment and holding to build a long term project. This means we have 6,000 NIU/day to distribute to Niubiswap contributors, developers, designers, and marketers. As a decentralized and autonomous company, we will decide collectively how to use these funds.
We will progressively provide governance via the investment fund as well to be able to take advantage of any solid opportunities to distribute more rewards to our NIU holders and Hongbao stakers.
Niubi Open decision-making
If you imagine a spectrum of decision-making philosophies, where one end of the spectrum consists of a closed approach involving few people, little or no input, and decisions that are made in a hierarchical or autocratic fashion, and where the other end of the spectrum represents an open approach involving many people, lots of input and consultation, and a more bottom-up approach, the philosophy we advocate is very near the open end of the spectrum. The basic philosophy is that the most reliable way to make good decisions is to capture the collective wisdom of a large group of people rather than relying on one or a few people. In order to do this, the decision-making process must be highly inclusive and it must allow consensus to emerge where it exists.
The open decision-making approach includes elements that many people find counterintuitive or contradictory to their "upbringing":
Consensus is easier to achieve than you might think.
You don't have to control decisions as much as you think.
Encouraging controversy early in the process results in better decisions and less controversy later.
Ideally, the process used for making a decision should produce three results:
Make the best possible decision. Given the information available, the decision process should make the choice that produces the best results for the organization.
Do it efficiently. The decision should be reached quickly and with reasonable expenditure of time and effort.
Get buy-in for implementation. It's important that people in the organization believe in the decision; if not, it is unlikely to get implemented effectively.
Steps to a Decision
Open decision-making involves four steps
Collect input widely
Facilitate consensus
Announce the decision clearly
Don't reconsider the decision unless there is significant new information
But What is There to Decide?
Global strategy
Niubi Dev Fund allocation
Team & Op (6000 NIU/day)
Development (6000 NIU/day)
Investment Fund (to rewards Hongbao NIU stakers and NIU shareholders) (12000 NIU /day)
New features
Setup parameters / fees / % / allocation / multipliers / etc.
When and how do we start ?
Right now, every day starting from tomorrow, we will publish several proposals to vote, and decide collectively how to spend the dev funds and validate all our decisions and strategy by the community. If voted with more than 60%, proposals will be executed after
specs validation
cost estimation
contributor hiring/ selected by community (Worker Proposal)
The current founder team has several resources and contributors, including independent developers, designers, marketers, and more. We are able to manage the next steps, but all talent are welcome to participate in the Niubiswap ecosystem by submitting Worker proposal, or Suggestions on the Niubiswap Governance
The whole process will be supported by qualified strategists including the current team.
Discussions using Telegram and Discord
We decide use Telegram Channel to track each Official proposals and Telegram Group to open discussion. Discord will be used for more serious conversations with direct contributors and builders. For each official open proposals:
dedicated Telegram Channel
dedicated Telegram Group
dedicated Discord channel
Snapshot DAO quick guideline
Partnering with the famous Snapshot app with our own Niubiswap space to manage our DAO. Every NIU Members will be able to participate in the governance process using their wallet and NIU token to vote on Snapshot.
We will start with:
Official Proposals: made by initial support team
Worker proposals: to respond to call for contributors, for specific mission or any spontaneous application)
Suggestions: bring your nice ideas, and get it voted by the community and implemented, get rewards/tips for your contributions
All contributor posts should include author wallet address, with the following. "To tips my contribution, send NIU to 0x............" The community will be then able to vote and tips best contributions to the Niubiswap strategy. Later we will implement a social media layer to facilitate these users interactions and support and a contributor Leaderboard.
Next proposals and Niubi Strategy
by order of priority, we need to work on Governance setup, deflation mecanism, incentive to hold NIU / utility, marketing and dev strategy.
Detailed Niubi Governance Process
(17-21 March) This is just a first announcement. The whole gov process will be fully detailed in the next days and posted in Snapshot platform to be validated by NIU holders.
Deflation Mechanism
(est. 18-22 March) Our best strategists are working on a deflation mechanism proposal for the community to vote, this will include a plan for print rate progressive reduction, as well as many features we can quickly implement to add burning mechanism. This can be implement right after the vote
Incentives to hold NIU / Token utility
(est. 19-30 March) Each feature will be fully explained, discussed and voted. We are also hiring more developers and resources to contribute to the project.
Special Hongbao: stake NIU earn other tokens (reward stakeholders with investment fund, dividend-style)
Lottery: bet your NIU, win NIU. (burning fees)
Games: spend your NIU on games
Daily special lottery: everyday a special winner
Investment Fund strategy to reward NIU
Social media / community layer: use NIU to post your contribution blog, comment, discuss about NIU, tips other users
Niubi launchpad : asian communities yield farming generator, with embedded NIU token utility, pairs, pools, audit, starting liquidity. (similar as Layered farming on GooseDefi but backed up by real projects, communities who will fork our Niubiswap community-driven model)
Niubi launchpad status holding incentive: (bronze/gold/platinium) + access to Asian Yield Farm presale
Marketing and dev strategy
(est. 20-30 March)
Starting from April we will develop voted features.
Let's start this Community-driven project. NIU holders.
----
Last updated