【ZIP】10B Growth strategy by Tknomics.com

The Intro

ZKfair goal is to reach 10B MarketCap for token. The price of the token is always a result of supply and demand game. The proposal below describes high-level growth strategy that can be implemented for demand-driven growth.

The Valuation

There is no agreed formula to calculate fair token valuation for any project. However, for L2 projects people track several main metrics:

  • TVL (currently ~75M)
  • Number of protocols (currently 20+ and growing)
  • Stablecoin supply (currently ~75M)
  • Developers activity (No open repo for project)
  • TX amount (currently 4M+)
  • Number of addresses (currently 200k+)
  • Inflation / Deflation (currently stable supply without any inflation or deflation mechanics)
  • Treasury size (currently no DAO treasury)

Non-product metrics to track are trust and community metrics, for example, Twitter/Discord activity.

The combination of these metrics will drive investment decisions and result in buy pressure.

The Tokenomics

Total supply - 10B tokens (Gas Fee Airdrop: 7.5 billion; Community Airdrop: 2.5 billion)

ZKF token Utility:

  • DAO - The decentralized governance of the ZKFair protocol will be determined by community voting
  • Staking - stake ZKF tokens to obtain various benefits of ZKFair, including Gas fee profit share. Staking weight = Stake amount * Period weight. 75% of gas fees distributed between stakers, 25% between dapp developers.

We’ll consider this tokenomics as final, any changes can be done through further research and DAO vote.

The plan

Our team has done a lot of research for L1/L2s tokenomics and growth, thus, we can re-use some best working templates from other projects within short timeline for a strategy development.

Firstly, we will consider Projects as target audience for ZKFair because projects have communities, attract users and make them execute transactions, lock liquidity, etc. Currently, Arbitrum L2 has largest ecosystem in terms of TVL, protocols and users. Their bizdev and incentivization activities have proven to be successful and they can be adapted to ZKFair.

ZKFair FIP (Fair Incentives Program)

  1. Create 50M ZKF incentive program for application. Allocate 200k tokens for operations management.
  2. Create eligibility criteria for dapps and promote the program.
  3. Communicate with existing partners to apply for incentive program.
  4. DAO should vote on the approving grantee projects.

Protocols should distribute rewards between users who affecting 2 core metrics - TVL and number of transactions. Protocols may decide the way they distribute incentives, however, shared pool distributed proportionally to value locked seems fair.

Secondly, it would be really good to have ecosystem projects where ZKFair is a main chain (like SideSwap). The best way to do it - sponsor Hackathons to onboard devs to ecosystem, for example, ETHGlobal series and partner with incubators/accelerators.

FDS (Fair Developer Support) program may cost 25M ZKF/year and bring more devs and new products to ecosystem. The pool can be shared between accelerators and hackathon projects.

Thirdly, ZKFair needs more transparency in terms of security. We suggest to conduct pentest/audit, make it public and make the code opensource. After that, bug bounty program is highly recommended (Hackenproof or Immunefi can be used).

Lastly, all L2s are build around communities. Strong community skyrockets all the metrics. We suggest to create 25M ZKF fair marketing budget. Any marketing company or individual can propose activities to DAO. It can be research, developer documentation and guides, ecosystem onboarding guides, ZKFair ambassadors etc.

The future research

We suggest to conduct a research to cover following aspects:

  • Deflation - create burning mechanism to reduce supply over time. Lower supply with similar demand will create power to push the price up.
  • Treasury - create DAO treasury that can be used for ecosystem development and incentivisation. Stable revenue stream to treasury increases L2 valuation.

The Outro

Current metrics and market can push market cap to 1B+ on launch. However, it’s much more difficult to keep cap and grow over time. We believe that 10B+ valuation is possible if strong projects will be onboarded to the ecosystem and believers community will be built. ZKFair had great launch and we’ll try to help with its sustainable growth.

Yours Tknomics.com - product consulting and tokenomics.

11 个赞

A well-crafted article! ZKFair’s roadmap for success is clearly outlined and highly motivating.

4 个赞

Thanks, we hope it will help to from the final ZKFair strategy

2 个赞

The author did his best! Thank you

1 个赞

Good article. Do you think it makes sense to bet not only on ‘main chain’ projects and incubators but also on well-known projects in other L2 networks that will come with their communities and advertising right away?

1 个赞

Good roadmap. Actually well tested on other Governance tokens so should work great there

1 个赞

Thanks, we used all our knowledge and experience to draft strategy

Yes, governance is one of the most important mechanics for community owned protocols

For sure, ZKFair incentive program should be communicated with protocols deployed on all L2s and their communities to attract deploying on ZKFair

Very informative article.
ZKFair’s roadmap for success is clearly outlined and highly motivating.

1 个赞

We believe that implementation of the plan will help with ZKFair’s sustainable growth