Thank you for the support and excitement around the new $DEGENS token. We are thrilled to reward our early users, who have been our most important stakeholders wagering over $3 million in volume and $750,000+ in October alone! We couldn’t do this without you! We’d like to announce a roadmap for Degens. Degens v2 will push the boundaries on blockchain based betting and create the ultimate, community based betting experience. Our goal is to roll out Degens v2 in four phases, ending with the protocol being completely in the hands of the $DEGENS community.
Phase 0: Staking
We will enable the staking of $DEGENS tokens in return for fees that the protocol generates. Specifically, 75% of protocol fees will go directly to token holders who stake their $DEGENS in the upcoming contract. The other 25% is held in the treasury for development and recurring maintenance costs. This is the first step before phase 1 community based grading goes live, where stakers will also help decentralize and secure the protocol.
For reference, there is currently an average 0.5% fee on winning wagers (0.25% of total claim amount).
Phase 1: Community Based Grading
To date, grading has been completed through various APIs and independently verified through a multi-sig across team members. This approach has allowed us to maintain an appropriate compromise between speed and accuracy. We are in active research on delivering a system that would further decentralize the grading process while maintaining speedy resolution times.
Phase 2: Layer 2
We can’t stand when the demand for applications causes gas fees to spike. While gas fees are less meaningful to large bettors, it can be painful for smaller gamblers. Degens v2 will use layer 2 scaling techniques to decrease gas for all users. Importantly, we will not sacrifice decentralization or permissionless access to the platform.
Phase 3: Community Governance
When the protocol is sufficiently decentralized, protocol fees will be fully controlled and governed by token holders, allowing token holders themselves to vote for the fee rate distribution path. At this point, the Degens protocol and treasury will be completely in control of and governed by the $DEGENS community.
We hope this has helped you understand our future plans for Degens. We appreciate any suggestions, feedback, or questions. Please find us on Twitter or in the Telegram channel.
