A new way for makers and artists to get paid.
The exponential growth of DeFi in the past nine months has sparked a flood of radical experimentation in smart-contract and Dapp design. From farming $SUSHI and $YAM, we have all seen the jokes that “we’ll run out of food emojis soon.” The APEcoin Dev team realized the world is already farming memes, and as a result, we conceptualized and set up MemeFarm.io.
Non Fungible Tokens (NFTs) have been around since the counterparty.io days of 2015. The advent of bitcoin/blockchain didn’t just create a digital currency — it also created “scarcity in a digital medium.” This was a game changer. Before this, all types of digital media had been easily shareable and replicable, with no way to tell the difference between the original and a copy. The blockchain issuance model of bitcoin changed all that. Only 21 million bitcoin will ever be produced, scarcity is built-in, supply is fixed, and every bitcoin is immutable.
Now extend that model beyond currency to art work, music, and design — basically any other form of expression that can be digitized. Suddenly, the control of scarcity and the ability to create a single verifiably unique version of anything digital is back in the hands of the artists and creators where it belongs. As a result, the NFT sector is also seeing significant growth — first with the rise of Crypto Kitties and more recently the success of NFT creation and auction platforms like Rarible & Mintable.
As much fun as working on a meme project is, we are taking this seriously. Having been in the industry since 2014, we have witnessed that the simplest ideas in crypto — like the advent of ERC20 token standards or AMMs like Uniswap — can also be the most revolutionary ones.
Today, artists and makers have few choices as to how they commercialize their NFTs. They can either find buyers themselves or set up an auction through platforms like Rarible — where their success will depend on how well they market their creations and how hard they work to establish a market price.
We think there’s a better, simpler way. They could bootstrap the price discovery through a novel curation farming mechanic. We’re calling it the NFT DAO, and it could revolutionize how these trends interact on a whole new level.
NFT DAO offers a new choice to makers and artists:
- They can submit their NFTs to the NFT DAO. MemeFarm token holders vote to accept or reject submitted NFTs.
- The artists of the accepted NFTs then receive their share of NFT DAO’s monthly rewards. And the farmers compete to ‘mine’ those NFTs.
This is a really simple and elegant solution design.
Our hope is that one day a great artist like Banksy decides to produce an exclusive one-off NFT and chooses to submit it to the NFT DAO instead of regular auctions. This means it’s never possible to bid on it — you have to farm on MemeFarm.io for a chance to own the NFT.
This can be easily expanded to Audio NFTs, 3D printed schematics and other valuable, digital-only goods.
The NFT DAO can also be expanded to reward developers and accommodate for bounties. Such proposals would be submitted to the DAO for MFRM governance token holders to vote on.
MFRM is a 100% fair launch — there is no pre-mine of MFRM at all.
How does NFT DAO work?
Regular farming can be boring — users provide liquidity in assets like ETH to receive LP rewards. Instead of just getting a APY via LP tokens, farmers also ‘mine’ NFTs.
In the NFT DAO solution design, 25% of all farming rewards goes to artists and makers. This is used to bootstrap a competitive marketplace.
- Farming pools work like normal — except all rewards go to the NFT DAO first.
- The DAO then splits the farming rewards 75/25 — Farmers get 75% and the opportunity to mine an NFT.
- The DAO distributes the remaining 25% of the farming rewards to the artists who successfully have their NFTs accepted by the NFT DAO.
- Anybody can submit NFTs to the DAO. A simple interface will be built to make this easy.
- MemeFarm governance token holders ($MFRM) vote on which NFTs are accepted.
- The DAO will start with a maximum of 15 NFT’s accepted by the DAO every cycle (monthly).
- The accepted NFT’s are held in trust by the DAO until ‘farmed’ during each monthly farming period.
- The Artists of those accepted NFT’s receive 25% of all farming rewards for that month.
- NFT’s are not fractional — in the example that the maximum 15 NFT’s are accepted in any given month, 2/3rds of those — 10 NFT’s will be awarded to the top 10 farmers by rank.
- It is random which exact NFT winning farmers get.
- And to make it fair for smaller farmers, 1/3rd of the approved NFT’s (5 in this example) will go randomly to farmers with less than 10 ETH
Please note, that the above NFT rule-set will be live after the first 30 days. It’s going to take a few days to create the front-end for artists to start submitting NFTs.
During the initial 30 day period of mining, farmers get 100% of the farm rewards. The initial NFTs are the in-house produced ‘crypto girlfriends’ — the Meme Farm developers will not be compensated for these initial NFTs — they are there to bootstrap the Meme Farm NFT DAO concept.
We believe that our solution design, as simple as it is, will create an alternative for artists and makers of the rapidly growing NFT industry and take on a life of its own.
The DAO structure is the only suitable mechanic and we have addressed the incentives for both the farmers and artists in our design in a fair way.
When Launch, Sir?
Please note that our core developer is working with 3rd party auditors right now to not just review the code, but to upgrade it to factor for the new NFT DAO solution design. We have discovered through the audit process, that the SmartContract needs adjustments to allow for NFT DAO to exist. This means we need a little bit more time before farming can launch — but this will avoid having to do a token-swap in the future.
When the initial farm goes live, it will be a 100% “Fair Launch”. All farmers will receive 100% of all the rewards for the first 30 days.
After the first 30 days, the farming rewards will drop to 75% to accommodate for the NFT DAO rewarding artists. This is to give artists the opportunity to submit their NFTs and for initial $MFRM tokens to be distributed so there’s enough people voting Yes/No on submitted NFTs to the DAO .
So if you are an NFT artist or maker — put on your nicest straw-hat and ready your most exclusive artwork because Meme Farming just got a whole lot better.
If you are a refined NFT collector and critic — get ready to farm some $MFRM to be the first to exercise your voting rights and decide which exclusive NFT should be accepted by the DAO!
This is going to be fun!