Use Case
Examples of Usage Models in CCO Scenarios such as Fundraising, Airdrop, Fair Launch, RWA, and C2C.
Scenario Guide: Examples of Distribution Parameters for Different CCO Goals
The scenario guide aims to explore how to utilize different parameters of the protocol to achieve various goals in consensus issuance checks and distribution settings. Scenario tags help identify the distribution objectives of the Contractor, facilitating quick decision-making for Alpha Brokers and Investors. Additionally, scenario tags are beneficial for future protocol scenario expansions. This guide provides examples of how to set distribution parameters to achieve different issuance objectives in CCO scenarios such as Fundraising, Airdrop, Fair Launch, RWA, and C2C.
5.1 Fundraising
Fundraising refers to the normal process of the nth regular financing issuance, which is a core business of the protocol. It is recommended to set a minimum fundraising amount of 10 ETH for each round to ensure the project can obtain and achieve its developmental milestones and goals, thus providing enough room to enter the next round of financing under the consensus of delivering results. The settings for discounts and premiums serve as incentives for Alpha Brokers, helping the project gain more community support and brand expansion from KOLs during the demand validation process. The constraints on distribution settings should meet the ISSUER's requirements for token constraints at different times and prices, ensuring the healthy growth of the system.
5.2 Airdrop
Airdrop is a super-low-cost benefit provided by the Contractor to the community, aiming to expand the supporter base and enhance brand influence. Recommended parameter settings are:
Fundraising Amount: ~1 ETH (Provides incentive space for Alpha Brokers while not placing too much burden on Investors)
Discount Rate: 100% (Ensures the final fundraising amount is 0)
Premium Rate: 0% or other (Optional)
Distribution Permission: Only Checked (Locks benefits to professional experts' distribution)
Distribution Quotas: Set target number of holding addresses
Distribution Constraints: None or other (As applicable)
With these settings, Alpha Brokers can assist in airdrop distribution through consensus participation, and Investors can acquire airdrop assets at a cost close to the transaction fee. Fundraising amounts or premiums will become Alpha Brokers' proxy dividends.
Note: If there are not enough Investors participating in the airdrop, the executing Contractor should be mindful of the distribution progress and choose the appropriate timing to terminate the project distribution. Alternatively, the Contractor can enable a whitelist feature before termination/cessation of distribution to recover distributed assets and prevent Alpha Brokers from hijacking a large amount of TOKEN through the guarantee mechanism.
5.3 FairLaunch
FairLaunch signifies that tokens are distributed fairly and completely, giving everyone an equal opportunity to acquire them, though each may have different holding costs. For example, this includes BRC20 asset issuance in 2024 and thorough IDO trading.
Recommended parameter settings:
Distribution Quantity: 100% (Complete distribution)
Distribution Quotas: For instance, 1,000 to 10,000 quotas (Ensures a sufficient number of holder addresses)
Fundraising Amount: Funds required for the proposal target
Discount Rate and Premium Rate: 0% to 10% (To ensure maximum fairness while achieving sufficient Alpha Broker representation)
Distribution Constraints: Set reasonable community release constraints to support healthy ecosystem development.
5.4 RWA
RWA, or "Real World Asset," refers to tangible or intangible assets present in traditional finance and the physical economy, such as real estate, infrastructure, artworks, etc. When these traditional assets are integrated with blockchain finance, the protocol serves as a critical bridge between the two communities. Specific settings can be referenced from the Normal mode.
5.5 C2C (Compatible)
C2C scenarios are typically not financing scenarios but rather involve a level 1.5 asset transfer. These assets are often relatively mature or possess a certain level of liquidity and market depth. The reason for using a 1.5 level discount mode for such transfers is to avoid impacting secondary market price fluctuations or because the secondary market depth cannot accommodate a high volume of transactions.
For instance, when an asset has low trading activity on the secondary market and cannot be quickly and significantly sold, a C2C level 1.5 transfer mode can attract buyers who are willing and capable of handling large quantities of assets with a certain discount. This approach ensures a smooth asset transfer while controlling the impact on secondary market prices and maintaining market stability.
5.6 Scalability of Decentralized Capital
The Synbo Protocol’s community fund is designed to efficiently meet the consensus asset issuance needs of CCOs. By supporting scalability, the Synbo Protocol not only serves as a community capital platform but will also introduce Data List and Data AI. This will create a decentralized on-chain asset issuance service ecosystem that integrates information mining, investment research, consensus consulting, and agency services.
Fundraising Assumptions:
Funding Goal: 10 ETH
Token Distribution Amount: 1000
Discount Rate: 10%
Premium Rate: 10%
Check Phase:
Total Check Amount: 50% (i.e., 5000 PT or 5 ETH)
User A: Check 2000 PT, Base Performance 40% (2000 / 5000)
User B: Check 2000 PT, Base Performance 40%
User C: Check 1000 PT, Base Performance 20%
Check Completion: The project team obtains 40% of the withdrawal rights
Project Team Withdrawal Rights: ( \text{(10 ETH - 10 * 0.1)} \times 0.7 = 6.3 ETH ) (after discount)
Note:
Distribution Phase:
Distribution Levels: A-B-C
User A and Followers:
Spend: 1 ETH
Distribute: 100 Tokens, 10% share
Cumulative Excess: 0
Uncompleted Performance: 300
User B and Followers:
Spend: 1 ETH
Distribute: 100 Tokens, 10% share
Cumulative Excess: 0
Uncompleted Performance: 300
User C and Followers:
Spend: 2.5 ETH
Distribute: 250 Tokens, 25% share
Cumulative Excess: ( \text{Actual Performance} - \text{Base Performance} = 250 - 200 = 50 ) Tokens
Cumulative Distribution Ratio: 45% (≥40%)
Distribution Level: B
Cumulative Excess: 50 Tokens
End of Distribution:
Cumulative Distribution Ratio: 45%
Determined Level: B
Project Redemption: 30%
Remaining Amount to Cover: ( 70% - 45% = 25% ) (i.e., 250 Tokens)
Settlement and Dividend:
Assuming Dividend Pool Asset is X
User A Base Performance Dividend Rate:
( \text{Dividend Rate} = \text{Position Share} + \left[\frac{\text{Distribution Performance Share}}{\text{Cumulative Distribution Ratio}} - \text{Position Share}\right] \times 50% )
( = 40% + \left[\frac{10%}{45%} - 40%\right] \times 50% = 31.1% )
User A Base Performance Dividend: ( X \times 31.1% ) (Same for B level)
User C Base Performance Dividend Rate:
( \text{Dividend Rate} = 20% + \left[\frac{25%}{45%} - 20%\right] \times 50% = 37.77% )
User C Base Performance Dividend: ( X \times 37.77% )
Settlement Coverage:
User A Coverage Rate:
( \text{Coverage Rate} = \frac{\text{Uncompleted Performance}}{\text{Total Remaining Distribution} + \text{Cumulative Excess Performance Based on Total Distribution}} )
( = \frac{300}{(1000 \times 55%) + 50} = 50% )
User B Coverage Rate:
( \text{Coverage Rate} = \frac{\text{Uncompleted Performance}}{\text{Total Remaining Distribution} + \text{Cumulative Excess Performance Based on Total Distribution}} )
( = \frac{300}{(1000 \times 55%) + 50} = 50% )
User C Coverage Rate: 0 (Uncompleted Performance is less than 0, exceeding expectations)
Coverage Amount:
User A Coverage Amount:
( \text{Coverage Amount} = \text{Remaining Coverage Amount} \times \text{Coverage Rate} )
( = 250 \times 50% = 125 )
Coverage ETH: ( \text{Coverage Amount} \times \text{Discount Price} = 125 \times (0.009) = 1.125 ETH )
User B Coverage Amount:
( \text{Coverage Amount} = \text{Remaining Coverage Amount} \times \text{Coverage Rate} )
( = 250 \times 50% = 125 )
Coverage ETH: ( \text{Coverage Amount} \times \text{Discount Price} = 125 \times (0.009) = 1.125 ETH )
Through the above hypothetical use cases, Alpha Brokers can quickly understand the incentive benefits and risk points they face during the investment process, and comprehend the potential returns and risks under different parameter settings and project performance scenarios.
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