This policy has passed via a DHO proposal on 6/26/2022.
On Nov 3, 2021, Hypha approved the first step of the Hypha Redistribution Proposal (HIP1), and all liquid HYPHA tokens were moved into the Collaborative Staking Contract, costak.hypha. During that step, multiplicative adjustments were made to the number of HYPHA tokens owned by each account holder.
This new proposal is to augment that process and approve adjustments to HIP1 and further additive bonuses, with the goal of a distribution that emphasizes current assignment holders and meets the recommended needs for fundraising, as discussed by the FinFlow Circle and the Hypha Council.
The new distribution takes into account only IDs 1-752 from the lock table in the costak.hypha contract (as well as an additional 5,000 HYPHA tokens to starseedyogi, that was missing from HIP1). IDs beyond 752 will transition to a new vesting contract to be designed during implementation.
Additionally, this HIP3 proposal includes a policy whereby the HYPHA tokens in this new distribution will be locked for one year and then linearly release back to the account holders over the next four years. A new vesting contract will be designed for this purpose during implementation.
This is a proposal to give the FinFlow Circle the authority to determine when to trigger a temporary pause of HUSD issuance. This pause would stay in place until the FinFlow Circle determines that the Hypha Treasury has sufficiently increased its working capital to resume HUSD issuance.
When the pause is active, the blocking of HUSD issuance would automatically take place at the point of the Claim action. The system would compute the total USD-equivalent value of the claim, and it would satisfy that full amount by issuing the equivalent value of HYPHA tokens. No HUSD would be issued. A banner message would be displayed at the top of the page indicating HYPHA tokens are being issued instead of HUSD. This is the same thing as all proposals being 100% deferred.
This policy has passed via a DHO proposal on 10/27/2021.
Hypha redistribution follows the following principles:
A - Moving Hypha tokens into the collective sales contract results in a 5x or higher multiplier on the token. This is a forward dilution that ensures our liquid Hypha are only a small percentage of the whole, which enables the tokenomics to work.
B - Members going forward receive a higher multiplier (20x)
C - Members not going forward receive a lower multiplier (5x)
D - Investors receive a multiplier that keeps them at around the same level or slightly diluted post raise. Example if the raise is 7% investors would expect a 7% dilution.
Numbers other than the ones mentioned above are for many edge cases - people who invested but also earned Hypha through contribution, and so on. I am happy to answer all questions about that on chat (Nikolaus).
The idea behind this is to make Hypha attractive for both investors and members going forward, while also honoring past contributions. The members going forward basically define the team that we have to execute on our opportunities.
This proposal will allow us to move forward without a split into two entities which is a weaker proposition than one organization.
As past contributors are concerned I want to stress that this proposal will carry forward their value or better, therefore I believe it is absolutely fair to all. It will also incentivize all who come along to pour their entire heart and soul into the project without being weighed down by past events.
URL: https://storageapi.fleek.co/39cd73c5-3106-49b2-be98-0fdf926112e6-bucket/HIP Hypha^1 Staking, Bonuses - Sheet1.pdf
IPFS Hash: bafybeiazwib6w4wrbb2b2zuvekzjjas52bnhbttpxdeoknabj6yvf4bqaq
The spreadsheet was created and agreed on by the preliminary Jedi council consisting of myself (Nikolaus), Rieki, Ronnie, Alex, Joachim, Max.
Principles from Software Engineering:
 Perfect is the enemy of the good
 Don’t optimize too early
The collaborative sales contract
The contract locks members tokens until it is released by voice holders in a collaborative manner - ie voice holders can unlock 10% then each member can withdraw 10%.
The bonus is applied automatically for investors, since investors investments are honored regardless of level of engagement.
The bonus is applied for non-investors as soon as they move their Hypha tokens into the contract. There’ll be a manual verification process and on-chain checks on the expected numbers, so people don’t shift Hypha tokens around before moving them in.
Token Sale Bonus - Hypha will raise 7.77% on a 70M valuation. There will be a 5% bonus on the amount raised paid out in Hypha tokens for those who raise the capital. Any Hypha member qualifies.
Cliff Vesting Contract
Additive bonuses will be put in a cliff vesting schedule contract, for example 6 months cliff, vesting over 3 years. Meaning the tokens start to vest after the cliff date, and linearly vest over time until the end of the vesting period.
On leaving the organization, all already vested tokens will remain intact, but no additional tokens will vest.
Leaving the organization is defined as not having claimed on any proposal or assignment for 3 months or more.
The cliff vesting contract definition only applies to the 3rd proposal bonuses and will be defined there again. It’s in here for information purposes only.
Why are some people rewarded more than others?
This is about focusing on the DAO opportunity, and making sure we have an efficient organization that can execute it (The team). It’s about going forward vs. not going forward.
What about people not going forward?
Past contributions are fully honored. All value is preserved compared to the current Hypha value of $8. This is about looking forward, not back.
Why are some numbers different?
Some members have invested and also worked for Hypha so they get a mixed bonus. Other special cases apply. We took a best effort to solve them all fairly.
What are alternatives to this proposal?
Some scenarios here:
1 - Doing nothing - likely we will run out of the remaining funds and then shut down
2 - Splitting into a DHO focused Hypha and a Seeds focused one.
Anything could happen in this scenario but I - Nikolaus - believe both would be weaker than before. Our experiment in decentralized governance would restart; the DHO focused entity would go forward, and the Seeds focused one would be in the same situation as “do nothing” above, except much weaker. That is my personal opinion and why I have put much effort in this proposal.
This policy has passed via a DHO proposal on 5/31/2021.
Convert $10,000 USD worth of ETH in the treasury to TLOS. It will be converted in 2-3 chunks to average out volatility. All TLOS will be provided before the HUSD is redeemed.
This policy has passed via a DHO proposal on 5/27/2021.
Move $500k in treasury ETH and $500k in treasury Seeds (from tlosto.seeds) to Uniswap liquidity pool to initiate the SEEDS <-> ETH exchange (and start getting some real liquidity movement and secondary market pricing started).
This policy has passed via a DHO proposal on 5/15/2021.
The following treasury non-Hypha/Seeds allocation as been confirmed:
40% EOS (to be used as our main treasury for payouts)
Bitcoin isn’t great to continue to support - we started here as it offered the best liquidity, onramps and price stability… However, it’s not great for the environment and I don’t believe it makes sense from an ethical nor environmental position to continue to support as our main treasury position.
ETH is changing to Proof of Stake - as such will be a much cheaper to send and much better for the environment blockchain and along with our bridges to the ETH community makes sense to increase our holdings and support for the community.
EOS is free to spend and DPoS (best for the environment) and has incredibly high liquidity, available on any major exchange (so best for doing payouts with, over BTC). Further, with Dan leaving Block.one - starting Eden (a community governance project on EOS) and the upcoming launch of Bullish (an EOS based exchange) maintaining this relationship has high upside and alignment with our ideals and also a great bridge to the fiat world.
I propose we adjust our treasury positions to support projects that:
If passed the treasury team will execute these trades using a combination of decentralized exchanges.
This policy has passed via a DHO proposal on 12/14/2020.
Increase the (currently each full and new moon) frequency of manual round increases to the Seeds sale to become weekly (Full, New and Half Moons).
Opposed to doing one large price increase (to better reflect fair market value of the network) in price (as has been discussed) we can continue with the organic rise and this policy instead.
This acceleration comes when the tools to start inviting new members are ready. Where an easier, cheaper and faster way to trade fiat for Seeds has been created and marketing will begin.
This policy will continue with the low marketcap for the whole SEEDS network (100-200x lower than similar tools) giving a continued opportunity for Seedizens to get Seeds as these introductory prices.
This policy has been passed via a DHO proposal on 8/25/2020.
Proposing increasing the sale price of Seeds by 3.3% each new and full moon starting September through December.
This is in addition to the 3.3% increase that happens every 1.1M Seeds sold.