Founders' Sale Tokenomics

2021-11-27

Undra News #4 - Founders Sale Tokenomics ✏️

Today’s post is from a new author! I’m DryZ, a game designer and tokenomics advisor with Studio Decent, the team behind Undra. This is overview of how we’ve designed our token allocations and long-term plans for the Founders Rooms.

As a foreword: if you haven’t read our first news post - check it out now for the backstory. You should also read our marketplace for information on the NFTs themselves. A collection of 8,000 locked doors buried deep in the earth, being auctioned off by the fictional Dauntless Excavations Company.

Undra Founders' Sale rooms preview

What secrets might you uncover at the Founders Sale?

In our last post, we discussed the principles behind our fair launch strategy for November’s Founders Sale - getting NFT’s into a wide variety of players’ hands, preventing gas wars, and ensuring fairness throughout the sale. We have managed to come up with some creative solutions to help us achieve these three pillars, and we’re excited for the launch on December 1st!

As the Founders Sale approaches, we’d like to share some insights into our launch planning, the tokenomics of Undra, and what this all means for you trying to get your hands on some sweet, sweet Dauntless Excavations Company real estate.

Founders Sale

Undra’s very first NFT sale launches December 1st, offering the deeds to 8,000 rooms previously owned by Dauntless Excavations Company. These deeds will come with varying types of room, each with different security features brandishing the door. Markings on the door and other attributes help provide their owners hints as to what mysteries or riches lie beyond the keyhole.

These rooms play a critical part in the Undra world, allowing players to partake in the living world as a part of the game’s economy and storyline as it developers before the MMO itself is released. While these rooms will play an important role in the eventual Undra game, they will not be a requirement to play the game itself. We consider this room sale the first chance for players to solidify an early footing - with an opportunity that will not be available down the road as the game evolves. Rooms will come in four tiers of rarity, Uncommon, Rare, Epic and Legendary - all of which are available to players in our Founders Sale.

We came up with the idea for the Founders Sale to give players a chance to show their early support for the project and provide their commitment to helping the game grow and progress, all while cementing themselves into the earliest chapter of Undra’s saga. When the Founders Sale began to move from concept to planning phases, we started off with a couple simple guiding questions:

  • How many rooms do we want to release to players in our initial launch?
  • How can we seed the community ownership properly, whilst still retaining some Rooms for future release in special events?
  • What is a reasonable financial target that can fund our team to build a world-class Web3 game for many months to come?

With our guides in place, the next step was to begin mapping out what a Founder Sale should look like. We discussed a LOT of ideas - discarding, revising, and building upon concepts rapidly until we found one we loved.

To pack or not to pack

When discussing a launch strategy, there were two main concepts that the team worked back and forth between:

  • Selling individual rooms, one at a time
  • Selling packs of rooms together

Each strategy posed its own unique challenges and benefits, which left us with some challenging brainstorming to arrive at a conclusion. We wanted to find a sweet spot for players of all kinds to get Undra rooms into their hands, and to have a shot at high-tier rooms whether they purchase our entry level Miners’s Pack, or our highest end Overseer’s Pack.

Undra Founders' Sale pack costs and breakdown

Exploring individual room sales

Individual rooms were an enticing option that we returned to more than once during Founders Sale planning. A large portion of launches going on right now in the NFT space follow the mold of: click the mint button, pay your gas, get your random individual NFT. This is a nice and simple flow that collectors have come to grow familiar with, as project after project launches utilizing this model. User friendliness and simplicity to implement/maintain are a couple of the main appeals we highlighted when discussing this sale type.

One of the main concerns that we struggled with on this single-room sale concept was the core difference between our project and many other PFP/avatar collections launching daily with this model. Because many avatar collections have minimal roadmaps to adhere to/grow with, there isn’t much concern as to who owns each individual token, and how effectively the rare tokens are distributed. Conversely, we at Undra are building a massively multiplayer game relying on these tokens for balancing, player engagement and ensuring our game has a long and exciting road ahead.

Planning beyond the Founders Sale

When our launch is viewed through this lens of game balance and preparing for a game that revolves around tokens from our NFT sales, it becomes very important that we consider how we distribute our tokens, whose hands we’re putting them in, and making sure that every player that joins one of our sales walks away feeling overjoyed with their participation, and excited for what’s to come.

This is where fixed-cost individual mints felt that we could be leaving players unhappy with their purchases, if they felt passionately about our project, paid their available funds for our sale, and walked away with purely lower-quality rolls on their rooms. We wanted to find a release strategy for our Founders Sale such that every NFT purchase was a feel-good moment for the player, and that every player could feel they’re playing a part in helping create this new world we’ve come up with in Undra.

Release amounts vs total rooms

Another critical consideration was how big the total supply of rooms should be. There are a few considerations that went into this:

  • We want to seed the community, at an attractive price, with the majority these Rooms. The founders will be the lifeblood of the entire project, and they need to see the benefits of that.
  • At the same time, these rooms are never being minted again (though we may create other distinct rooms) so we need to retain some so that future players at least have a chance of collecting some. After all, the founders player base is going to be small, and we will grow far beyond them over the coming years.
  • These rooms need to remain incredibly rare and exclusive. We can’t ruin their exclusivity by pumping lots more into the community.

With that in mind, we have settled on the following distribution.

Undra Founders' Sale mint allocation

founders-pie.png

  • There will be 8000 Rooms in the Founders sale.

  • We will retain 7000 for long-term storage and release.

    • These will NEVER be offered as a large sale again, the Founders event is the only sale of these cards.

      We plan to gradually release these over a period of 1-2 years as part of other sales, special events, and community rewards.

  • Up to 15% of the total room limit will be reserved, gradually over the next 2 years, for team rewards and marketing efforts. Again, these will be never be sold off en-masse. (For example, the current team will receive performance bonuses after launch, but we will be disributing less than 10% of this allocation, or less than 1.5% of the total rooms).

Importantly, these mintings will be publicly visible on-chain, so there won’t be any dark pools of Rooms to cause fears of future sell-offs.

Distributing rooms via packs

These desires all lead us into areas of game design that games like Magic the Gathering and the Pokemon Trading Card game have managed to nearly perfect over the years, and more recently one of my personal favourite NFT projects, Parallel, a collectible card game that began their journey this year on the Ethereum network.

Although Undra is not at all a collectible card game, we believe there is a lot of merit in the ways that these games distribute their assets in differing tiers of quality, and in quantities that allow even a “low roll” pack to reward the player in asset quantity.

Ensuring low cost of entry to the Founders Sale

After much iteration and debate, we settled on a multi-tiered pack structure for the Undra Founders Sale. This release structure allows players to purchase our Founder Sale Miner pack for as low as 0.02 ETH, providing mostly Uncommon, but with chances to receive a Rare, Epic or even a Legendary room! This low-cost entry pack helps us to ensure that everyone is welcome to participate in early release of what we’re working on.

To help facilitate this fair and diverse room distribution, we’ve weighted the pack sale in such a way that roughly 90% of the rooms in our Founders Sale come from the 0.02 ETH and 0.1 ETH packs, with roughly 40% of the sale’s Legendary rooms appearing in these packs as well. This balancing strategy ensures that the sale is not controlled by the players with the highest bankrolls, while allowing players who have the means to spend a bit extra to increase their odds of a Legendary or two.

Ensuring fair and low-cost entry for collectors into the Founders Sale encourages trading and sharing among the community. A community-centric massively multiplayer is the end-goal for Undra, and building a bustling player-driven economy around our assets early on is a great way to spark discussion/collaboration!

For those players who feel they want to contribute further to the project and purchase a more significant piece of the game’s history, our packs range up to 0.2 ETH providing the owner a high chance (60%) at a Legendary room, and a chance at a second in the same pack!

We’ll see you at the sale!

We are so excited to bring the first taste of Undra to you all - keep an eye on our Twitter and Discord for updates, news and announcements! We can’t wait to uncover the mysteries of Undra alongside you all, see you at the Founders Sale!



Dryz

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