BLUR Airdrop and Tokenomics
General Overview:
Blur is an NFT marketplace/aggregator. It’s (in my opinion) the only genuine competitor to Opensea, that exists currently. Over the last week, it’s had more than double the volume of Opensea (the blue bit) for NFT trading.
Blur recently released its Season 1 airdrop. 360 million $BLUR was airdropped, of which around 335 million were claimed (93.1% claimed). 105,802 users claimed their airdrop, of which 77,040 sold their position. These are all based on today’s data, to see more current stats you can go here.
$BLUR token:
Overview:
$BLUR is a governance token that controls the protocols value accrual and distribution.
Total supply is 3 billion. Of this, 51% is given to the community, 29% to contributors and team members, 18.8% to investors (Paradigm, egirl capital and many others) and 1.2% to advisors.
Community:
360m $BLUR, 12% of total supply, was airdropped to community members. 10% of the total supply is earmarked for incentivization. The remaining 29% of total supply that is for the community is set to also be used for grants, incentives etc., but it’s not exactly decided in what form and when yet.
Contributors, launch partners and advisors:
The allocation to contributors and partners is vested over 4 years. The allocation to advisors vests over 48 to 60 months with a 4 to 16 month cliff.
The vesting schedule for both the community as well as the contributors, partner and advisor treasury vesting schedule can be found below:
Thoughts:
None of this is financial advice.
In my opinion $BLUR was great exposure, over the past few days (post airdrop selling), to the NFT space. Since many people are still risk averse due to macro/tradfi etc. it was expected that the majority would sell their airdrop and be happy with “free money”.
On the other hand, it made sense to buy the token of a legitimately good product (even though obviously there were many concerns regarding washtrading, but I think this matters little to none in the end). At the end of the day, it almost always makes sense to buy a token that had heavy sell pressure, after it has subsided a bit (this can be seen through the use of DUNE or just checking the chain).
I imagine that the team will add some additional utility to the token, especially since they included “These parameters control the protocol's value accrual and distribution” in their docs regarding $BLUR. I also think that the NFT space is the easiest, most accessible and likely to be the most popular part of the crypto ecosystem for some time (this can be seen from some retail NFT successes such as Reddit NFT’s, Trump cards etc., as well as Amazon’s possible NFT marketplace). I will be careful though, especially since $BLUR has increased in price quite a bit, and since attention span is short in crypto.
TROVE Fair Launch and Tokenomics
This will be quite a bit shorter than my BLUR write up, I just wanted to share some thoughts.
TROVE is the token of Arbitrove, a yield-bearing index and strategy vault protocol on Arbitrum. Arbitrove is currently in the process of doing a fair launch through Camelot DEX.
ALP is the first index of the Arbitrove protocol, is a basket of blue-chip tokens: GMX, MAGIC and GRAIL, with strategies to generate yield
In the future, more indices will be added, including ecosystem-specific indices like the GMX Ecosystem Index, GameFi Index, and strategy-specific indices, like the Ethereum Liquid Staking Derivative (LSD)
Tokenomics:
- 70% of the total TROVE supply will initially be in the form of Escrowed TROVE (esTROVE)
- 20% of the total TROVE supply will be available for public sale, starting at $0.0025 per TROVE with a fully diluted valuation of $2.5 million.
- fair launch, price discovery model, until the hard cap of $2.5 million (all participants pay same price)
esTROVE:
- esTROVE is non-transferable token for revenue share (after revenue share proposal is passed (early march))
- esTROVE can be vested to become TROVE through a 1-year linear vesting starting in September 2023
- team’s token allocation will also be in the form of esTROVE
- 330m esTROVE airdropped to passport holders. Non-transferable but stakable for 6mo's, afterwards can continue staking or vest for 1 year.
- 150m esTROVE for current and future team and contributors. Non-transferable but stakable for 6mo's, afterwards can continue staking or vest for 1 year.
TROVE:
contract address: 0x982239D38Af50B0168dA33346d85Fb12929c4c07
- 220m TROVE for liquidity incentives over 8 years. The tokens will be released gradually over the next 8 years.
- 10m TROVE to xGRAIL holders.
- 90m TROVE for treasury, with 60m used for POL.
- 200m TROVE reserved for Camelot launch.
Thoughts:
None of this is financial advice.
$GRAIL (the native token of Camelot DEX) did very well over the past month or so (price rose by 949.4%). Therefore, it was likely that $TROVE gets some attention. However, there are two issues, in my opinion, with buying $TROVE public sale.
Buying $TROVE public sale through the fair launch gives you 70% of the TROVE tokens in the form of esTROVE (meaning that they are locked for more than a year).
The Arbitrove team (i.e. Nitrocartel team) decided to get rid of the $12.5m FDV cap for the public sale/fair launch, out of fear of snipers and bots. Currently, they have raised at over $35m FDV.
In my opinion, $35m FDV is too high (currently) for an index product. I am also not a big fan of the team completely removing the cap, instead of just relying on a per wallet cap (which they have also implemented).
Additionally, usually when there is a fair launch, the price of the token falls (often rapidly) below the public sale price (see $STFX price action post public sale)
.