Origination is Launching on January 10; Announcing our Launch Partner GalleonDAO!

After a long wait, we’re excited to announce the launch of the Origination app on xToken Terminal. Origination is the second of two foundational apps on Terminal, joining Mining, our liquidity mining and management app. At launch, we’ll have completed the initial stage of our vision for becoming the investment bank for Web3.

So, what is Origination? Origination is our flexible financing framework — a platform that makes it easy for projects to access a wide variety of capital markets use cases, or “programs.” Origination is another significant piece of the permissionless financial infrastructure offered by xToken Terminal.

GalleonDAO will be using Origination to generate protocol owned liquidity for their DBL token on the Uniswap V3 DBL-WETH pair on Arbitrum, in a process similar to Olympus Pro bonding. We’re excited about this use case for our launch because it demonstrates how flexible Origination truly is. We’re also excited to be working again with Galleon after a highly successful 6-month liquidity mining campaign on Terminal’s Mining app.

To prove how flexible Origination is, we wanted to list out some of the other use cases that are accessible to projects anywhere in the world — completely permissionlessly — and are deployable in just a few minutes on Terminal.

Origination Use Cases

• a conventional public token program, where community members and institutions can invest in a project’s token in a few clicks
• a private token program where a project can register an investor whitelist with allocations per address (registering a whitelist is a simple as uploading a CSV — we manage the merkleization and contract config)
• a hybrid of a public/private token program
• a merger transaction or other types of M&A where investors in one token accept conversion into another
• a crowdfunding program where a person or team raise funds for a personal project or early stage idea

This is just the tip of the iceberg. By building permissionless, composable, and configurable infrastructure, we are empowering other builders to use our platform in any way they can imagine.

What can I build with Origination?

Origination offers many features of note, but we’d like to highlight one that we think showcases how powerful the new app can be. The feature relates to programs with a vesting period, a common capital markets scenario/feature.

For many programs, including a cliff and vesting period is standard. As an example, if a program includes a 1 year cliff and 2 year total vesting period, an investor would be eligible to claim 0 tokens after 6 months, 50% of tokens after 1 year, 75% of tokens after 18 months and 100% after 2 years.

The crypto space moves fast and a lot can happen over the course of a vesting period. As it stands now, most vested tokens are paid out by teams manually month-by-month or locked into a vesting contract and claimable only from a pre-specified address. This is undesirable for several reasons:

• What if an investor wants or needs to change their receiving address?
• What if an investor wants to sell part or all of their unvested position?
• What if an investor wants to collateralize their unvested position?
• What if a project doesn’t really want to manually distribute tokens to x number of investors every y months?!

With this in mind, when someone contributes to a program with a vesting period on Origination, they are minted an NFT representing their unvested position. The NFT holder reserves the sole right to claim tokens as they vest, allowing the holder to use the NFT as a transferable, composable asset within the Web3 ecosystem.

This architecture allows for a suite of use cases to develop — some simple and familiar and some yet to be discovered. We anticipate that an active market will develop for unvested tokens. We foresee larger investors syndicating their unvested positions via a network of angels, VCs and funds. We expect on-chain and off-chain lending markets to develop using unvested positions as collateral.

Looking Forward

We’re really excited to be launching with GalleonDAO on January 10th. Join us in Discord with any questions or comments and follow us on Twitter for updates.

Do you work on a project that could benefit from Origination? Get in touch!

What is xToken Terminal?

xToken Terminal is a permissionless investment bank. We provide seamless access to the kinds of fundamental on-chain primitives that all projects will need during their lifecycle.

Instead of allocating weeks or months to dev work building and testing custom solutions, projects using Terminal can deploy a Uniswap V3 liquidity mining program or a complex token program, for example, in a matter of minutes. Our highly configurable smart contract architecture and deep investment in UX empowers projects big and small with the key on-chain solutions necessary to bootstrap a protocol.

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