PINGPONG Tokenomics Design Proposal v0.1.0

This is the 1st draft of our tokenomics design. Releasing it at such an early stage is to welcome open conversations and engage in meaningful discussions regarding tokenomics design.

This is crypto, no one is reading past first line so let’s beg

TL;DR of TL;DR

  • Sybil attacking PINGPONG for PPP (PINGPONG Points) has a super low ROI. We don’t remove/ban anyone from using our products, simply disincentivize sybil attackers economically
  • 50% of tokens are allocated to growing community and reward token holders, and unlocked schedule and buybacks are profit-based, which means
    ↑profits => ↑unlocks & ↑buyback
  • Will consider TGE after the first rate cut

Anti Sybil Attack Mechanism

There’s almost none from the tech side, we disincentivize sybil attack through the economics layer (see section below).

(btw ~no tech for anti-sybil ≠ no security. We take security very very seriously and have built mechanisms to ensure security integrity since the first minor release.)

Building ways to prevent sybil attacks is a waste of engineering efforts, so in respect of your time: any PINGPONG product usage that does not contribute to PINGPONG’s revenue directly, will have very very limited airdrops. Leveraging user engagements and capitalizing on these metrics through the secondary market is capitalism at its finest, we truly truly respect that. But we are here to build something different, something (hopefully) more sustainable.

PINGPONG airdrops are designed to encourage human usage and feedback when the products are not as mature as they are going to be, and to subsidize for mistakes that we make during product development. Please give us feedback, or even criticize us if you think what we build sucks. These are the voices we want to hear and iterate our products based on.

How can a token from a product-focused team do well?

Our responsibility to our (future) token holders is to make our token 1000x, up only and up forever. By leveraging our solid products and high conviction user base, we and all speculators can then capitalize from the secondary market, in meaningful size.

We want to create an infinite game arena, or what we call a dynamic zero-sum game in which global optimum is always unknown, only local optima can be found. In such a game, no one feels deceived or being dumped on. Too abstract? Look at the best-performing projects/companies’ charts, that’s our goal.

How are you going to get listed on CEXs without these propped-up key metrics?

By building products that people LOVE to use. Many crypto to-consumer products out there are onboarding normies into crypto, helping CEXs grow user base. They are killing it, but PINGPONG is not on the same battlefield as them.

Btw if we ever end up needing to prop up numbers, we can easily do it ourselves. We just don’t care about propping up numbers—if our products can’t capture users w/o airdrops after airdrops, that means we fail on the product side and/or understanding actual demand from the crypto market.

Profit-based(3,3) Tokenomics Design


Numbers will likely have minor adjustments, but allocation size to the Community & Airdrop won’t change.

Allocation Details
Community & Airdrops (50%) An initial airdrops to the community allocation at TGE, this airdrop will have a short vesting period. The bulk of it, at least 45%+, follows a profit-based unlock schedule (see below).
Team (15%) Some initial unlock at TGE, followed by a 1 year locked up period, and then gets linearly vested over 3 years.
Ecosystem (5%) No unlocks for the entire first year. Then, gets linearly vested over 2 or 3 years. This will be allocated for initial adopters of our SDK.
Treasury (16%) We will have a DAO for this. Some initial unlocks at TGE, followed by a 1 year locked up period, and then gets linearly vested over 3 years afterwards.
MM (4%) For providing liquidity.
Private sale (10%) Potentially some initial unlocks at TGE (depending on CEXs’ rules), followed by a 1 year lock-up period, then gets linearly vested over 2 years.

Profit-based(3,3) unlocks and buyback?

The more profits we make

  • the more % of Community & Airdrops tokens get unlocked and airdropped to token holders and users
  • and the more % of profits we use to buy back circulating tokens

↑profits => ↑unlocks & ↑buyback

Key parameters in this equation will come in later drafts. Please give us some time to do market simulations and propose these params later.

How do we build fundamentals?

We generate revenue from

  • Paid functions in our Aggregated DePIN Mining products
  • Txn fees from txns occur on our money market or calling our smart contracts from different frontends
  • SDK usage

This is the 1st draft of our tokenomics. Releasing it at such an early stage is to welcome open and meaningful conversations regarding tokenomics design.

TGE will likely happen after the first rate cut.

We would love to hear what you think!<3

9 Likes

Hello Team,

I appreciate your work, you are building something great.

I examined Tokenomics data, there are well thought out targets.

I just want to tell you this: price and market the project as high as possible. If the material is good, they will not invest in the price, they will invest in the project, so set your goals high, never fall victim to launchpads, sit at big tables.

Coming to the issue of tokenomics, such a large airdrop may cause long-term sales pressure. If the community is very large, everyone will have tokens and this tge time may cause problems. ‘‘The product that is not available to everyone is valuable’’.
Review the amount and plan allocated for airdrop, do not kill the project for marketing. Gaimin token did this and there are currently no investors in the project. Let it be airdrop, but this amount is too much and if you ask me, divide this airdrop amount into 3-5 or 10 tasks and plan a different time period for each task.

In this way, we will reward the community and not fight harsh sales pressures.

You are amazing, stay passionate.

1 Like

I’ve reviewed the tokenomics and believe that the lock-up and vesting periods for airdrops and private sales are crucial for the initial market.
If we carefully select the recipients of the airdrops and private sales, I think there won’t be any issues. Since the token price is extremely important, I hope the next version of the tokenomics will cover this aspect in detail.
Cheers!

1 Like

I am very happy to join here and I will continue to pay attention to the progress of the project.

1 Like

Hello!
:heart_eyes:Hi! I think- this project is :heart:!

Hello guys! Hello pingpongians! :heart_eyes: