Liquidity

Overview

Our liquidity strategy is meticulously designed to support the Her Monsters ecosystem over varying timeframes, ensuring sustained growth and engagement. A total of 20% (1,040,000 tokens) is allocated to LP Providers, locked for a period of 5-10 years, signifying our commitment to long-term liquidity. Another 10% (520,000 tokens) each is dedicated to Stake and Partner Boost initiatives, with a release timeframe of 5 years, fostering our ecosystem's development and partnerships. The largest share, 60% (3,120,000 tokens), is reserved for Engagement, with an infinite release period to continuously reward community interaction and support. This strategic distribution ensures a balanced and robust liquidity foundation for the $OATH token and its holders.

LP Providers

This is focused on DeFi rewards provided to traders of the token. This will include supply given to DExs’ for the purpose of increasing liquidity, and may also include some supply required for listing in a centralized exchange. The payout rate for this will not remain linear as described in the budget, but adjust based on current market conditions. The budget outlines the initial payout rates given the initial conditions of the token.

Stake

This will be provided to NFT holders and token holders through staking mechanisms either in-game, or on partner platforms.

Token Holders: Earn a low APY for the staking $OATH Token. This motivates holders by providing a natural inflation rate to your token for a given period of time.

NFT Holders: There will be multiple options in-game for NFT staking, split into different game functions. This includes - Fight Recovery, Apartment Holders, Characters on Quests, etc. Each of these options will have their own supply built from the budget provided to stake.

Engagement

This is where the bulk of the rewards will be delivered. Dedicated to players that are engaged and active in-game and in the community. This includes rewards for fights, payouts for insurances, rewards for quests, rewards for leveling, etc. To access these tokens, players must play.

Partner Boost

This involves boosting rewards to other communities in the sector to build notoriety of the project. It can also be used to incentivize other businesses to engage with our ecosystem through our fighting mechanics.

Community Sale - 600,000 $OATH

This is the initial public offering of the token. This can be split into an ISPO, IDO and ICO. This will be managed through a third-party - either a launchpad (ICO), DEx (IDO), or stakepool operator (ISPO).  Recommended is IDO and ISPO to avoid regulation with American companies and running ICO’s. Legal advice is recommended here.

Private Investors - 500,000 $OATH

This is designed for private, lump sum investments from large participants in the ecosystem. They need to be organized and negotiated one-on-one. Target investors with background in the ecosystem or tech.

Listing - 300,000 $OATH

This is designed for initial listing of tokens on DEx or CEx. A portion of this will be matched by the team from initial offering funds, with the proportion depending on its success and the total raised.

All the above will have an initial unlock of 100% - and thus all from each of these sets will be available from launch. These categories make up the bulk of the initial supply of the token, which can be viewed here: Her Monsters - Distribution. Of these tokens, 28% will be represented by liquidity. It will be important to use our rewards/staking supply from above soon after launch to assist with gaining liquidity and controlling the sales of the $OATH Token.

Team/Advisory - 1,000,000 $OATH

Budget: Her Monsters - Distribution

The team has a fairly controlled amount of supply. This is to allow for a greater reward for engagement, as there will be multiple manners through which the team will be able to take a profit margin - be it transactions, costs of engagement, and upgrading of in-game systems (discussed below).

The budget outlines the payout for 6 team members.  The vesture is 4 months, and the time for total payout is just shy of two years. The period of the team payout will represent the greatest period of inflation for the project. The initial unlock at the four month mark will be 225,000 tokens, representing the largest increase to inflation in the entire emissions schedule due to any single event.

The payout is divided equally between advisors and team members - approx. 1.8% of supply per team member. This can be divided, and if halved, two advisors would be offered 0.9% of supply, and 5 team members would receive 1.8%.

Marketing - 500,000 $OATH

Budget:

These will be split between the following categories with the associated timeframe of release:

Influencer: 40% (200,000) - 2 years

Partnerships: 10% (50,000) - 2 years

Joint Endeavors: 10% (50,000) - 2 years

Miscellaneous: 40% (200,000) - 2 years

Each budget represents a monthly supply that is available to each of these. The three year vesture is also only a considered budgeting measure, and does not represent a real limitation on the use of these tokens. This is the principal purpose of a large Miscellaneous supply, to allow for agility within marketing.

Influencers - monthly budget: 8,330 $OATH

Often the most important form of marketing in crypto, and thus given the largest dedicated supply. Finding NFT influencers and youtubers can be difficult. Highly recommend starting as soon as possible on this task, and finding influencers that will accept part or whole payment in token.

Partnerships - monthly budget: 2,000 $OATH

This is focused on building relationships with other teams and businesses in the space that will provide utility to the platform overall. This includes joint competitions, shared liquidity mining, payment to other businesses for services, and swaps of tokens with large partners.

Joint Endeavors - monthly budget: 2,000 $OATH

This is used to motivate businesses and teams to engage with our in-game ecosystem, and add their collections into the games storyline, or into the games activities in fun ways for both communities. This can also be used to pay teams to conduct tasks that need completing on behalf of the project, and to contractors.

Miscellaneous - monthly budget: 8,330 $OATH

As many of the above are hard to budget, and need to adjust based on current conditions - this portion of tokens allows us to be agile in how the marketing budget is used. We deploy these tokens as needed in any of the above categories.

This marketing budget, given the initial supply launch price, gives a budget of 350,000ADA to offer through these mechanisms. There is an initial supply amount from marketing of one month's budget. This can be increased from the miscellaneous supply as needed - to increase the initial influencer output or partnership growth prior to token launch.

Ecosystem Development - 700,000 $OATH

Monthly budget: 29,000 $OATH

Budget: Her Monsters - Distribution

This is a portion of business funds that are largely fungible. The principal focus is to hire and maintain developers either part-time, or in part with the project's tokens. This can include artists, product manager, community manager and mods, or any employee considered part of the ecosystem's growth.

The fairly large budget allows for cross-over with marketing and team. If larger token amounts are needed for partnership or services that would lead to the growth of the ecosystem, the tokens can be garnered from this supply. It can be considered as a fund available to deploy to build the ecosystem as a whole - not with a specific purpose in mind.

Treasury: 800,000 $OATH

This will be available for vote by the community to determine implementation of the token within the ecosystem. Often, the team creates proposals that are voted on by the community based on token holdership. Votes can simply be based on token holdership - much like stocks.

There is currently an open source governance protocol and framework on Cardano - Agora. This can be used to implement the systems of voting. Proposals must be managed off-chain. A community board where proposals are discussed is essential. It is also useful to allow the community to build their own proposals. A limit of 3% of the total treasury will be imposed on any single proposal.

The treasury will be controlled by a multi-sig wallet, requiring a 3 of 5 signature from the team to release the tokens. This is an important security measure to ensure that the tokens remain in the control of the treasury, and are only implemented for the purpose for which they were voted.

Reserves - 400,000 $OATH

This portion represents the fungible tokens available to the business for any purpose. This includes any of the above that needs extra funds to be released. This will be available to the project from launch - as it represents the projects available tokens. The decision making process for this portion of supply should be managed by a corporate charter. This outlines the capacity of each team member to vote on the use of company assets.