[Community Feedback]: Protocol Redeployment Plan

Governance Proposals
#1

Hi Community!

I’m Meri, an active contributor to GoodDollar Community and a member of the Good Labs team for the past 2 years. One key aspect of my role involves fostering community engagement and encouraging GoodDollar members to take a more active role in contributing to the DAO. I’m launching this post because I believe that right now is a crucial time to gather more feedback from community members on how the future of GoodDollar should look! Hoping to see great engagement and involvement here :slight_smile:

[Community Feedback]: Protocol Redeployment Plan
TLDR:

  • Member feedback on efficacy of the GoodDollar protocol to date and where it should go
  • Member feedback on G$ liquidity, and networks
  • Member feedback on using GoodDAO treasury to support a redeployment plan

Now, more than ever, it’s time for the GoodDAO community members to express their opinions, concerns and suggestions to shape the future of the GoodDollar protocol and GoodDollar token (G$) models. Your participation and involvement are critical to building GoodDollar into a protocol that is maintained by the and for its community of members.

The purpose of this post is to solicit ideas and gather feedback. It’s crucial to note that all protocol contract deployments will undergo the protocol upgrade process through the GoodDAO protocol governance process.

Following the GoodDollar Reserve exploit suffered this past December (details on this post), the GoodDollar Reserve was drained. This affected the protocol’s core liquidity on both Mainnet and side-chains, influencing the price of G$. Currently, the GoodDollar Reserve contract is paused and there is low liquidity of G$ in the markets.

The vision for GoodDollar has always been a community run and governed protocol that serves the needs of its members. In every crisis there is an opportunity - and these circumstances provide a unique opportunity to reimagine and enhance GoodDollar. Your responsibility as a community member is to proactively influence how you believe GoodDollar ought to move forward. Your valuable inputs are crucial to reshaping the future of GoodDollar, together.

GoodDollar Protocol to Date

Before diving into the matter further, let’s briefly revisit the GoodDollar protocol vision and fundamentals:

As outlined in the original 2020 whitepaper, GoodDollar’s mission is to provide a sustainable, decentralized model to distribute Universal Basic Income in an open model. As mentioned in the whitepaper, “the GoodDollar protocol presents a community-driven, distributed framework designed to generate, fund and distribute global basic income via the GoodDollar token (G$). To achieve this mission, the GoodDollar protocol operates on a reserve model, where the GoodDollar reserve functions as the primary market maker for the protocol, and is a key part of ensuring sustainability, stability and liquidity of the G$ token.

Since the launch of the GoodDollar protocol in September 2020:

  • GoodDollar has delivered G$ UBI to over 650,000 people across 181+ countries and territories

mapa

The Reserve protocol model has empowered GoodDollar to distribute more value in the Ecosystem than the funds directly held by the GoodDollar Reserve. A key aspect of this mechanism lies in the ability to mint money according to the Reserve Ratio, enabling a more extensive circulation of value within the GoodDollar Ecosystem than the actual value present in the collateral held in the GoodDollar Reserve. It’s important to note that there was no pre-mint of GoodDollar; only new cDAI deposits into the GoodDollar Reserve trigger the minting of G$, meaning that the entire G$ supply comes from the GoodDollar Reserve minting mechanism. This means that all G$ issued from the Reserve have a benefit on the GoodDollar ecosystem in various ways. Beyond direct UBI distribution, this may include minting G$ to fund liquidity and market making, invite campaigns, incentives and rewards, partner support initiatives, community initiatives, community payments, savings funds, and more.

How does the GoodDollar Reserve model support the G$ token model?

The G$ is a reserve-backed token designed to operate under three principles: sustainability, stability, and liquidity. The GoodDollar reserve has successfully worked to create a predictable token model from launch to date based on these three principles.

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  • This model is distinct from the volatility of other crypto projects and token models. The GoodDollar Reserve has demonstrated remarkable success in maintaining a stable and consistently growing price across various market conditions, including both bear and bull markets.

  • Value predictability: The G$ token was launched at 1 G$ = 0.0001 USD and over its 3-years in the market until 12/16/23, the average G$ 0.00018 USD per token.

  • The value predictability has fostered an environment that encourages peer-to-peer usage, transactions, and the establishment of businesses centered around GoodDollar

    • Assuming a price of 1 G$ = $.00018 USD, the value in transactions $6,259,634.30 surpassed the value of G$ UBI delivered (UBI = $573,381.85) by a multiplier effect of 10.91x

  • The stability of G$, as a reserve-backed token, has been instrumental in fostering price stability on side-chains decentralized exchanges (DEX)

  • The Reserve also created a vulnerability for the protocol per the exploit on 12/16/24, explained here.

Time to share your ideas and feedback

Now taking this context into consideration, all members of the GoodDAO have a say in exploring how GoodDollar should work moving forward, and contributing to an action plan. YOU are a part of this community and can choose to voice how you would like GoodDollar to move forward.

Contribute your feedback through this questions:

  • G$ Value

    • How do you view G$ value?
    • How is the G$ value linked to your goals?

  • Liquidity Deployment

    • What networks are of greatest interest for G$ liquidity? Ethereum, Celo or Fuse?
    • How is G$ liquidity linked to your goals?

  • GoodDollar Reserve - Network

    • Does it make sense to continue to keep the core Reserve on Ethereum?
    • What are your responses to the idea of moving the GoodDollar Reserve to another network (not Ethereum mainnet)?

  • GoodDAO Treasury Funds

The GoodDAO is the governance protocol that governs the GoodDollar protocol, and empowers community members to take an active role in determining its future: shaping GoodDollar’s destiny as it seeks to create free money as a public good for all.

The GoodDAO control the core protocol contracts as per GIP 2. The GoodDAO also holds various treasury assets, both funds donated from Good Labs Foundation and other sponsors, as well as protocol-ecosystem funds. The GoodDAO treasury holds various assets that could be used to support the re-deployment of the GoodDollar protocol and re-launch side-chain liquidity, per the GoodDAO.

GoodDAO Treasury Funds:

Share your perspective on how these funds should be used as part of a larger Reserve re-launch plan, that includes funding the reserve and funding side-chain liquidity.

Is there any additional feedback or suggestions you would like to share at this time? What aspects of GoodDollar do you find most valuable in its mission to deliver Universal Basic Income?

Your collaboration and input is valued to re-shaping the protocol!

13 Likes
Protocol & G$ Liquidity Group
[GIP 23] Redeployment GoodDollar Ethereum Reserve
#2

Moving the reserve to a side chain and lower the cost of interacting with it is I think the best choice.

Bear market prices for buying gooddollar was 15$. Bull market could go well over 40$'s. This is an amount not benefitting the protocol in any way as it goes to Ethereum stakers. Restarting it on Celo could have the potential and open doors for more efforts and services around getting new money in the reserve which before always ended up looking like quite an expensive operation.

Just throwing out a train of thought, but wouldn’t this experiment of moving the reserve not also create an opportunity to see how segmented reserves could work, with the potential of opening up reserves on other side chains like polygon, Binance chain, ?near? etc?

14 Likes
#3

First of all a thank you to the Good labs for all they have been doing over the years for a smooth job well done and also the community for their patience.

  1. In support of this proposal. I am of the opinion we should have a multi-chain reserves. Celo is a good example as well as polygon, amongst others.

  2. The Redeployment should add value to the life’s of the community members. For example someone whom have been claiming G$ token and it’s finding it difficult to even earn a dollar for 3years. The model should be changed while we have sustainability in the forefront.

  3. It’s a question is G$ suppose to be a semi- stable currency or stable currency or complementary currency?

13 Likes
#4

I’m totally agree that it is a key time to redeployment / update new version of G$.
After we change to new version of G$ (e.g. we give 1 month for G$ users convert to new version), we can drop the G$s was hacked still in the hacker’s address.

For me the G$ value will increase with using it on many chains for exchange / payment. Although G$ can start with a tiny value but it can increase overtime that is the most value. I hope G$ can become a strong money for exchanging / paying among chains with very small fee, so that every Web 3 can integrated it into.

For the liquidity, I suggest beside the liquidities on chains which can be very small & easy to damage, we should deploy a P2P trading platform on G$ app, so that G$ user can buy / sell their G$ by local fiat money. On which they can trade a value from 1USD (or even 0.5 USD). This is very important to bring G$ to everyone and help people can get a small money for food or something. I call this solution is “local people help local people”. This solution also avoid to affect liquidities on DEXs which are not target right people and easy to be damaged.

10 Likes
#5

For GoodDollar Reserve, I suggest to move the core to Polygon. This network has strong foundation and small fee. CELO & FUSE are moving to become a copy of Polygon, so we jump to it for not waiting. This also helps extending G$ to Polygon network.

6 Likes
#6

For GoodDAO Treasury Funds, we should create an app for supporters / contributors easy to donate or stake stable coins (e.g. USDT, cUSD) and earn G$ as rewards. These stable coins will be used to earn stables coins / MATIC / CELO / FUSE for supporting G$ community. The supporter / contributor will receive their money after unstaking 15 days. For donating, we also accept G$ too beside stablecoins. Donator can get GOOD token as rewards for voting purpose only.

For distributing UBI, I suggest that we should decrease the total of new version G$ (max supply) to 100 B or even 10 B. Don’t worry we will distribute all the G$ ending soon .

Just distribute G$ according to users’ demand, when the amount of G$ left in the max supply is 1 billion for example, we will divide this amount into 100 years (assume this amount = x G$). The amount of daily distribution = x + donation amount + fee amount collected from the P2P platform. If this amount is less than the gas fee, no one will claim it. The amount not claimed will be accumulated the next day, users will claim if it is higher than the gas fee or meet their needs. With this mechanism, UBI can run for hundreds of years. This mechanism will bring a better feel for G$ owners, they don’t feel G$ is worthless because it is too much, so they will keep G$.

4 Likes
#7

Oliver Montes:
Suponer que cada billetera sea equivalente a 21 gramos de oro podría proporcionar una referencia interesante para valorar el token de GoodDollar y aumentar su liquidez en los mercados.

Para ello se requiere un Anclaje de valor: Utilizar el concepto de que cada billetera es equivalente a 21 gramos de oro podría servir como un ancla de valor para el token de GoodDollar. Esto podría proporcionar confianza a los usuarios e inversores sobre el valor intrínseco del token.

Hay una empresa de criptomonedas, PAX Gold (PAXG), cuyo objetivo es hacer que la propiedad del oro sea más democrática y esté disponible para los inversores cotidianos, permitiéndoles comerciar con él como con cualquier otra criptomoneda.

2 Likes
#8

We should consider the idea of adding value to GOODs and opening up trading on an exchange. This would cause many people to also show interest in Good Dollar as a means of earning not only GOOD rewards as a voting token, but also as income, which could attract the attention of large investors. As for value, we must keep OLIVER’s point in mind

4 Likes
#9

G$ value needs to be asset backed to support it’s growth and utility. Therefore the Reserve is an important aspect of the project and can’t be removed.

As other have said, moving the Reserve to a Polygon CDK chain could be a good idea as both Fuse and Celo are heading that way over the next 12 months. Polygon CDK offers native cross-chain liquidity that would greatly help G$ liquidity. The low txs fees and high TPS would also enable G$ to scale well.

Selling Fuse tokens now would seem short sighted as we’re at the bottom of the market and it would only realise ~$100k which won’t return the Reserve to it’s previous value. $100k is ~20% of the previous reserve value. G$ would be selling valuable assets, that generate revenue through staking, for no real benefit.

Far better to partner with other organisations/charities/NGOs/philanthropists to build the reserve fund. This has always been talked about and it seems now would be a good opportunity to pursue this.

8 Likes
#10

This comment of Fuseprime really appeals to me for two reasons:

  1. It’s good to focus on one tech stack so that development can be focused than scattered around all over the place. So moving the Reserve to Polygon CDK seems like a really good idea.

  2. Also, we definitely need to grow the Reserve. That has the potential of creating a snowball effect. Now the UBI of 1 cent per day is too low for many purposes. A rising UBI per day will result sort of automatically in more users, more use cases, more development, etcetera

Hopefully we can get the Reserve growing again in a safe way. That can really make a difference in the lives of many people.

2 Likes
#11

We would like to thank the BR community for all its support. The use of a cryptocurrency has changed the reality of the favela in which we live. We’ve gathered and thought of a few ideas, based on the understanding that Gooddolar could increase its liquidity by encouraging the adoption and use of the currency in different sectors of the economy. Here are some specific suggestions:

  1. Partnerships with game developers: Gooddollar could seek strategic partnerships with game developers so that they accept the currency as a form of payment. This would give users a way to use their G$ Gooddollars on a daily basis and create demand for the currency.

  2. Rewards programs: Gooddollar could implement rewards programs to encourage users to use the currency. This could be done by offering discounts, cashback or other forms of bonus to those who spend their G$ Gooddollars in certain stores or services.

  3. Development of a lending platform: Gooddollar could create a P2P (peer-to-peer) lending platform where users can lend their G$ Gooddollars to other users in exchange for interest rates. This could increase demand for the currency and provide users with an opportunity to earn more from their savings.

  4. Marketing campaigns: Gooddollar could invest in marketing campaigns to raise awareness of the coin and its benefits. This would help ground the coin in the crypto space and attract more users.

  5. Loyalty programs: Gooddollar could implement loyalty programs, where users are rewarded for keeping their G$ Gooddollars in their wallet for a certain period of time. This could encourage retention of the coin and reduce the supply available on the market, thus increasing its value.

  6. Integration with other cryptocurrencies: Gooddollar could seek partnerships with other cryptocurrencies, allowing direct exchange between them as it already does with Celo and Fuse, a suggestion is USDC, Solana, Matic. This would increase the coin’s exposure and give it access to a wider user base.

These are just a few suggestions

5 Likes
#12

Oliver hace días estaba pensado igual , hasta me atreví a pensar en una CBDC .

2 Likes
#13

Si habilitamos el intercambio de GOOD, podría desencadenarse una compra masiva de ellos y, con ello, el aumento del Staking de Good Dollar. Por ejemplo, conozco a muchas personas que tienen un bajo poder de votación y les gustaría tener más GOOD, pero con la opción de compra-venta. En mi caso, muchas veces quise tener más poder de votación, pero consideré que ya tenía suficientes Good Dollars. Sin embargo, me hubiera gustado tener más poder de votación. La otra opción habría sido comprarlos. De hecho, en una ocasión estuve dispuesto a ofrecer 1000 dólares por un millón de Good a una persona para que me pasara sus GOOD (clave secreta). Pero ustedes saben lo que esto implica en términos de seguridad y confianza. Tomando este ejemplo, creo que muchas personas solo con la intención de obtener más poder de voto, quisieran comprar GOOD, lo que a su vez atraería a más personas a comprar Good Dollar para hacer Staking y generar GOOD. Además, se abriría un nuevo mercado. También, considerando el proyecto que tengo avanzado, en lugar de cambiar los Good Dollar en los kioscos (tiendas de barrio) por moneda fiduciaria o una moneda estable, los cambiaría por GOOD, lo que aumentaría su valor. Es importante tener en cuenta que el GOOD es más escaso y podría convertirse en algo muy atractivo.

3 Likes
#14

Telegram ha activado Notcoin en su plataforma. Podríamos someter a votación agregar Gooddollar a la Red TON para poder ser unos de los Tken aceptados para trabajar en Telegram.

2 Likes
#15

@ProfChristianetm yes I also think that the p2p lending is an interesting service to explore

2 Likes
#16

I think no dollar is a very good platform, what happened last December has made it very bad, I am appealing to the Good Dollar community to restore code dollar as soon as possible, we want no dollar to be fully restored. Let’s face it, we have this oneAdmittedly, I love Good Dollar

1 Like
#17

Hello all community, after some months chating with the project Core i have been asked to give my point of view. I am sending my own TL:DR of what happened, because i think some members are lost on this matter.

1 Hacker lent some $Millions from DeFi protocols, 2 hacker used that funds to force DAO to mint G$/Good, 3 hacker sold that G$ against the Reserve + other DEX pools, 4 hacker repaid the lent funds to the Defi protocols.

  • There was NO exploit in the Token Smart Contract (G$/GOOD)
  • There was NO exploit in the Reserve Smart Contract (Bancor fork)
  • There was NO exploit in the DAO Smart Contract, BUT someone forgot to make it Flash Loan resistant…

So, a basic redeployment should consist on:

  1. The Reserve Smart Contract could be used as it is, in the new redeployment (*)
  2. The DAO MUST be tweaked and redeployed to prevent forced dominance through Flashloan (or any other lending mecanism).
  3. The Token Smart Contracts (G$/GOOD) can be still used IF (1) the hacker funds are blocked in the Token Smart Contract level (2) the Good Dollar DAO is halted to prevent new forced minted tokens.

(*) lets speak about the Reserve:

  1. The main reasons to have a public/opensource DeFi protocol are (1) to be protected by an army of developers and contributors (2) show up publicly all the liquidity provided as a project wealth signal. A project like GoodDollar do not need to mantain a Bancor fork, a masive project that is designed to manage thousand of tx per hour with also too complex price discovery.

I would propose to move the Reserve liquidity concept to UniswapV3 and start transfering UBI claims as OUT of Range LP positions to claimers. So they can withdraw liquidity and sell G$ if needed. This way the Reserve liquidity will be in the eyes of more traders.

Redeployment V1:
Halt DAO to mint G$ + Deploy some liquidity in a side chain to keep the trading going ASAP.

Redeployment V2:
Reserve to → Uniswap-ETH + UBI claiming to → Uniswap-Celo + Self-arbitrage Eth&Celo + DAO review to prevent forced minting + a review on GOOD inflation.

Thank you!

5 Likes
#18

Hi @Reg0x! Welcome to GoodDAO’s Discourse. I’m very interested in your suggestion, as the path of moving forward without a reserve is one I have been thinking about since the exploit.

In your proposal, you suggested that we:

start transfering UBI claims as OUT of Range LP positions to claimers.

Could you please explain your propposed distribution to the GOODDAO in more details? How would it work? What does that mean for claimers? What does that mean to existing token holders (claimers/supporters)?

Also, do you have any projection on price stability? What do you expect to happen if we move the liquidity to DEXes? Who would this new token model benefit the most? Would it facilitate or make it harder for people to transact with each other?

I know these are complex questions and that we can only but take an informed guess, so I’m happy to point you to any data we have available to help you build this line of thought.

1 Like
#19

We want the g$ price to go back to where it was, we are very optimistic about this group of cows, I have a lot of faith in Good Dollar, never thought it would happen.
Anyway, a lot has gone wrong with Good Dollar, hopefully the Good Dollar team will cut through all the obstacles and come back to the way it was before, that’s what we come to Good Dollar

1 Like
#20

Could you please explain your propposed distribution to the GOODDAO in more details?

My idea is an option to create more LP holders while automatic converting G$ to $ when some price is reached. Also using Uniswap ranges would let you control at what price levels the token is easier to convert to $. Anyway Uniswap is a very tricky complex protocol, this idea

do you have any projection on price stability?

I dont think there should be any difference on price stability despite the difference on the price discovery between both protocols, Uniswap vs Bancor.
Price stability is, in Dex, the balance between the buys and sells against the Reserves on a given Pool. So the distribution of the G$ (potential sell) is only related to its organix buy preassure.

Price monitoring should be done externally by side Contracts connected to the Pool in addition to any realtime managing of Uniswap V3 Ranges.

What do you expect to happen if we move the liquidity to DEXes?

I am not sure if i got the question. The G$ liquidity was always on DEX environments.

Would it facilitate or make it harder for people to transact with each other?

The flow happening for people using the G$ APP should be thesame, as the logic is happening in the App backend.
The flow for people managing their G$ on selfcustody mode would have an extra step, if sending LP despite G$ itself. But Uniswap has tutorial and public reviews in mostly any posible language.

Anyway the Redeployment V1: i mention should happend ASAP while all this financial inflows are wrote down for V2.

1 Like