PAC DAO Launches
PAC DAO has launched its founder token! Longtime readers may remember the article in which a burger, frustrated by the DC nocoiners using the crypto community as a punching bag, floated an early version of the concept:
A month later, and a phenomenal team has emerged and fleshed out the concept. The concept got picked up by the Defiant. The first drop went live this morning.
It’s an ERC-721 NFT that doesn’t do anything or confer any special rights. It’s just a way to receive a memento of support for promoting a good cause. All proceeds are being used to fund the DAO, which is planning action campaigns in accordance with its mission: PAC is not actually a Political Action Committee, but an issue group that stands for People Advocating for Crypto.
Since every NFT drop requires interesting tokenomics, PAC DAO has a fun way to reward early adopters. The initial mint price is very cheap, well below price of gas. However, the floor price increases by at least 7.5% after each mint, so early supporters get a nice discount. Additionally, the DAO address receives 10 additional tokens at the time of deployment to distribute to the community as desired.
The other aspect built into the minting mechanics is that anybody who likes can choose to raise the stakes by minting at any amount above the floor price. Should some whale choose to do this, the new floor price raises accordingly, and the supply would be massively curtailed.
Even if people just mint at floor price, the effective supply is effectively scarce.
These are the experimental results derived from the Brownie tests included in the GitHub repository. If you’re technical, it’s a great idea to read through it to understand the mechanics.
In reality the total supply has been even more constrained, as some whales have chosen to accelerate the floor price. The first several dozen tokens saw a furious fight to mint at prices cheaper than gas, but as of publication the floor price had already been pushed up to .0609 ETH, well above the price of gas.
At minimum mint price, by NFT 100, a token will cost about half an ETH. By 200, only millionaires will be able to afford it. By 300, only billionaires will be able to afford it. The theoretical cap is some number shortly thereafter when overflow errors would prevent minting. Practically, we were expecting to see zero mints, so the fact 33 tokens have already been minted is an incredible success.
If you want to learn more about the project, visit the project’s Website, Github, Discord, Telegram, and Twitter.
For more info, check out our subscribe to our daily newsletter at https://curve.substack.com/. Nothing in our newsletter can be construed as financial or political advice. Author is a $CRV maximalist, long USA and related dollar tokens, and owns one PAC DAO founder NFT.