K9 Finance "Golden Paw" NFT Incentive Program and Design Competition

General
1

(1) Introduction and Objective

This outlines the creation and distribution of a limited-edition series of 250 unique, numbered “Golden Paw” NFTs to incentivize substantial and long-term locking of KNINE tokens within the K9 Finance ecosystem. The objective is to reward dedicated community members, increase the amount of KNINE locked, and foster a stronger sense of community. This proposal also includes a design competition to source the artwork for the NFT.

(2) Benefits to K9 Finance Community

• Community Engagement: The design competition encourages creative participation.

• Brand Building: The “Golden Paw” NFT will be a recognizable symbol of commitment to K9 Finance.

• Enhanced Rewards: NFT holders receive bonus KNINE rewards on top of standard BONE rewards from Real Yield Staking, increasing their earning potential.

• Incentivized Locking: The program directly encourages locking large amounts of KNINE, contributing to price stability and stronger governance.

• Exclusivity: The limited-edition NFT creates a sense of prestige and belonging.

(3) Proposal Details

(a) WHAT

• NFT Details:

• Name: Golden Paw NFT

• Quantity: 250, uniquely numbered.

• Design: Golden Paw NFT Design Competition - Details

• Theme: The NFT design must incorporate a “Golden Paw” motif. The design can be a 3D claw mounted on a wooden base with a gold plate, a gold coin with an embossed paw print, or any other creative interpretation of the “Golden Paw” theme. The key is that the design clearly features a golden paw.

• Network: Shibarium

• Eligibility:

• Initial Distribution: The 250 NFTs will be distributed to the top 250 wallets based on a snapshot taken immediately before this proposal is submitted to the DAO for voting. Wallets are ranked by:

  1. Total KNINE locked in Real Yield Staking.

  2. Duration of the lock (longer locks prioritized).

• Minimum Lock: To be eligible, a wallet must have at least 1 Billion KNINE locked indefinitely. Note: “Indefinitely” means the KNINE must remain locked for as long as the holder wishes to retain the NFT and receive the bonus rewards.

• Ongoing Eligibility: After the initial distribution, wallets must continuously maintain the 1 Billion KNINE lock to retain the NFT.

• Claiming:

• A dedicated page on the K9 Finance dApp will display an ordered list of eligible wallets (and those “next in line”).

• Eligible wallets can claim their NFT via a “Claim” button on the dApp.

• NFT Burning: If a wallet holding a Golden Paw NFT unlocks KNINE and falls below the 1 Billion KNINE minimum, the NFT will be automatically burned.

• NFT Re-Minting: If an NFT is burned, the next eligible wallet (earliest locked date with the KNINE balance that meets the 1B minimum, with the highest locking date as a tiebreaker) will have a 7-day window to claim a newly minted NFT (same design, new unique number). If unclaimed after 7 days, the opportunity passes to the next wallet in line. This process repeats continuously.

• Bonus Rewards:

• Holders of a Golden Paw NFT will receive their standard BONE rewards from Real Yield Staking.

• In addition, they will receive a bonus amount of KNINE equal to the USD value of the BONE rewards earned by their total locked KNINE, calculated at the exact moment they claim their regular BONE rewards.

• Bonus KNINE rewards will be distributed each time the holder claims their regular BONE rewards.

(b) WHO

• Participants: Open to all digital artists (for the design competition).

• Eligible NFT Holders: Wallets meeting the locking requirements.

• Organizers: K9 Finance DAO (Marketing Sub-DAO, if applicable).

• Developers: K9 Finance development team (for smart contract and dApp work).

• Voters: KNINE token holders (for the design competition community vote) and the K9 Finance Roundtable of Dogs (for final design selection).

• Administrators: K9 Finance DAO Marketing Sub-DAO, will be given admin access to manage the program.

(c) WHERE

• Design Competition: K9 Finance Forum (submission and initial voting).

• NFT Minting/Distribution/Burning: Shibarium network.

• Claiming Page and Eligibility List: K9 Finance dApp.

(d) HOW

• Design Competition: (See “Golden Paw NFT Design Competition” section below for full details).

• NFT Incentive Program Implementation:

• Smart Contract Development: Significant smart contract work is required to:

• Create the “Golden Paw” NFT contract (ERC-721 or similar).

• Implement the claiming mechanism for eligible wallets.

• Implement the automatic burning mechanism.

• Implement the continuous eligibility checking system.

• Implement the re-minting mechanism (with unique numbering).

• Calculate and distribute the bonus KNINE rewards.

• THIS IS A MAJOR DEVELOPMENT EFFORT AND REQUIRES A REALISTIC BUDGET AND TIMELINE. THE DAO MUST OBTAIN A COST ESTIMATE FROM THE DEVELOPMENT TEAM BEFORE VOTING ON THIS PROPOSAL.

• dApp Development: A new page on the K9 Finance dApp must be created to:

• Display the ranked list of eligible wallets (and potentially a “waiting list”).

• Allow eligible users to claim their NFT.

• Provide clear information about the program rules.

• Ongoing Monitoring: A system (maybe off-chain, due to gas costs) must continuously monitor all wallets holding the NFT to ensure they meet the 1 Billion KNINE locking requirement. This system must trigger the burn/re-mint process.

• Funding:

• Design Competition Reward: 10,000,000 KNINE (from the Marketing budget).

1st 5,000,000 KNINE, 2nd 3,000,000 KNINE, 3rd 2,000,000 KNINE.

• Ongoing KNINE Rewards: K9 Finance DAO Treasury (Marketing Allocation), with the possibility of using unclaimed airdrop tokens if a separate proposal to reallocate those tokens is approved.

• Development Costs: Estimate needed from the Development team before action could be taken.

(4) Impact Assessment

• Short-Term Impacts:

• Increased community engagement and excitement.

• Incentivized locking of KNINE.

• Generation of high-quality K9 Finance-themed artwork.

• Long-Term Impacts:

• Stronger incentives for long-term KNINE holding and locking.

• Greater stability for the KNINE token.

• A more engaged and active community.

• Increased Total Value Locked (TVL) in the Real Yield Staking contract.

• Establishment of a desirable, utility-based NFT within the K9 ecosystem.

• Risks and Mitigation:

• Risk: High development costs and complexity.

• Mitigation: Thorough planning, phased rollout, potentially seeking external development assistance. Obtain a realistic cost estimate before proceeding.

• Risk: Community dissatisfaction with the eligibility criteria.

• Mitigation: Clear communication, consider lowering the 1 Billion KNINE threshold if participation is projected to be low (requires a separate DAO vote). Note: The 1 Billion KNINE threshold excludes the vast majority of holders.

• Risk: Technical issues with the NFT minting/burning/claiming/reward system.

• Mitigation: Rigorous testing and auditing of the smart contracts.

• Risk: Unsustainable reward emissions.

• Mitigation: Carefully model the reward structure. The DAO can adjust the KNINE reward percentage in the future through governance votes.

• Risk: Low participation in the design competition.

• Mitigation: Promote the competition widely.

• Metrics for Success:

• Number of submissions to the design competition.

• Level of community participation in voting (both for the design and this proposal).

• Number of “Golden Paw” NFTs claimed and maintained.

• Total KNINE locked due to the program.

• Social media engagement related to the competition and NFT program.

• Long-term retention of NFT holders.

Golden Paw NFT Design Competition - Details

• Judging Criteria:

  1. Originality: Artwork is unique and not a copy.

  2. Copyright Compliance: No infringement on existing copyrights.

  3. Aesthetic Quality: Visually appealing and well-executed design.

  4. Theme Relevance: Clear incorporation of the “Golden Paw” motif.

  5. K9 Finance Branding: Design aligns with the K9 Finance brand and aesthetic (if applicable).

  6. Technical Considerations: Feasibility of minting the design as an NFT.

Theme: The NFT design must incorporate a “Golden Paw” motif. The design can be a 3D claw mounted on a wooden base with a gold plate, a gold coin with an embossed paw print, or any other creative interpretation of the “Golden Paw” theme. The key is that the design clearly features a golden paw.
• Submission Guidelines:
• Format: PNG, SVG, or animated formats.
• Originality: Artwork must be original and created by the submitter.
• Copyright: Submissions must not infringe on any existing copyrights.
• Multiple Submissions: Artists may submit multiple designs.
• Attribution: By submitting a design, artists agree to allow the K9 Finance DAO to use the artwork for the NFT and related promotional materials, with appropriate credit given to the artist.
• Voting Period: TBC
• Voting Platform: Snapshot.
• Voting Process: KNINE token holders will vote on their favourite designs. Voting power will be weighted by KNINE holdings (at the time of the snapshot taken for this proposal). The top 3 designs with the most votes will move on to the final judging round.
• Final Judging: The K9 Finance Roundtable of Dogs will review the top 3 designs from the community vote and select the final winner based on the judging criteria listed below.
• Winner Announcement: TBC
• Rewards:
• 1st Place: 5,000,000 KNINE
• 2nd Place: 3,000,000 KNINE
• 3rd Place: 2,000,000 KNINE
• Judging Criteria:
1. Originality: Artwork is unique and not a copy.
2. Copyright Compliance: No infringement on existing copyrights.
3. Aesthetic Quality: Visually appealing and well-executed design.
4. Theme Relevance: Clear incorporation of the “Golden Paw” motif.
5. K9 Finance Branding: Design aligns with the K9 Finance brand and aesthetic (if applicable).
6. Technical Considerations: Feasibility of minting the design as an NFT.

Thanks for reading.

1 Like
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I don’t like that it represents an expense for the ecosystem, you could instead create a knine ‘nft bond’ in which people mint it and/or sell it with the staking value of the minting amount.

Why should we reward the top 250 holders? Wouldn’t that be a centralization mechanism that would allow those portfolios to receive even more free dividends, further facilitating centralization?

However, if you sell it as a perpetual bond, in the end it is only representative of a real position in the form of an NFT, which may have the added value of rarity.

I don’t like privileges, as a small investor it seems unfair to me, I would like fair rules for each holder regardless of the amount.

3 Likes
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No. It goes against the principles of DECENTRALIZATION by creating a mechanism by which Whales become even larger WHALES?

I personally would prefer an NFT project that helps burn $Knine strategically with funds raised from sales, even a Burn-2-Mint method that helps reduce circulating supply to true burn, burn to LP or DeadWallet.

Perhaps, that could be my first proposal…

2 Likes
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Actually, a burning system has the same effect, whales get a higher percentage of the circulating supply and you lose voting power.

For me, what would make the most sense would be an NFT that costs k9 to mint without rewards for the NFT, just collecting, and that the k9 collected be staked and the rewards distributed.

1 Like
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Pretty much agree to this^
Burning a governance token doesn’t sit right with me. (Which I have also mentioned here before).
A small portion for marketing purposes? Sure, that’s reasonable, but beyond that, it undermines the long-term value of community governance.

1 Like
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In any case, it involves an expense and there is no clear benefit for each DAO member. I am also not in favor of large marketing budgets.

For me, the best companies are those that focus on technology, development, and research. I understand that marketing is necessary, but remember, we are defi and technology.

For me, the objective would be to bring innovative tools and protocols that bring decentralized finance to users attracted by the profitability of our technology. Isn’t finance about earning a return on your savings? I doubt finance is about selling others what you bought first.

The only marketing I would invest in would be to give away tokens to specific developers to attract their precious ideas to our DAO.

Summary

This is just my point of view, I am not more than anyone else nor do I try to hurt anyone by giving my opinion, remember that I love you and that we are all ryoshi.

1 Like
7

Absolutely agree with your overall point. Just because a lot of things might “taste good” individually doesn’t mean they work well together, especially when we’re talking about a project like K9, which is laser-focused on utility and real yield.

It’s important to remember what Bonecrusher is and what its core mission is: to bring liquid staking to Shibarium and provide sustainable DeFi infrastructure. That focus shouldn’t be diluted.

That said, I don’t think this idea is necessarily a BAD Idea, but in my opinion, it doesn’t belong within the K9 DAO. Personally, I’ve actually been working on a small NFT side project that’s somewhat similar in spirit, just for fun and to bring extra engagement, giving Bonecrusher users a way to earn a little extra. It’s completely independent from the DAO and not official in any way (and I think that’s the right approach for this kind of thing).

Hopefully I’ll have it live sometime next month. Built it with love for K9 and Shibarium, but totally as a private initiative. :smile::paw_prints:

1 Like