---
# System prepended metadata

title: NFT Farm

---

# NFT Farm

A major problem for farms is the cost of owning the land. Land is foundational to farming weather it’s for crop production or space for raising live stock. The cost of arable farm land will continue to raise, because as the old saying goes “god ain’t making anymore”.

As a result the cost of the land for starting a farm beyond most peoples means. Some farms have adoped a model of leasing the land so that they can manage it, but this cost money annually which reduces their margins. And there is also the risk of the land owner not renewing their lease. So let’s create a farm by utilizing the benefits brought to us by NFT’s and DAOs.
NFT

## NFT

A small farm of 150 acres. The land is represented by 150 NFT tokens. Each token would cost $10,000 thus enabling the farming cooperative to raise $1,500,000. This would be enough to by land (assuming a cost of about $7,000/acre) leaving the remaining funds for starting the farm. (these are guesses that could be adjusted with when the NFTs are minted).
## DAO

The farm in the real world is represented as a corporation. Each NFT contains a hash of the specific legal document that represents the charter of the farm. Defining things such as:
- Requiring the management of the farm to uphold desired standards such as organic certification.
- The use of the land will always be used for farming.
- Defining how the farm will be run, there may be a corporate board of directors that hires a care taker to actually run the farm.
- Defining that the DAO will be used to hold annual (or long) elections of the board members or perhaps rotating seats or NFT holders.
- Board members exist to make management decisions that:
    - Are to detailed to be handled by DAO vote.
    - Do the human things necessary to run a corporation that can’t be automated.
    - Have legal responsibility to uphold the charter.
    - Hiring the farm caretaker.
- Defining how NFT receive dividends, do they get cash from items sold or do they receive a portion of the food produced.
- Defining the what is grown or raised, could be managed by the board of directors, or may be voted on annually on the DAO

So this would create some legal contract enshrined by storing a hash of it in the NFT.

The corporate charter give the farm the ability to exist in the real word in the jurisdiction that it is located containing whatever legal language is accepted there. The charted also restricts and defines how the DAO is used to maintain corporate governance.

## A win win win solution
- The token holders win because they are empowered with food security, they each own 1/150th of a real farm, thus they own the 1/150th of the profits (as food or $ as defined in the charter)
- The farm caretaker win because they have job and a place to live (salary and details determined by board members within charter framework)
- The it a win for the entire planet since the charter can mandate sustainable agricultural practices.

## MVP for hackathon
- Define corporate charter, depending on how this is define is part of the specification for the DAO.
- Create system to mint NFTs.
- Create DAO
