Grabbit Tokenomics
We’re thrilled to release Grabbit Tokenomics! This article serves as a comprehensive guide that defines the Grabbit ecosystem, discover what‘s ahead and how to get involved in our community.
Contents
1. Introduction
2. Token Allocation
3. $GRAB Utility
1. Introduction
Grabbit Marketplace is a non-custodial decentralized auction protocol on the Cardano blockchain. The protocol uses novel on-chain data structures to enable highly concurrent auctions. The result of an auction is guaranteed by our smart contracts, which makes it the ideal platform to list “bluechip” NFTs and high value digital goods.
As Grabbit development progresses, we will build out community-focused capabilities for creators, businesses, gamers, and more. They will be empowered to build a closer connection to their community on Grabbit, powered by $GRAB tokens.
With our mainnet launch on the horizon, today we offer you an insider’s view of our tokenomics.
Grabbit ecosystem, where contributors are rewarded, community-driven initiatives are supported, and ownership is encouraged.
2. Token Allocation
$GRAB is the platform token of Grabbit Marketplace.
There is a fixed total of 3 billion GRAB tokens.
The token distribution is allocated as follows:
The allocations going in order of largest to smallest will be in the following categories:
- Community: 50%
a. Platform and protocol rewards
b. ISPO rewards
c. Grabbit season rewards - Team: 20%
- Price Discovery Event: 10%
- DAO Treasury: 10%
- Creators Fund & Marketing: 10%
a. Giveaways
b. Partnership program
💡 Note: The examples of how funds will be used within a category are illustrative. The top-level allocations will not change, but within a category other sub-categories may be added.
The $GRAB tokens will be used to support the long-term success of Grabbit. After the initial token distributions, tokens will be emitted more slowly and paired with other events through the lifetime of the platform.
3. GRAB Token Utility
We have existing plans for providing utility to $GRAB token holders via the Grabbit protocol and platform, and we intend to identify and integrate additional means of providing utility as we develop new features in the future.
Protocol Fee Distribution
20% of marketplace auction fees* will be sent from the auction smart contract to the RewardsPool smart contract in the form of ADA. Anyone who stakes their $GRAB in the GRAB vault receives their proportional share. This is done via entirely non-custodial smart contracts. Protocol fee distribution is under development and will not be available at launch. In the meantime, the fees that would go to protocol fee distribution will go to the treasury to be distributed once fee distribution is released.
*Marketplace auction fees refers to the percentage fee that must be paid to the marketplace address by the user of the smart contract to conclude an onchain auction (for the seller to get the highest bid and for the winner of the onchain auction to receive the auction lot). This is a protocol parameter that can be modified by the community via governance proposals.
Governance
Since we started building, we have been fully committed to making Grabbit a completely decentralized protocol. The smart contracts are designed without any privileged actors (batchers, master-keys, etc). We want you, the users, to carve the path forward and shape the direction of the platform.
Grabbit Marketplace will begin informal governance after launch. Users will be able to create and vote on governance proposals on our forum and fund them via the DAO treasury. These are the planned steps to turn a proposal into reality:
- Proposal Creation — a community member or Grabbit staff proposes an idea on the governance forum.
- Threshold Reached — the proposal reaches the minimum upvotes needed to trigger an on-chain vote.
- Proposal Ratified — the proposal passes the on-chain vote.
- Implementation — the Grabbit dev team plans and implements the work needed to bring the proposal to life.
Although voting is performed on-chain, implementing proposals will begin as an off-chain process.
We plan to move to fully on-chain governance in the future. Participation in Grabbit governance is intended to be as seamless as possible in alignment with our focus on user experience.
Promoted Listings
In the future, users will be able to spend $GRAB to promote their auctions on Grabbit. Our vision is for the promoted listings to be as unobtrusive as possible. The promoted listings will at a minimum:
- Be clearly labeled as “promoted” to provide transparency to buyers
- Be promoted to a greater number of users on-platform than a typical non-promoted auction
Early Access Features
Grab token-holders will have exclusive first access to experimental features released in each Grabbit Season. The exact number of tokens required for pre-season access will be determined in the future through a governance vote.
Token Info
Token Name: Grabbit
Token Name (onchain): GRAB
Policy ID (contract address): df7b77a5134fcf090f8926c94c8ca9ae99279c79e5a981fe22a1523c
