CityStatesDAO: An Introduction to the first Crowdfunded, Crowdowned and Crowdcontrolled Blockchain Game.

Published in
5 min readMay 15, 2021


CityStates: Medieval is a blockchain game in development. This article covers the governance, proposals and voting of token holders. For more information, please carefully read our Lite Paper and join us on messengers and social media.

Also read:
Token Sale and Seed Sale of our governance token CSM!
CityStatesDAO Terms of Service

Executive Summary

CityStatesDAO is the industry’s first attempt at decentralizing ownership of a whole game IP. The Game is developed and maintained by addirktive Games.

Members will be enabled to ring-fence against attacks and establish an inherently democratic governance mechanism so that the evolution of the network, development decisions and the subsequent value capture created is distributed fairly amongst its members instead of a centralized party. On-boarding and off-boarding from the DAO along with remuneration structures of the Team shall be transparent and in line with the principles of the DAO.
Participation in the DAO is pseudonymous and thus open to all.

A common problem in decentralized organizations occurs when large investment bodies (or “whales”) create an oligopoly by accumulating and staking a significant portion of tokens and subsequently gaining majority voting rights to influence the development of the project for personal gain.

Due to the nature of mandate selection, if a single holder owns a majority of tokens, they can theoretically decide single-handedly the recipient of a mandate and act maliciously.
Including a function whereby the cost of acquisition increases geometrically offers sufficient protection of attack from a well-capitalized malicious actor and thus the bonding curve is necessary to control both a run on the underlying capital in a market downturn as well as an attack from a well capitalized actor. The CityStates Team will work towards a fair distribution of tokens into the market at ever higher prices only.

If the community sells their tokens, this is a form of consent whereby the individual gives up their right to vote in mandate selection.

Building on top of the proven Stellar Consensus Protocol (SCP) enables CityStates DAO to create a highly scalable, interoperable and stable decentralized governance mechanism.

Interaction with DAO token holders via Mandate

Participation in the DAO should not be overly complicated for a passive member (DAO token holders). Given the history of difficulty in educating and motivating crypto-asset holders to participate in decentralized decision making, members should only need to make one decision per Mandate
(a Mandate may be one year duration to start) which should be a single multiple-choice question to approve a single Mandate among a small set of 4–5 Proposals.

Decentralization of proposal whitelisting will be introduced appropriately. The Mandate is to be curated by the current Team outlining possible changes proposed by the Team and successful proposals by token holders.

Interaction of DAO token holders via Proposals

Any token holder can open a discussion for change. The topic is entirely up to the token holder but should be detailed, coherent and within reason. Discussions with enough backing by token holders can be written by the discussion starter or someone else into a proposal. The proposal will be voted on by token holders and if successful added into the next mandate.

Achieving Quorum

Given the issues with achieving minimum quorum in related crypto-networks with on-chain governance in the past, we would propose adaptive quorum biasing whereby the minimum quorum necessary changes based on voter turnout.

Value creation for holders

All members, whether allocating capital, whether vetted or open community members, are incentivized towards the pursuit of value accrual to the DAO portfolio.
Using continuous payments to individuals who work full-time on CityStates, providing compelling bounties and rewards for community members that deliver value, the DAO’s game economy will reward members through proportional payments according to token holdings at time of payment.
Besides regular payments, the DAO will retain a percentage of crypto acquired from players as part of its portfolio for future investments and development.

Ensuring security

To ensure security of the portfolio holdings, we will use multisig wallets where as signatures are provided by the Team first. Adding at least three signature providers, will also eliminate the risk of a single entity controlling or funds getting locked in case of an emergency.
Changes like adding trusted third parties can be proposed when the DAO has evolved further. Team and contractors will be contractually bound to pursue the interests of the DAO.

Dark DAOs

A concerning attack vector arises from the creation of a Dark DAO.
Dark DAO attracts vote sellers by paying users to run their custom wallet software in exchange for “lending” their voting power until some threshold is reached to execute an attack on the DAO. Most damaging is that the turnout for on-chain voting in DAOs has been historically low and thus token holders who do not wish to exercise their voting rights or feel their vote doesn’t matter, have an incentive to “lend” their voting right to the Dark DAO in exchange for a reward.
Any such detected Dark DAO as well as accounts of exchanges and centralized/custodial wallet providers will be exempt from voting.

The Game

City States: Medieval is combining several top grossing genres of desktop and mobile games into a new game experience. Similar to other long lasting games with their own economy, the focus will be on balancing and growing the overall value of the in-game economy.
This will ultimately raise the value for token holders in form of higher pay outs as well as attract players that play to earn with more competitive markets.

To ensure a proper valuation at Seed Round, the Game is already in a state far beyond an MVP that would be usually used to raise funds from investors or publishers.

The Token

The governance token for CityStates: Medieval will use the short CSM. Natively issued on the Stellar Network, we will provide the option to swap/wrap your CSM to hold on other blockchains. Planned to support as of now: ethereum, BSC, Wax and Tezos. Support for additional blockchains can be proposed and voted on through governance.

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