Alethea AI Announces Token Distribution Auction
Alethea AI will be using Balancer’s Liquidity Bootstrapping Pools to conduct a Token Distribution Auction on the Copper Launch Platform.
Our Partners
Earlier this year, Alethea AI announced a $16 million, private and restricted sale of the ALI Token to selected purchasers . The token sale enabled us to onboard various Web 3.0 thought leaders and veterans such as Metapurse, Multicoin, Crypto.com, Alameda, Mark Cuban, Bitkraft, Dapper Labs, Galaxy Interactive, Gemini, CMS Holdings, and more as our partners in fulfilling the vision of the Intelligent Metaverse being built on the iNFT Protocol.
These experienced partners have been extremely consequential in not only the enhancement of the iNFT Protocol but also in bringing awareness and valuable partners to the Noah’s Ark Intelligent Metaverse.
Community First
At Alethea AI, we are firm believers of Web 3.0 principles of fair launch and democratic distribution of assets to ensure that the project’s community is not left out.
In that spirit, on October 22nd, 2021, when we launched the world’s first Intelligent Collectibles: The Revenants, we opted for an open auction model in collaboration with OpenSea rather than doing a restrictive, whitelisted, and non-transparent sale on our own website.
This transparency and openness was rewarded by the market, as the sale of the Revenants shattered OpenSea records, selling for approximately 2400 ETH in its primary and secondary market sales and skyrocketing to becoming a top 10 collection on OpenSea.
Keeping in line with our value of community first — we partnered again with OpenSea to conduct a sale of 10,000 iNFT Personality Pods that restricted mass purchase and frontrunning by bots. This resulted in no gas wars and a very fair and democratic distribution of our Pods to our community members.
It is with this community-first mindset that the Alethea AI team has decided to do a Token Distribution Auction (TDA) to distribute the native utility token of the iNFT Protocol.
The Token Distribution Auction will commence on the 28th of December at 9 AM EST and will end at 9 AM EST on the 31st of December.
Why a Token Distribution Auction?
The Alethea AI team has decided to leverage the innovative and well-tested Balancer Liquidity Bootstrapping Pools to conduct a Token Distribution Auction on the Copper Launch Platform.
Our research has shown that Copper provides the most open, secure, and user-friendly way to participate in a Token Distribution Auction. The team at Copper has built an intuitive and secure platform that we will utilize to create a TDA by using a Balancer Liquidity Bootstrapping Pool (LBP). Copper has seen an immense increase in its usage in the past few months, and the recent success seen by projects like GuildFi ($139 M sales) and Merit Circle ($105 M sales) have proven its rising popularity as an open and fair platform to conduct Token Distribution Auctions.
Since the Alethea AI TDA on Copper will utilize a Balancer LBP, it will have the following key operational features that will make it ideal for a fair and equitable launch:
- Fair Price Discovery
The TDA will allow for natural price discovery that is set by the market and will not have an arbitrary fixed price. The price of the token starts high and drops based on a pre-configured price decay curve that can be resisted by buying pressure from auction participants.
- Fair Distribution by Preventing Bots Front-running
TDAs flip the first-come-first-serve launch model on its head. During the TDA, the price for the ALI Token will start from a high point and will gradually go down if there are no buyers. This means that bots are disincentivized to front-run or snipe transactions. As time goes on, any ALI the bot purchased would drop below its initial acquisition price after the weight change if there is insufficient buy-pressure.
- Open and Permissionless Participation
There is no minimum or maximum allocation; no necessity to purchase and hold some other tokens, and no need for participating in lotteries. Auction participants choose how much ALI they want to buy. The Alethea AI team will be partnering with Synaps for our KYC needs in this auction.
The Alethea AI team believes that the success of the TDA Model in negating the various pain points of other token distribution mechanisms will only increase its popularity and we are proud to be utilizing such a fair and innovative mechanism to distribute the ALI Token.
Details of the Token Distribution Auction
The Token Distribution Auction will commence on the 28th of December, 9 AM EST, and will last for 72 hours.
During the TDA, the weights of both the assets in the Balancer LBP will be flexible and will change over time depending on the trades initiated. The moment the pool goes live on the 28th of December 2021, the weight will be set at 96:4 (ALI/USDC), and, over the time the pool runs, this weight will gradually decrease to the final weight of 60:40.
The TDA will be live for 72 hours beginning the 28th of December at 9 AM EST and will support swaps of Ethereum, WETH, USDC, and DAI for ALI tokens.
Keeping in mind the auction mechanisms, previous projects that have conducted a TDA have found it prudent to allocate a slightly higher amount towards the Auction than what the projects aim to distribute in the event. We agree with that practice and will be allocating 5% (500,000,000 M) of the total ALI token supply towards the TDA.
Tokenomics
The ALI Token is an initial fixed supply token (long term deflationary), with 10 Billion total supply, and the following token distribution:
The ALI Token has the following technical details:
- Symbol: ALI
- Name: ALI Token
- Decimals: 18
- Initial Total Supply: 10,000,000,000 ALI
- Non-mintable: New tokens cannot be created
- Burnable: Existing tokens may get destroyed
- DAO Support (Governance): Supports voting delegation
- Smart Contract: 0x6B0b3a982b4634aC68dD83a4DBF02311cE324181
For more information on the tokenomics of the ALI Token, please visit our Gitbook where we have shared a detailed breakdown of the distribution and vesting of the total supply.
Research and Preparation are Important
It is with incredible excitement that we share this news with our community. We encourage all of our community members to do thorough research on Copper, Token Distribution Auctions, and the utility of the ALI Token. Join our communication channels listed below to keep up with the Alethea AI community and ensure you hear all the latest announcements first.
About Alethea AI
Alethea AI is building the decentralized iNFT Protocol to create an Intelligent Metaverse inhabited by Interactive and Intelligent NFTs. As originators of the iNFT standard, Alethea AI is on the cutting edge of embedding AI animation, interaction,, and generative AI capabilities into NFTs. Developers can use the Alethea AI protocol to Create, Train and Earn from their iNFTs in the world’s first Intelligent Metaverse known as Noah’s Ark.
