Degen Vibes Draft

Planet Degen is dying. The inhabitants of the planet have neglected the environment and used up natural resources at an unsustainable rate for years. Climate change has caused coastal flooding, forests have become deserts, temperatures continue to rise, and air quality has become almost unbreathable. They call out on-chain carbon markets as one of the best ways to fix this shit. They are besties with KlimaDAO.

Most species of life have suffered from mass extinction. The only known surviving inhabitants are 3,333 Degens. But the Degen Vibes cannot survive for long on the surface. Their only hope is to descend, one-by-one, to the Photo Labs, the OG CLUB. The only entrance to the DegenVibes CLUB, deep below the planet's surface, is via an elevator that has space for only one Degen at a time.

As time passes, more and more Degens will join the CLUB, forming a DAA. Together the Degens must plan for the survival of the species. How to best use the limited supply of GOOD VIBES to sustain themselves? Can they develop tools and accessories to reverse climate change and heal the planet? Or should they develop spaceships and related technology, to embark on a space voyage in search of a new hOHM? And could the rumors be true, that some of the Ohmies have managed to survive as well? Members of the Degen Vibes CLUB will have to decide where the Odyssey goes from here...

LFG Degen Vibes are sold via auction, with only a single Degen being auctioned at any time. Bids are submitted on the Polygon network in WETH. When each auction ends, the auction is settled and the Degen is transferred to the winning bidder. The reserve price (minimum bid amount) is 0.05 WETH (subject to change). The time period for bidding varies from 2 hours to 24 hours. The initial plan is for the auction cadence to settle at one per 24 hours after the first 50 Degens. But this ongoing cadence could be changed by the DAO if members vote to do so. All bidders (including winners) receive VIBES tokens.

The WETH proceeds from Degen Vibes auction are immediately and automatically invested in DeFi and start earning yield for Degen owners. The WETH is invested in the "Best Yield" vault on Idle Finance. The current strategy for Idle WETH Best Yield is invested 100% in Aave V2 (Polygon). Idle tokens representing the vault shares are issued to Degen Vibes contract. Distribution of proceeds is as follows:

50% for the past, 50% for the future 50% is streamed back to past Degen collectors & artists. 10% is used for bootstrapping protocol owned liquidity. The remaining 40% goes to the treasury, where it is controlled by the DAO. ELI5: Degens sell NFTs, they issue tokens, they invest a treasury with onchain governance! And they stream rewards to the NFT collectors. LFG!

Degen Vibes #1, the very first auction, will be used to add liquidity to the VIBES/OHM pair. Protocol Owned Liquidity allows for crypto assets to build a permanent, algorithmically deployed liquidity base for our VIBES/OHM pair.

VIBES -- are ERC20 tokens issued to all bidders of Degen Vibes auctions, including both unsuccessful and winning bidders. VIBES tokens are issued at a ratio of 1000:1 based on the bid submitted. For example, a bid of 1 WETH would result in 1000 VIBES tokens.

Degen Vibes owners are members of the DAO: one Degen equals one vote. DAO members control the treasury and decide the future of Degen Vibes. Goal is to design something that allows NFT ownership with real yield. The DAO may review buybacks to ensure the token trades inline with its treasury value, inspired by OHM reverse bonds, a market driven version of buybacks.

Any member of the community can create a proposal on the Discord forum for discussion before being posted to Tally for a governance vote. The core team will be initially comprised of OG community members who are primarily responsible for facilitating off-chain processes. These can include, but are not limited to, establishing strategic vision, coordinating working groups to execute on community-approved initiatives, and proposing strategic initiatives to the community via DIP.

Proposal Number One: deploy modified versions of the current contracts with Thirdweb deploy. In a perfect world the dapp will be refactored in a Next.js, TailwindCSS and Typescript styled V2, and the V2 marketplace MVP powered by Reservoir can be integrated to facilitate secondary sales.

Proposal Number Two: reserve a percentage of treasury to be used to add liquidity to the VIBES/OHM pair. The percentage of treasury needed is 20% of MarketCap. The V3 tokenomics of OHM, that would make our treasury twice as efficient build up an treasury owned liquidity to the VIBES token. Example: $100K could be used to pair VIBES with OHM, versus, setting up two $50K pools, one against ETH and one against DAI. OHM has $60M of liquidity on Balancer.

The artwork for Degen Vibes was inspired by the pixel art of Cryptopunks. The degenerative art has some traits that are more than others. They represent the brand DNA and showcase our passion for surf, film, photography, etc, ... These characters are playful, they appeal to our culture code, & they tap into our deep-seated love of DAOs, NFTs, and DeFi. They hold the visions of the Degen Vibes we enjoy. We generated this collection based on the Nouns traits that are fully aligned with the LiveTheLifeTV brand DNA: surf, skate, wine, film, and photography. We tweaked the backgrounds with photography-based visuals, and color-graded them through a "multiply" layer. We used a modified Hashlips repo to match the Thirdweb flow.

The DAO treasury aims to own almost all of the liquidity of its token. This grants two major benefits to the DAO. Firstly, it grows the treasury value via the trading fees collected. Secondly, it allow for user security as there will always be ever deepening trading liquidity for those that wish to increase or reduce their holdings.

Summary

Planet Degen is dying due to neglect of the environment and overuse of natural resources. Climate change has caused severe damage and only 3,333 Degens remain as the only known surviving inhabitants. The Degens are now turning to on-chain carbon markets, specifically KlimaDAO, as a solution to fix the issue. They are also auctioning off their species, called Degen Vibes, on the Polygon network in WETH to raise funds for their survival. Proceeds from the auction are invested in DeFi to earn yield for Degen owners. Members of the Degen Vibes community, who are also members of the DAO, control the treasury and decide the future of the species through voting on proposals. The first two proposals include deploying modified contracts and reserving a percentage of the treasury to add liquidity to the VIBES/OHM pair.