FAQs: NFT Battles

4 min readJan 23, 2022

For a full breakdown of NFT Battles, visit this article.

What does “no-loss” mean in the context of NFT Battles?

NFT Battles are designed to be “no-loss”, meaning an NFT Holder staking their NFT in a Battle will not leave the Battle Arena with less than they arrived with. For this reason, we compensate gas fees so NFT Holders are not unfairly disadvantaged for having staked their NFT and participated in a battle. They also receive additional $ZOO tokens to reward them for participation, even if they lose the battle.

As an NFT Holder, do I retain control of my NFT? Do I lose my NFT if I lose in battle?

NFT Holders staking their NFT receive a “wrapped” token of their NFT as a placeholder, ensuring that they never lose control of their digital assets.

Losing an NFT Battle does not mean the user loses their NFT; their digital assets are not diminished in any way. The NFT may be un-staked at the end of the NFT Battle round and returned to the NFT Holder’s wallet.

What happens if an NFT receives no votes in Stage 2 of voting?

An NFT receiving no votes in Stage 2 cannot be paired for battle. The NFT Holder may un-stake their NFT at the beginning of Stage 3, or leave their NFT in the Battle Arena in preparation for being automatically re-enrolled in the next round of battles.

Doesn’t distributing $ZOO tokens in compensation for gas fees deplete the treasury?

No. Distribution of $ZOO in compensation for gas fees is central to our no-loss gaming strategy. Each battle returns a small portion of $ZOO to the gas pool (Stage 5), enabling a consistent supply. As gas fees fluctuate, compensation in $ZOO will also fluctuate; the team is working towards future solutions which reduce the cost of gas fees to minimize the number of $ZOO tokens distributed in compensation.

How is yield generated to reward participants?

$DAI generates yield in NFT Battles, by being staked in yearn.finance for the duration of the NFT Battle. ZooDAO is in conversations with other yield providers to ensure that NFT Battles may continuously return stable and predictable yield for participants.

Am I required to vote in both $DAI and $ZOO?

No. NFT Battles are designed to be as inclusive as possible, while rewarding long-term supporters of the project. For this reason, the first round of votes is conducted with $DAI, a readily available token which does not require new users to swap or buy $ZOO tokens. Community members who hold $ZOO are rewarded for their loyalty with the possibility of voting with $ZOO in Stage 4. NFT Voters do not need to use both $DAI and $ZOO to vote — they can choose one or the other.

How do you prevent manipulation of voting?

NFT Battles reward early voting, by assigning a multiplier to $DAI and $ZOO staked in favour of an NFT based on the time of voting. Early voting is rewarded with a 1.3x multiplier (1 $DAI generates 1.3 votes) during Days 1–2 of Stage 2 voting. Similarly, late voters are disadvantaged, with 1 $DAI generating 0.7 votes during days 6–7 of Battles. Applying weighting to votes discourages a large number of votes last minute.

Do $DAI and $ZOO have the same voting power?

$DAI and $ZOO have the same voting power in battles, regardless of their current market price.

Can I boost votes in Stage 4 with $ZOO if I didn’t vote in Stage 2 with $DAI?

No. Only NFT Voters who voted in Stage 2 with $DAI are eligible to stake $ZOO to boost their selected NFT in Stage 4.

What incentive does an NFT Holder have to stake their NFT in ZooDAO’s dApp?

NFTs sitting in a wallet generate no additional value for users. The key incentive for NFT Holders to stake their NFT is the ability to generate additional value by leveraging their digital assets. If that’s not enough, NFT Holders are rewarded with yield generated in $DAI upon winning battles, as well as $ZOO tokens as an additional reward.

Why vote with $DAI and not with other tokens / stablecoins?

$DAI is a readily available, highly accessible token, pegged to the US Dollar and kept stable through a framework of aligned financial incentives. Using $DAI limits the barriers to NFT Voters participating in battles, and ensures that yield generated through battles retains its value. Through highs and lows, $DAI provides stable returns to users on staked NFTs.

For more on our choice of $DAI, see this article.

How many NFT Battles occur simultaneously?

We don’t yet have a cap on the number of NFT Battles which may be launched simultaneously; this will be determined by the capabilities of the network to keep up with demand. Should we need to limit the number of battles occurring at once, we will communicate this to users.

What happens if I want to un-stake my NFT in the middle of a battle round?

NFTs may only be unstaked at the end of Stage 5. Un-staking during the battle is not possible, as it would disrupt the battle sequence. Battles last a maximum of 18 days.

Battles seem to take a while. Can’t they be shortened?

In order to generate rewards for users, we need to stake the $DAI gathered in Stage 2 for long enough that we provide high enough rewards to users. Reducing the length of battles would require a more unstable staking strategy, which would be unlikely to generate the consistent rewards we aim for to provide NFT Holders with an incentive to participate.

Can the mechanisms of battles be changed?

Only the DAO may change the mechanisms of battles, with a vote submitted through Aragon. Some mechanics of NFT Battles can be altered automatically upon passing of a vote through the DAO, as we explain in this article.




ZooDAO is the first community-governed platform enabling users to generate yield from their NFTs.