**AIP Proposal: Airdrop for Long-Term Holders and Stakers**

AIP Proposal: Airdrop for Long-Term Holders and Stakers

Abstract:
This AIP proposes an airdrop that will distribute either part or nothing at all of the remaining ApeCoin treasury to long-term holders and stakers of $APE. This initiative is designed to reward the loyalty and commitment of the ApeCoin community members who have supported the ecosystem through extended periods. By providing these rewards, the proposal aims to further incentivize holding and staking, strengthening the community’s stability and engagement.

Team Description:

  • Posco: Lead Developer with extensive expertise in EVM contracts and a proven track record in executing secure and efficient airdrops within the blockchain ecosystem.

Benefit to the ApeCoin Ecosystem:

  • Rewarding Loyalty: Recognizes and rewards the commitment of long-term holders and active stakers, enhancing their ties to the ApeCoin community.
  • Encouraging Long-Term Holding and Staking: Incentivizes users to hold onto their investments and participate in staking, contributing to the stability and security of the network.
  • Boosting Community Morale and Engagement: Airdrops are often viewed positively by the community, which can increase overall engagement and participation in governance.

Key Terms:

  • Airdrop: A distribution of a cryptocurrency token or coin to numerous wallet addresses, typically based on a set of criteria established by the issuer.
  • Long-Term Holders: Individuals who have held ApeCoin for a predetermined period, which will be specified in the airdrop criteria.
  • Stakers: Members of the ApeCoin community who actively participate in staking their tokens to support network operations and governance.

Platforms and Technologies:

  • Smart Contracts on Ethereum: Utilizing Ethereum’s robust network to deploy smart contracts that will manage the airdrop distribution securely and efficiently.
  • Snapshot Tools: To identify eligible wallets based on their holding and staking duration.

Steps to Implement and Timeline:

  1. Criteria Definition and Snapshot: Define the eligibility criteria for long-term holders and stakers, and take a snapshot of the blockchain to identify qualifying wallets (Month 1).
  2. Smart Contract Development and Testing: Develop and rigorously test the smart contracts that will handle the airdrop process (Months 1-2).
  3. Community Review and Feedback: Present the plan to the community, incorporating feedback to ensure transparency and address any concerns (Month 2).
  4. Execution of Airdrop: Launch the smart contracts to distribute the airdrop to the wallets of eligible community members (Month 3).
  5. Post-Airdrop Review: Evaluate the effectiveness of the airdrop, gathering community feedback and making adjustments for future initiatives (Month 4).

Key Milestone:
The proposal will be considered fully implemented once the airdrop is successfully completed and the tokens are distributed to the eligible long-term holders and stakers.

Overall Cost:
Total amount for the airdrop is now your choice:
0%
10%
25%
50%

The costs associated with developing and deploying the smart contracts are expected to be minimal and will be covered by the existing operational funds, not requiring additional external funding.

So is this just cashing out the treasury and rewarding people who may or may not have been active members of the DAO but have held and staked?

I’m not sure how a retroactive airdrop encourages long-term holding and staking without the promise of a future airdrop for doing so.

I like the concept of incentivizing activity in the DAO, utilization of ApeCoin and building on ApeChain, but I don’t think this model is the best way.

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Your expertise in EVM contracts and the minimal expected costs are great. However, distributing 50% of the remaining ApeCoin treasury may pose a significant impact on the DAO’s financial reserves…

Curious to see what members think :apecoin:

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Just from chatting with some community members who said they wanted another airdrop of $ape. Just something I thought of and a great thing to discuss imo.

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Gotcha. I’d love to create more avenues (similar to ThankApe) to reward $APE holders for participating in the growth of the DAO (and with a LOT less $APE involved).

That’s something that I think we can form a coalition around.

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Another proposal to bleed the DAO of funds with out generating anything of value

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I get your point and actually from this AIP the goal of this proposal is to incentivize engagement and activity in the DAO as well as encourage long-term holding and staking of ApeCoin but dont you think it can also bring some negative vibes like bots and all.

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Few issues I see with this idea:

  1. AIPs requesting over 5% of the treasury are never simply sent to vote - the justifications given will not convince any of “them” this delivers more value than it extracts and should go to vote with a 50% cost. (For many the treasury size is our greatest strength.)

  2. You say no additional costs with creating the contracts - how so - no external audit? No bug bounty? We just trust you’ve got it 100% and then hand off 50% of the treasury?

  3. How does an airdrop “incentivise longterm holding”? These are just words with zero substance.

  4. This line too:

Can you elaborate on what this actually means - are you talking about holders and stakers of apecoin now? In the future with apechain? The whole of bullet point two under benefits needs elaborating on tbf.

Tl;dr - I’m not sure if this post is serious. I’m trying to be more supportive lately of people and ideas but this one just makes me mad ngl. The DAO is here to help create what’s next, and be around for decades doing so - this idea ensures neither imo.

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I strongly believe that the impact of this AIP will be the opposite of the goals it has. There will likely be a massive dump, immediately, as selling immediately likely has the highest EV for anyone that receives the airdrop. It will greatly hinder the size and scope of projects the DAO can afford to take on in the future, even more so than 50% that the DAO would lose when you consider the price dump that’s likely to occur when that many tokens immediately come to market.

The APY benefits of staking $APE are already extremely generous. I don’t see how this creates any sort of meaningful new mechanism to drive positive engagement. If people want consistent $APE generating benefits, they can buy and then stake.

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This ape smart. Using the big brains here

I witnessed a lot of the community asking for additional rewards for long term holders. I thought this AIP was a great way of leaving it to the community to test where they would vote.

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Appreciate you ape feedback brotha

I agree with that sentiment but this is to see what the community wants

Don’t you think 50% is a bit much? Why not offer a variety of choices, which includes an option for no airdrop, to actually see what the community wants? This would be unbelievably harmful to the ecosystem if it were to pass, IMO.

Wouldn’t having a tiered vote not currently be possible. If it is then that is a great idea. I picked a number I saw a lot of people on Twitter were talking about. In my opinion 50% would be a great way to see what the community votes for. Please @12GAUGE.Admin are we able to do a multiple choice vote on snapshot?

I appreciate the effort in putting this out, but I don’t think this is a good idea.

We’re on the cusp of the launch of ApeChain which will give the community a platform to use the Treasury to build out real utility for ApeCoin. When that’s successfully launched and has continuous growth, it will create a massive amount of new demand for ApeCoin as new community members buy ApeCoin to enjoy the ‘theme park’ that ApeChain will be.

If we focus on releasing new supply from the Treasury for projects that will lead to more demand increase for ApeCoin than the amount of supply released in the commercial agreement, the entire DAO will become sustainable in the long-run.

Unfortunately, I think this proposal would do the opposite…release a ton of supply without adding any utility that increases broad demand for ApeCoin ownership.

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There are constantly multiple choice votes on snapshot. It’s possible, so long as one option is to vote it down.

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Hi @Xavierfreeway ,

Just following up here to confirm @mattborchert’s answer is indeed correct.

Thanks Matt,

-12GAUGE

Well Thank you @mattborchert <3

Here’s an alternative idea to be iterated on that I think can actually make a difference:

This AIP proposal, by design, will bring precisely 0 new participants into the $APE ecosystem as it strictly rewards those who are already involved. I see zero benefit in this.

Instead, create a fund which is set aside to reward builders which adapt $APE and create usage. Set aside something like 10% of the DAO’s funds to create a sizeable pool of money. Set a timeline that gives builders enough time to build something meaningful, perhaps a year. Then at the end of the time period, or at set milestones during the time period, reward these builders with $APE airdrops based on the TVL of $APE usage they generate.

At least that gives $APE a shot at generating new users, which is critical, and will hopefully provide some real-world use cases for the coins. It would be a no-brainer for devs who are already building a service to simply incorporate $APE into what they’re doing in return for the stimmy the DAO would eventually provide if they were to be successful. It also incentivizes builders to focus on $APE to increase the TVL, thus increasing their total potential reward. If a builder were to capture 10% of this TVL, that reward could be significant.

Think about scale. It’s all about scale of impact. We must move away from centralization and continuing to focus on the small amount of current participants. $APE cannot thrive with that philosophy.

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