Delving deeper into the Terraform Queue
What, when, why, how and other FAQs
After carefully thinking through the design of the Terraform and receiving a lot of valuable feedback, we’ve decided to further delay the event until September 29th.
It is of utmost importance for the long-term development of Decentraland that we get the Terraform dynamics right from the beginning. A couple of issues that remain unresolved are (i) how to prevent squatters from claiming LAND near the origin (0,0), and (ii) how to allow people to buy contiguous plots of land, or groups to collectively buy larger districts. We invite everyone to join the Slack conversation at #terraforming, and #ama-terraform for particular questions that you’d like an answer to.
The blog post below is outdated:
Due to community feedback and the evident need for more clarity, we delayed the Terraform Queue until Friday the 29th. This extra time will allow us to shed more light on what the process entails. Below we answer some basic questions and welcome everyone to continue the conversation in our Slack.
What is the Terraform Queue?
It’s a functionality that allows MANA holders to “stake” (lock in) tokens to a smart contract as a way to sign up to a queue that gives you priority to buy LAND (at the Terraform Event, which takes place in Q4 2017).
It is important to understand that the Terraform Queue is merely the registration for the LAND sale. LAND will not be sold at the Terraform Queue, rather, it is an opportunity to guarantee your spot in the actual sale.
How the Terraform Queue Works
The registration period for each queue lasts 48 hours. During this time, users can send MANA to the Terraform Queue smart contract. Doing so serves as a commitment to use those tokens to buy LAND at the Terraform Event.
Most importantly, those who sign up to earlier queues will have earlier access to purchase LAND than those in later queues. Once the initial LAND sale occurs in Q4 2017, Queue 1 participants will bid first for the LAND parcels closer to the origin (coordinates 0,0). Q2 participants will not be able to participate until all Queue 1 participants have finished bidding.
As detailed below, each queue features a contribution cap. During Queue 1, users will be able to stake up to 12,000 MANA. Since the contribution cap for the first queue is relatively low, everyone will have a relatively equal shot at claiming what’s arguably the most valuable LAND. The result is a wide distribution near the origin.
During the actual LAND sale, in Q4, those who participated in the Terraform Queue will have priority over those who did not. After all queue participants finish claiming their LAND, LAND claims revert to a simple “first-in, first-out” system.
When is the Terraform Queue?
The event will start on Friday, September 29th, 1 pm GMT. There are a total of 7 registration periods called queues, each lasting 48 hours. Thus, the entire event will last two weeks.
Why do we need a Queue, instead of simply auctioning the LAND?
Without a queuing system, the “first come, first serve” nature of the event would cause people to rush in to buy the most valuable LAND parcels. This, as we’ve learned, is far from an optimal user experience and leaves non-technical users at a disadvantage. Also, due to the contribution caps, the Terraform Queue levels the playing field for both small and large MANA holders, while making it hard to claim a lot of LAND near the origin (coordinates 0,0).
What is LAND? What can I do with it? Is there a market for LAND?
LAND is a non-fungible, transferrable digital asset. Once the platform is ready, developers will be able to publish all sorts of interactive 3D scenes, and eventually applications, on top of their LAND. Due to its non-fungibility, the trading of the LAND will take place on a secondary market.
Can I buy as much LAND as I want?
Yes, as further queues have a higher limit. In particular, the seventh queue has no limit and you can buy as much LAND as MANA you have locked.
In the terraforming event, can I bid for a parcel in a particular spot?
Yes, all bids are tied to a particular coordinate.
What happens if I lose a bid?
When you lose a bid, you keep your MANA and can take part on the next queue, with the sum of MANA staked for both queues.
If I lose a bid, can I ask that bid to be fulfilled with the next closest available parcel?
No, this will not be possible as it would make the smart contract onerously complex.
How can we ensure that the bidding process is transparent?
All bids will occur on the Ethereum blockchain. Therefore, all transactions and the smart contract are auditable.
Will I be able to see other bids?
Each queue resolution has three steps: blind bidding, revealing the bids, and resolving the conflicts. After all bids are revealed, you can see what everyone has bid for each particular LAND parcel.
What if I split my MANA into different accounts to increase my chances? There will be Sybil-attack protections at the Terraform Event. In case of a tie between two bidders, the one that provides a proof of identity will automatically win the bid. If both of them do, the conflict will be resolved randomly.
How will the anti-sybil attack work?
We will ask for proof of unique identity using the Civic platform.
What if I lock my MANA in a queue but don’t take part of the event?
You will be able to withdraw your MANA after the Terraform is over.
What about 1 LAND = 1,000 MANA?
This still stands: You can bid 1,000 MANA per parcel, or buy 1 LAND at 1,000 MANA after the Terraform event.