## Implementing NFT Governance into SharkDAO

# Shark Island - Coming to Shore Redux: Two Shivers. Shark Feast Edition

**Hello Sharks!**
The last time I presented a [Shark Island related SIP](https://hackmd.io/IE_5J6a8Tty6HKKrHmxS9A) to the community I said that it was hopefully our final product document, detailing our strategy of token conversion into an NFT-governance based DAO. Well... here's a new one! Why?

- After continued discussions, and onboarding new contributing members to the project, we have aligned around a new structure.
- We have plans for tech implementation in place, but these structural changes need to be fundamentally cleared by the DAO!
- Details are below!

# **NFT Project**

## On chain Sharks! A Nouns fork called **Shark Island**
### **Plan**
- Shark Island will be a Nouns DAO fork
- Why create a Nouns Fork?
- It gives us a tool:
- A perpetual mechanism that supports revenue growth and facilitates new member entrance.
- We currently have no method of collecting revenue when new members join (swapping on Sushi).
- Further aligns our community with Nouns.
- Most of our contributors also build in Nouns DAO.
- Most of our treasury value derives from historically important Nouns.
#### **SharkDAO North Star**
- We support Artists and Builders (A&B)
- We are a Collective for Artists
- We buy art from the community.
- Work with artists to create new cc0 work.
- Create art-focused experiences for members of the DAO.
- We are a DAO for Builders
- We are funding builders and experimenting within the Nouns ecosystem.
- Pilot small initiatives and then take them to Nouns.
- Who is our community?
- "OG" Artists and Builders in the Nouns community
- NounsDAO Fans
- Some members joined to speculate on Nouns, and some joined to be part of the journey of Nouns from an early point.

#### Community Initaitives

##### NounsDAO Thinktank and Proposal Pipeline
- Shipping Nouns proposals every week
- Supporting content around proposals)

##### ALPHA DEGEN
- Trading tips and sharing NFT projects
- Whitelist spots in other projects
- Autonomous Community Wallet?

##### Community Art Curation
- Nounish Art Drops

### Fork Details

#### Shark Feast Mechanic
- Toggleable auction setting that changes bidding from ETH to $SHARK
- A fixed time period set by proposal
- e.g. next 1000000 blocks of auctions are all in $SHARK
- Variable Auction Speed

#### Launch and $SHARK Conversion
- SharkDAO launches Shark Island, a NounsDAO fork.
- Day 1: Shark Feast Mechanic is Enabled.
- $SHARK-exclusive auctions begin for Shark Island.
- This Shark Feast lasts long enough to target expenditure of a signfiicant supply of $SHARK tokens
- Targetting a length of 1 week to 1 month
- Start with an inital 7 days, and then expand?
- Potentially 47 days?
- This event is advertised in order to reach a majority of existing SharkDAO members
- Notes:
- ~1 bil Shark, 549,473,150 is with SharkDAO. 519,415,676 in the hands of the community. [$SHARK ERC20](https://etherscan.io/token/0x232afce9f1b3aae7cb408e482e847250843db931)
- Shark Feast can be turned back on. Which means we can continue to produce more ERC20 that can later be used to bid. Implications of such need to be discussed.

#### Regular Auctions
- A perpettual way to join our DAO
- 4/day - Tidal Auctions
- Revenue goes to treasury
- ~1400 NFTs a year
- No Nounder Reward

#### One Shark For Everyone? [Concept]
- Snapshot all addresses holding $SHARK
- These addresses will be allowed to mint one Shark NFT at a fixed rate, or for free.
- One per address limits this from being dillutive and impacting free-floating auctions.
- Would be, at most, about 1000 mints
- Less than 1yr of dillution at 4/day cadence.

#### Dilution
- Understanding Dilution:
- Dilution is important as a funding mechanism for our DAO
- We have historically been dilutive by printing $SHARK via Juicebox.
- Dilution is what has given us revenue to bid on Nouns and fund builder activities.
- Currently model produces about 1400 NFTs a year.
- How many will SharkDAO members have after Shark Feast?
### Artists
- Different artists make sharks, both well-established and up & coming.
- Check out our latest art [here!](https://nft.bueno.art/share/yCsWHMqh9vOsuENDkmWZ3?key=7b85e407-8062-4811-a45d-2d8ebf4d0c78)
- Artists include Numo, Goldy, David Horvath, Timpers, Gustavo Viselner, eBoy, Maty, Teddy Wilder, jjjjsssssnnn, Pixel Art Girl, Ser Noadz, mae, and more.
- "Season 2" of art contributions could be aquatic-themed.


### Website Experience
- Current Plan:
- Auction mechanic is a landscape
- "The Shore."
- As you scroll down the page, you head underwater...
- Details about our Project, Shark Island.
- Details about our DAO.
- Design: Sharks swimming around, our Nouns in submarines...
- Sea Bed
- Links to other components of the project?
- Project Figma https://www.figma.com/file/pWwIxUaKrpA2NC24aOA51Z/UI-mockups?node-id=0%3A1

*Mockup from Messhup below*

### Budget **(TBD)**
- Artist Compensation
- One Free Mint (or $SHARK)
- .3 ETH
- 47 Heads, 14.1 ETH TOTAL
- 200,000 SHARK
- Creator Team Reward
- Contributors: Goldy, Numo, Calabara (Nick + yungweez), Volky, Messhup, Sasquatch, Nico, Benjamin, Joshua...
- 22 ETH
- 30,000,000 $SHARK
- Distributed after the first Feast
- Fixed Rates + Coordinape?
- Rates TBD
- 4 ETH Slush

Total: 40.1 ETH and 35m SHARK

Note: This would leave 7 ETH in the SharkDAO Treasury for LPing or other purposes.

### **FIN**