[GIP-25] Expansion of the GoodDollar Protocol to XDC Network

Governance Proposals
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GIP: [GIP-25] Expansion of the GoodDollar Protocol to XDC Network

Title: Expansion of the GoodDollar Protocol to XDC Network

Author: Good Labs Foundation

Status: Stage III

Track: Protocol

Created: 02/10/2025

TLDR:

The aim of this proposal is to expand the GoodDollar Protocol to the XDC Network, supported by a grant agreement with XDC Foundation and Good Labs Foundation.

The deployment includes:

  • Deploying the G$ token on XDC and mint natively on XDC
  • Deploying a new GoodDollar Reserve on XDC, funded with $200k from the grant, to mint G$ natively on XDC
  • Deploying bridge infrastructure to connect G$ between Ethereum, Celo, and XDC
  • Activating UBI distribution and a gas faucet for verified users
  • Governance model is not deployed to XDC at this moment
  • Protocol Guardians authorized to manage Reserve parameters, collateral choice, and arbitrage dynamics between both Reserves for the health of the ecosystem and to avoid value extraction

Background

The GoodDollar protocol is designed as an open standard for free digital money as a public good. Its mission is to make money flow to the people who need it most. It achieves this by minting G$ daily, backed by a Reserve, and distributing it to members around the world.

Since launch, the G$ token has been designed to function in a multichain paradigm. The token has been claimable on Fuse and Celo, allowing hundreds of thousands of people to receive daily UBI across different networks.

For most of its history, however, the core Reserve — the contract that holds collateral and mints G$ — was deployed on Ethereum. At the beginning of 2025, the protocol was upgraded with GIP-24, which established a new native Reserve on Celo. Since then, Celo has been the single chain where G$ is minted and its monetary policy governed, while distribution continued across Fuse and Celo.

This proposal marks the first time in GoodDollar’s history that the core protocol itself will become multi-chain. By deploying a new Reserve on XDC, GoodDollar will operate two Reserves in parallel — on Celo and on XDC — each minting G$ backed by its own collateral.

With this step, the protocol evolves from being multi-chain only in distribution to being multichain at the very core of its design. This strengthens the collateral base, adds resilience, and expands the reach of the protocol. Daily UBI distribution will continue on Fuse and Celo, while the Reserves on Celo and XDC together back and mint the global supply of G$.

Proposed Changes

Following components, contracts, and rules will be deployed for the expansion of the GoodDollar Protocol to XDC:

  1. G$ Token on XDC

    1. Deploy the G$ token on XDC
    2. G$ will launch on XDC as a standard token. In the future, if Superfluid supports XDC, G$ could also become a SuperToken for streaming

  2. GoodDollar XDC / Celo Reserve

    • Deploy a Reserve contract on XDC.
    • Funded with $200k from the XDC grant.
    • Stable asset on XDC: USDC.
    • Mints and redeems G$ according to is own bonding curve.
    • Bonding curve parameters to be set on XDC and updated on Celo Reserve:
      Adding more collateral backing the current G$ supply allows to increase the reserve ratio or the current price. We aim for a mix of both, increasing the reserve ratio will decrease volatility while increasing the price rewards long term holders and contributors, restoring some of the value lost at the hack.
      • Initial price: Price on Celo at day the proposal passes + 10% increase.
      • Reserve ratio: increase to match collateral and price
      • Exit contribution: 10%
      • Outflow limits (ref: 40k/week, 80k/month).
      • Inflow limits: unlimited.

  3. Expansion Controller

    • Deploy an Expansion Controller on XDC.
    • Responsible for managing the expansion rate of G$ allocated for UBI.
    • Granted minting rights strictly limited to UBI issuance.

  4. Distribution Helper

    • Deploy a Distribution Helper on XDC.
    • Moves minted G$ from the Reserve and Expansion Controller into the UBI pool.

  5. UBI Pool

    • Deploy a UBI Pool contract on XDC.
    • Enables verified users to claim daily G$.
    • Protocol Guardians will determine the best initial logic for distribution (e.g. to avoid over-distribution when there are still only a few users)

  6. Bridge

    • Deploy bridge contracts to connect G$ between Ethereum, Celo, Fuse and XDC.
    • As both Celo and XDC will mint G$ natively, bridge logic will be changed to mint/burn on all chains.

  7. Identity

    • Deploy an Identity contract on XDC to ensure that user verification is not exclusively tied to Celo or Fuse claims, but works seamlessly across chains.
    • Existing verified users will be synchronized by the backend so their identity status is recognized on XDC as well.

Risks & Considerations

  • Multichain Reserves: This is the first time the protocol will operate with two active Reserves (Celo + XDC). While this introduces potential arbitrage between Reserves, it also adds resilience: no single Reserve is a point of failure, and the protocol’s collateral base is more diversified. Protocol Guardians will implement measures (exit fees, redemption caps, liquidity alignment) to mitigate unhealthy arbitrage and protect the system.

  • Price alignment: Over time, differences in inflows/outflows may cause divergence. Guardians are authorized to manage parameters and arbitrage dynamics to maintain stability.

  • Bridge Dependence: G$ fungibility across chains depends on reliable bridge operations. Protocol Guardians will configure bridge permissions and liquidity safeguards.

Next Steps

  • Protocol Guardians finalize deployment architecture and Reserve parameters.
  • Contracts will be deployed on XDC in phases:
    • Token + bridge → distribution contracts (UBI pool, faucet, affiliate) → Reserve + liquidity.
  • This proposal allows distribution to begin with bridged G$ prior to the Reserve launch, if decided by the technical team and Protocol Guardians.
  • Guardians will publish final Reserve settings before activation.
  • Community will be updated on progress and deployment timeline through the forum.

Motivation for expanding the GoodDollar Protocol to XDC

XDC is an EVM-compatible blockchain focused on real-world asset tokenization and enterprise applications, with low-cost transactions that make participation accessible.

GoodDollar’s mission to deliver free money a public good aligns with XDC’s vision of building inclusive financial infrastructure. Both projects aim to bring the benefits of blockchain to people and communities.

Expanding GoodDollar to XDC strengthens the protocol by:

  • Adding a new Reserve backed by fresh collateral, increasing resilience and liquidity.
  • Embedding G$ in an ecosystem built around practical, scalable use cases.
  • Creating opportunities for new integrations, partnerships, and user growth.

With shared values and complementary goals, this expansion positions GoodDollar to thrive within the XDC ecosystem while continuing to grow as a multi-chain public good.

Importantly, this expansion does not replace Celo as the primary Reserve chain. Instead, it introduces a parallel Reserve on XDC, establishing a resilient multi-Reserve design that broadens collateral backing and strengthens the protocol’s stability.

12 Likes
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Good news! G$ will be a world leader for UBI.

6 Likes
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My input on GIP-25 :

  1. Having G$ run on both Celo + XDC just makes the whole system stronger. If one chain has setbacks , the other got our back. Feels more solid this way :100:

  2. Claims on XDC sounds dope. Cheaper + faster txns = more people actually using G$. That’s a win for adoption

  3. XDC is already pushing for enterprise + low fees. Tapping into that network could bring new energy into GoodDollar :fire:

One thing I’m wondering tho… how’s the DAO going to manage everything across 2 chains? Like will votes/decisions be mirrored or do we need new tools for that? :thinking:

Overall, I’m rocking with this idea. Feels like the start of a bigger, multi-chain GoodDollar vibe :rocket:

7 Likes
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Ohhh! I’ve been a GoodDollar claimer since 2023, and I’m really happy to see the protocol expanding to the XDC Network. I hope the claiming process stays simple, secure, and low-cost for all users. Great work, GoodLabs! :raised_hands:

7 Likes
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My discussion on GIP-25

I have joined gooddollar community since 2023 and I really loved the interface of the gooddollar and I have also experienced more about crypto through gooddollar and I’m really happy for adding XDC to gooddollar this makes me believe that there is more updates about gooddollar UBI to the world :earth_americas:

7 Likes
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Since September 2020, I have been a participant in the GoodDollar project, and I believe that adopting XDC for the G$ token is a strategic move that enhances the GoodDollar protocol in several ways:

  • Resilience and Diversification: By deploying a Reserve on XDC, The protocol’s architecture is transitioning from a single-chain to a multi-chain framework at its core. This diversifies the collateral base and reduces the risk of single points of failure.

  • Improved Accessibility: XDC offers low-cost and fast transactions, which can increase adoption by making UBI more accessible to a broader audience.

  • Alignment with Vision: XDC’s focus on real-world asset tokenization and enterprise applications aligns well with GoodDollar’s mission to provide free money as a public good.

This expansion strengthens the protocol’s stability and broadens its reach. It’s a positive step toward a more resilient and inclusive UBI ecosystem.
Therefore, I support the aforementioned proposal.

G$ to the moon… :new_moon_with_face::new_moon_with_face::new_moon_with_face:

7 Likes
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Please will dis Increase the price of good dollar or increase it’s liquidity and volatility

5 Likes
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Pls dis need to be put into consideration

5 Likes
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It’s a welcoming idea, I also think expanding to XDS will bring a great development to the system.

7 Likes
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G$ is already a reserve-backed token, designed to be stable rather than volatile. Adding a new Reserve on XDC won’t increase volatility — it will make the system more resilient and liquid. Additional collateral from diverse sources strengthens the backing, deepens liquidity, and enhances overall resilience.

The launch will set a new price: the Celo price on the day the proposal passes plus a 10% increase.

7 Likes
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I’ve been a GoodDollar claimer since 2024, and I’m really happy to see the protocol expanding to the XDC Network. I hope the claiming process stays simple, secure, and low-cost for all users. Great work, GoodLabs! :blush:

7 Likes
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Thank you Gooddollar for all the efforts put in place for the success of $G.

The is a huge progress in the right direction. XDC community will add more strength to the Gooddollar and this will give community more ways to transacts.

I love it.
Keep pushing forward G$.
We are with you to the end .

Thank you.

7 Likes
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Goodollar core team are really up and doing to see the success of GoodDollar project.

With this move to deploy GoodDollar on this chain is a welcome development.

More exposure to a wider community, more financial inflow and many more.

Kudos to the Core Team for their relentless efforts in making sure GoodDollar become money for all who are interested.

7 Likes
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Kudos to the core team for their hard work and dedication. I truly appreciate the move to expand GoodDollar’s reach. I’m hopeful, though, that over time the team aims to stabilize the price at USD 0.0005 as a long-term target, so that G$ can be seen more as a “real” UBI token. Recently, we saw 40–80K active claimers, but due to security issues or hacking concerns, the number of users has dropped. I hope the core team addresses these challenges and puts plans in place to restore and grow user trust and engagement. Keep up the momentum — we believe in the vision

7 Likes
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The proposal is now live on Snapshot:
https://snapshot.box/#/s:thegooddao.eth/proposal/0x89b8e55ae1a33a7ade19c535cd943a4f84ff24e63340573993a90a07d0f9d6e0

Voting period: Oct 20, 2025 · 6:22 PM (CET) → Oct 27, 2025 · 5:22 PM (CET)

6 Likes
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A new GoodChat is live!

We’re excited to announce a dedicated GoodChat in the GoodDollar Community focused on the GoodDollar x XDC expansion!

This space is created for open discussions, questions, insights, and everything you want to explore about the expansion.

:speech_balloon: Join the conversation here and be part of the dialogue shaping the future of GoodDollar!

Share your inputs in this thread!

3 Likes
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Hi GoodDollar Team, we want to know when can we able to buy G$ XDC ?

1 Like
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Hi there, kindly refer to this update to learn more: Notion

2 Likes