Defi: The Gods! Tokenomics Paper

$GRACE: In-Game Currency

Creating wealth or generating income is the focus for many players, the means and methods of creating it is the challenge. Whether it be acquiring land to exploit natural resources, purchasing equipment to go on expeditions, or hiring other players to defend caravans, players must weigh expenses versus revenue generation. Entrepreneurial creativity is highly encouraged, if not required, in Defi: The Gods!

$GRACE will serve as the native in-game currency. $GRACE, an HRC-20 Token which is at the centre of the game. GRACE will serve as the underlying asset that drives value in Defi: The Gods! Players will initially use $GRACE in the PvP Dungeon to wager on the outcome of matches. However, this is not the final driver of growth in the economy. Refinement of natural resources, bartering between players, and job markets created by players are some of the factors which increase total value added in the economy and $GRACE is at the foundation of these systems.

There will be a maximum supply of 100,000,000 $GRACE tokens

Circulating Supply

The circulating supply of GRACE is designed to encourage long term economic growth and sustainability.

In-Game Rewards

21,000,000 GRACE (21% of total supply) is allocated to a reward pool which will distribute GRACE to players through completion of in-game activities or certain behaviours, listed below are some activities that reward GRACE:

• Resource Gathering
• PVE Missions
• Market Making/Trade
• Tournaments
• Achievements

The issuance through these various activities is via a smart contract (or similar system) which distributes GRACE. The release is determined daily to properly manage inflation and supply. (Ex. If a few players are active on a certain day a limited number of GRACE is released so those few players are not rewarded disproportionately to the total player base.)

These rewards are unlocked. The emission schedule is dictated by the monetary policy of the Treasury.

Treasury

36,000,000 GRACE (36% of total supply) will be allocated to the Treasury.

The Defi: The Gods! Treasury is an aspect of the DAO, thus is managed by it. Similar to the role of monetary authorities, the Treasury controls and has functions such as:

• Set and regulate Monetary Policy
• Maintain Financial Stability
• Management of Reserve Assets
• Regulate Inflation
• Adjust Reward Distributions
• Subsidies
• Create and distribute reports for the public
• Fund expenses for team growth

Ecosystem Development, of which allocations may consist of the following:

• Content Creation
• Community Events
• 3rd Party Development
• Grants
• In-game bounties
• In-game competitions
• Bug Bounties
• eSports Tournaments
• Content Creator Support

The role of the Treasury is pivotal in creating and maintaining a strong economy. By leveraging the features of the DAO, Defi: The Gods! creates an autonomous, player-owned, and decentralised government.

The Treasury will also be the recipient of taxes and fees which can then be used to release more subsidies, buy back GRACE and much more.

Initial Liquidity

8,000,000 GRACE (8% of total supply) will be locked into a liquidity pool (LP) to create a base of liquidity for trading and an opportunity for new players to acquire GRACE.

These tokens cannot be withdrawn or used in any other way.

Team

5,000,000 GRACE (5% of total supply) will be allocated to the Defi: The Gods! team as payment for developing and building Defi: The Gods!

500,000 (0.5% of the total supply) of these Team allocated tokens will be unlocked upon Liquidity Pool Creation Event(LPCE), the remaining tokens will have a cliff of 78 weeks then unlocked over a period of 78 weeks at a daily rebalance. This is to ensure the team stays incentivized to keep building the game.

Public Sale

10,000,000 GRACE (10% of total supply) will be allocated to the public sale.

80% of proceeds from the public sale will be matched by initial liquidity to create the base pool

The remainder of funds generated by the public sale will be used for operating expenses and to hire the best in the business. Such as Game Developers, Artists, Engineers, Animators, and Producers.

If any GRACE remains at the end of the period, these will be burned and the initial liquidity will be matched accordingly.

Yield Farming Rewards

20,000,000 GRACE (20% of total supply) will be allocated to two reward pools, GRACE Staking and LP rewards.

The weight distribution and fixed emission rate is as follows:

• Total Supply: 20,000,000
• Emission Period — 5 Years
• 0.126 GRACE/BLOCK
• $GRACE/ONE: 0.7
• $GRACE: 0.3

Players will be able to stake their GRACE into the Royal Bank of Harmonia or “Royal Bank” to earn interest on their GRACE. The two ways long-term stakers may earn from the Royal Bank are Locked and Unlocked staking.

Those who wish to maintain flexibility can choose to keep their tokens unlocked and can withdraw at any time. On the other hand, players are also incentivized with a greater pool weight by locking up their tokens for fixed periods. Four options are available for locked staking periods, 3 months, 6 months, 9 months and 12 months respectively. Those that stake for 12 months will have double the pool weight as compared to an unlocked token holder.

GRACE is also the way to participate in the management and development of Defi: The Gods through the DAO, mechanics will be discussed elsewhere.

Players will also be able to provide liquidity into LPs. The primary LP is ONE-GRACE. Players may deposit liquidity at a 50–50 ratio to earn additional rewards on their tokens.

Yield Farming Rewards create a means by which players can contribute to the long-term growth of the game while also being rewarded for doing so.

To supplement and maintain these rewards the DAO can allocate funds toward yield farming incentives (subject to DAO policies). This is possible due to the revenue generation mechanisms that are inherent in the DAO.

Yield Farming Rewards are unlocked.

Links:

DTG Website
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Disclaimer: Details discussed during the AMA are subject to change without any further notice since we are constantly working on this project.