Fractionalistion Theory: How The Doge NFT is a Mini PleasrDAO
Usually we start these Doge Times articles with a bit of background about who we are and how we came to be. But today we’re diving deep, and slapping some patches on our elbows, so if you don’t know the Doge (NFT), peep this
Ain’t crypto a beautiful thing (don’t look at the charts)! A promise to share wealth, access, and opportunity with anyone, anywhere… as long as they have the internet. A promise to take the power back from the dusty grip of oligarchs. A promise to immortalise scams on-chain forever (HalfRekt anybody?). A promise you made to your parents that if they just buy ETH now, they can retire by Christmas.
Some promises are better kept than others, obvs.
As Cobie might say, the “on-chain” thing is key though, innit. The irrefutable proof of ownership. Now we’re venturing into NFT land: “things on the blockchain”. Unique things like jpegs of pixels, virtual membership cards, or the world’s most famous meme (see: us, representing Kabosu the Doge).
When PleasrDAO bought The Doge NFT at auction for MILLIONS. They took a vote. They decided to fractionalise it. You know what they voted against? The Edward Snowden piece. What a different world we’d live in if that was broken down into millions of fractions instead of everyone’s fave Inu.
They fractionalised the Doge NFT using Tessera (formerly Fractional), into $DOG tokens. Then people (you, me, etc), sent crypto to a contract in the famed Miso Auction, bidding on some of these $DOG tokens. PleasrDAO well and truly made their money back, cos people put in WAY MORE MILLIONS. They oversaw the creation of this thriving community: The Dog Pack, The Doge NFT custodians, The DAOGE, etc. They set up The Bark Tank, which uses some of the funds taken at auction to support wacky ideas from community members, to spread the gospel of Doge and Do Only Good Everyday. We fund public goods and fun times, in the metaverse and IRL.
The point is, PleasrDAO always knew that Doge belongs to the people, so its ownership must be democratised, on chain! Anyone can buy $DOG, on a number of chains too. And if you own $DOG, you “own the Doge”.
We believe in a number of big things.
- The meme economy is gonna be big. People love memes and always have. They are powerful things. People wanna own memes and join the communities that form around them. Blockchain allows for this.
- Fractional ownership is gonna be biggerer. How does one own a meme? Easy, buy it from the verified creator. But how does a whole swathe of people own a 1/1 meme? This is rhetorical by now.
- Dogs are better than cats (contentious, sure, but we’ve got a brand to build!)
- Cats are great too (part of our brand is being frenly and inclusive xoxo)
Why Fractionalise tho?
Tessera has leveled up their protocol since we turned The Doge NFT into $DOG. Now you can take a 1/1 NFT and fractionalise it into erc1155 NFTs. Each, let’s call them “mini-NFTs”, can be look like whatever you want, but the most obvious choice is to make it the same image as the original 1/1. You can set how many fractions you want created, and they all go to your wallet. Then people can buy or receive these mini-NFTs from you, and boom! they’re suddenly part owners of the original, unique “parent-NFT”. Can’t afford that Fidenza? Can’t convince your friends to chip in? Why not see if you can convince a Fidenza owner to fractionalise theirs? Oh look, someone already has. Holders vote to set the reserve price, and then if some whale comes along, looking to scoop up the whole thing, they can bid for it at reserve, which triggers an auction. When the parent-NFT gets transferred to the auction-winning whale, all mini-NFT holders can redeem ETH from the sale, paid proportionally (based on how many fractions they hold).
To fractionalise a 1/1 NFT is to maintain its integrity as a 1/1, while allowing more people to share in its ownership and build a community around it. This is what PleasrDAO knew when they voted to fractionalise our darling Kabosu. The artist wins, and the community wins.
Shared Custody Without the Awkward Court Proceedings
As the world of NFTs grow and expand, we’re likely going to see fractional ownership become the norm. DankBank is already letting you share custody of verified OG memes. Tessera is allowing anyone to fractionalise their precious holdings.
And the best part is, all the technical stuff is handled on-chain, and can be verified by anyone who knows their way around EtherScan.
Since we’re so bullish on community ownership, we wanna lead the charge. You may have heard of our Pixel Perks program. One of the first things The Bark Tank funded was The Pixel Portal, a protocol that lets you lock your $DOG, and receive an erc721 NFT which is an actual Pixel from the famous meme. We are committed to rewarding Pixel Holders, so every month, there will be a new claim window in The Pixel Portal.
September was our first month long claim window. $DOG and Pixel Holders had a month to claim an incredibly Dogey music video by pplpleasr, cloudeatr and Bassjackers.
For October we’re opening the window again, and breathing the fresh mountain air of fractionalisation. The Doge NFT bought an awesome piece of pixel art called Doge Major created by AnasAbdin. Now we’re turning it into 6969 fractions, or mini-NFTs for Pixel Holders to claim, maintaining the integrity of Doge Major as a 1/1, but letting our Doge fam enjoy it!
And then for November? Wait and see…
Just to be clear, if you own at least one Pixel of The Doge NFT, you’ll be able to mint NFT fractions from a dope artist’s 1/1. And if the 1/1 receives a bid at or above the reserve price we set, then you’ll be able to redeem your fractions for free ETH. And there’s a fresh mint every month.
Make no mistake, this is alpha.
So get yourself a piece of internet history now, own the Doge, and take part in the next evolution of web3, democratised ownership of on-chain assets.
