Recently, a game called The Beacon on the Arbitrum chain suddenly went viral, and various communities and social media began to discuss it a lot. According to the data panel on Dune, as of December 6, 20,027 players have entered The Beacon, and the number of NFT purchases of the founding characters in the game is as high as 34,394 times (0.031E for each founding character).

This is under the premise that the game has only been online for 9 days, and there is no official promotion activity. On the contrary, in the current market environment, many chain games that have raised more than 10 million US dollars have sold NFTs with floor prices that have reached their peak since the opening of the market. What’s more, even the 10,000-unit NFT collection was not sold at the end of the public sale.

The Beacon is incubated by TreasureDAO. The data panel on Dune shows that the daily active life of the Treasure ecosystem has increased from about 1,500 to about 6,000. Recently, the number of new users has also increased by an average of 2,000 per day. A series of characters and equipment generated in the game are also priced in TreasureDAO's token MAGIC. The market's confidence and expectations in MAGIC have increased, and TreasureDAO's token MAGIC has also risen by 200% relative to the bottom.

This article explains in detail the origin, economic model, community, ecological projects and future development of TreasureDAO.

Originating from Loot Ecosystem

Many community users should remember that in August 2021, an NFT text file consisting of white text on a black background and 8 phrases for players to play at will swept the currency circle. Its name was Loot, which occupied almost all the attention in the market during that period, and the floor price also skyrocketed from freemint to 20 ETH. Then a large number of Loot derivative projects and imitation disks appeared, but as time went by, most of these projects gradually withdrew from the market because there was no development progress or the development progress was not optimistic.

But one of the spin-off projects called Treasure is unique and continues to make new progress. Treasure is a decentralized NFT ecosystem built specifically for the Metaverse project. Treasure’s goal is to guide the community to build a new, decentralized Metaverse.

It was launched by the community in September 2021 in a community-driven and fair launch method. Every item in the Treasure ecosystem (Legions NFT, MAGIC tokens, etc.) is distributed free of charge, and other collections on the Treasure market are also distributed free of charge and fairly. Treasure was originally built based on the Ethereum main network, but later because the gas cost of the Ethereum network remained high at that time, in order to lower the user threshold, Treasure migrated to the L2 layer Arbitrum chain.

MAGIC is Treasure's native token and the only currency traded in the Treasure market. Each community in the Treasure ecosystem constructs its own story around the MAGIC token, connecting the narrative and economic ecology through MAGIC. In this way, MAGIC also acts as a reserve currency that connects the entire Treasure ecosystem. Treasure DAO uses the proceeds from the release of MAGIC tokens to develop new projects and continue to support more mature projects.

TreasureDAO is managed by holders who stake MAGIC and oversees the project. The DAO votes on which projects to join, MAGIC token allocation, and revenue sharing between the market and the protocol.

On December 23, 2021, Treasure DAO voted to approve a strategic partnership with 1kx. Treasure officially announced that it has received US$3 million in financing led by 1kx. Chain gaming guild Merit Circle, chain gaming AcadArena, and Ready Player DAO and other institutions participated in the investment. Jiho, co-founder of Axie Infinity, also participated in the investment.

On September 16, 2022, Treasure DAO launched a proposal to sell USD 3.5 million of ecological token MAGIC. The token sale was led by Digital Strategies Guild, with participation from 1kx, Neon DAO and ID Theory, as well as new participants Arbitrum, IOSG, Alchemy Ventures and other strategic partners. The plan stipulates that participating institutions will buy MAGIC at a price of US$0.23, which will be released in two years after being locked for one year. The proposal has been voted on by the community.

Community contributors build the team

The vast majority of Treasure's team members come directly from the community. TreasureDAO establishes a framework through which the community can build with the team and be rewarded through MAGIC tokens for developing various key parts of the ecosystem. These incentives promote building a broader ecosystem and incentivize other communities to build on Treasure.

According to information on Treasure’s official website, there are currently 29 members involved in the construction of Treasure. Among them, there are 17 members responsible for products, and 10 members responsible for brand, marketing, and art. John Patten is co-founder and CEO and was the head of growth at Osmosis. Gaarp is co-founder and responsible for growth.

It should be mentioned that on February 23, 2022, one of the community members who participated in ecological contributions was exposed by the community that he initiated or participated in many NFT projects that ran away. Complex backgrounds of community members are unavoidable in DAO organizations, but the main affairs of the team are decided by the DAO, which is unlikely to have a serious negative impact on the participating projects themselves. However, as a DAO organization, it also needs to do as much due diligence as possible when recruiting team members. At the same time, team members can also be announced to allow the wider community to participate in supervision and due diligence.

economic model

Treasure’s token is MAGIC, with a total supply of approximately 350 million. Its issuance method mimics Bitcoin's halving, but the MAGIC token halving occurs every year instead of every four years. 33% of the released funds are used for treasure farm, 25% are used for mining, 17% are used to incentivize staking and liquidity providers, 15% are used as ecological funds, and 10% are used for team building.

According to MAGIC’s output model, MAGIC tokens will be released within 12 years from launch. According to blockchain browser data, the current circulation of MAGIC tokens is 254 million, and there are 260,000 currency holding addresses. Based on the price of US$0.5535 at the time of writing, its circulating market value is US$140 million, and its full circulation market value is US$193 million.

According to the design of Treasure ecology, MAGIC can be understood as the mother currency of all projects in its ecology, and each community project can launch its own sub-coin. Users can earn MAGIC tokens by playing games, mining, and participating in Bridgeworld (Bridgeworld is a strategy, trade, and domination game that is the center of the Treasure metaverse. Details will be introduced in the ecological section later in this article).

Treasure integrates the liquidity pool in the ecosystem into NFTs and integrates them into the game, calling them crystals, holy grails or other items related to the metaverse. This is why some users don’t even know that the items they are using are actually LP tokens. The advantage of this is to guide users to deeply participate in the ecosystem. Users spend time and energy in the process of obtaining item incentives, so that the incentive items are not only incentives, but also collections with time accumulation.

This mining process creates a virtuous cycle between MAGIC tokens and the Treasure ecosystem, making the liquidity pool a PVP game battle. During this process, MAGIC tokens are continuously pledged or deposited into the liquidity pool, and the number of circulating tokens decreases. As liquidity grows, its use cases and consensus continue to strengthen and expand outward, and it can become the basis for building derivatives and financial products, thereby being combined into DeFi products.

At the same time, the governance token of the Treasure ecosystem is no longer MAGIC, but the NFT derived around the MAGIC token serves as the governance token. According to Treasure’s information on Snapshot, an off-chain governance voting platform, only MAGIC holders who hold Bridgeworld Atlas Mine, Harvesters, and MAGIC-ETH SLP can use gMAGIC to vote.

The design of the MAGIC mining part creates high returns for users who are willing to lock up MAGIC tokens for the long term. These users played a key role in the liquidity of the protocol, but also kept the initial token in a high inflation mode. However, according to Treasure official information, such high inflation from the beginning of the token release was deliberately done to increase liquidity and create long-term sustainability.

MAGIC tokens are productive assets in the Treasure ecosystem that can capture ecological value. After the initial high inflation of MAGIC tokens, less and less of them are subsequently released. If the Treasure ecosystem develops strongly, narrative expectations continue to increase, and multiple narratives jointly increase its network effect, MAGIC tokens will become increasingly scarce. .

It can be seen that this design of Treasure avoids the vicious cycle of rough mining, raising and selling that occurred in the process of DeFi 1.0 and 2.0. According to Coinmarketcap data, as of December 5, the trading volume of MAGIC tokens in the past 24 hours was US$7.5 million. Its main trading markets are the decentralized exchange Sushiswap and the centralized exchange OKX. The current turnover rate and community consensus range are also relatively wide.

Ecological project introduction

There are more than ten games and infrastructure-type projects in the Treasure ecosystem. This article, PANews, will introduce to you some of the more important, more interesting, and higher-consensus projects among users.

Trove

Trove is an NFT marketplace built for the metaverse within and around the TreasureDAO ecosystem. Trove implements a user-graded experience system. Higher-level users can unlock different features and higher-level product customization, including but not limited to profile or website personalization, decorations, etc.

Trove is connected to the projects being built in the TreasureDAO ecosystem (games and infrastructure) and will help attract more attention and interest through intertwined gamification mechanisms, while also helping to attract more attention and interest through badges and achievement systems, leaderboards, EXP, users Levels and more reward loyalty. Trove users who hold Balancer Crystals, the gamified MAGIC-ETH LP token, will be eligible to receive in-depth collection-level data, including historical transaction volume, floor price changes, collection scores, and more.

The collections in Trove Market are divided into Treasure collections and Generalized collections. Treasure collections include but are not limited to games and metaverse items, and these collections are priced in MAGIC. These projects are also integrated with the TreasureDAO ecosystem with integration with MAGIC. Generalized collections can be any form of NFT collections, including but not limited to Personal Profile Pictures (PFP), Play and Earn (P2E), virtual worlds, access passes, art, photography, music, etc. This part of the collection is currently priced in ETH, and the integration with MAGIC is very shallow or almost non-existent.

The Generalized collection is currently hand-selected by DAO committee members. According to the official plan, Trove will allow unlicensed collectibles to be listed in the future, and plans to open up a multi-chain ecosystem in the future. The 2.5% handling fee generated by the collection on the Trove market belongs to the DAO treasury. According to the blockchain data panel produced by TreasureDAO on Dune, the total transaction volume of the Trove market so far is 113 million MAGIC. In other words, TreasureDAO’s current income is 2.82 million MAGIC.

Official website: https://trove.treasure.lol/

Magicswap

Magicswap is a decentralized exchange in the Treasure ecosystem. Currently, only two trading pairs, Magic/Gfly and Magic/ELM, are online. Both projects are games powered by Treasure. Among them, the Magic/ELM liquidity pool is 548,000 US dollars, and the transaction volume in the past 24 hours is 60,000 US dollars; the Magic/Gfly liquidity pool is 554,000 US dollars, and the transaction volume in the past 24 hours is 63,000 US dollars.

Official website: https://magicswap.lol/

Bridgeworld

Bridgeworld is a strategic business, trade, and domination game that incorporates many DeFi concepts while building a broader metaverse connected by resources and narratives, which is the center of the Treasure metaverse.

Legions, Treasures, and other NFTs native to Bridgeworld play a key role in Bridgeworld Season 1. Players can stake their Legions, Treasures, and consumables to develop characters, build stories, and increase the efficiency of mining MAGIC. Specifically, players can dispatch Legions to summon more Legions, find dropped items (such as Essences of Starlight, Treasures), use Treasures to make consumables, and mine MAGIC.

Players can go to the military camp and use 10 MAGIC to create Legions, and then they can explore the Bridgeworld world and Treasure ecology. During the exploration process, they can gain experience and drop rewards, and the drops can be used to strengthen Legions. Legions can combine rewards accumulated through missions in the Forge into rare and valuable consumables that will aid their exploration process. Players can also summon more Legions. It should be noted that Genesis Legions are in limited supply and come in multiple levels.

Harvesters find and consume players' MAGIC in the Bridgeworld world. The Atlas Mine is the main mine in Bridgeworld, and players can deposit MAGIC into it to mine MAGIC. The deposit cycle ranges from two weeks to one year, and the deposit time is directly proportional to the mining quantity.

Bridgeworld incentivizes social coordination by forming guilds and sub-DAOs to achieve collective strategies around resource accumulation and optimization, including the addition of new players.

Official website: https://bridgeworld.treasure.lol/

Incubate multiple games

TreasureDAO has currently hatched more than 10 games, including The Beacon, talesofelleria, toadstoolz, knightsoftheether, Realm, etc.

The most popular one is undoubtedly The Beacon mentioned earlier. The Beacon is a fantasy action game that incorporates Roughlite elements. Players can obtain characters for free or for a fee, and then venture into dungeons or enter taverns to answer questions. Both types of actions can drop items. The dropped items obtained by paid characters after adventure can be sold for profit.

According to a tweet from TreasureDAO Chinese community member Gavin, Tales of Elleria is an RPG chain game that was originally built on the BNB chain and later migrated to Treasure; toadstoolzNFT is a combination of community PFP and web games, with a high threshold for use. Rlmverse is a territory game, where users can explore and acquire new territories; BattleFlyGame is a key incubation project of TreasureDAO, with tens of millions of dollars raised from the community alone, but product quality still needs to be polished.

Summarize

To sum up, there are two routes designed by TreasureDAO. The first is to become a decentralized game publishing platform. TreasureDAO provides tools and resources for builders with ideas to help them build, publish games, and complete monetization. The second is to become the controller of the economic ecology of games within the ecology. All games built in the ecology are empowered by MAGIC, using MAGIC as a flywheel to increase the degree of decentralization and develop a decentralized system that can serve as a "real world" economic asset. ized cryptoeconomic primitives.

Currently, the data and assets between most platforms are separated. Even if products based on blockchain obviously have the inherent advantage of composability, they are still in separate formations, competing and competing among the existing ones. TreasureDAO's model innovation not only opens up the scalability and composability of in-game assets, but also opens up the composability of each project's narrative because of its bottom-up construction method. When players play in the Treasure ecosystem, they can not only experience the utility of individually owned assets that can be used across projects, but also feel the interconnection of stories.

In addition, TreasureDAO governance is through a council composed of community tribes that obtain and own different NFTs. Each tribe has its own culture and philosophy. This is a very interesting experiment for the use case of NFT - using NFT as the new norm for project governance. This is in line with the refinement of governance mentioned in articles related to the long-term development of chain game projects. Through the NFTization of on-chain data, community users who truly participate in the ecology can participate in governance, instead of being completely controlled by capital predators.

According to TreasureDAO’s plan, it hopes that Treasure can become the mainstay product of the Arbitrum chain. At the same time, I will also consider Arbitrum as a site on a long-term and ambitious journey, and therefore also consider using the Cosmos SDK to create my own specific application chain one day. At that time, holders of Legions and Treasures can act as verification nodes; most of MAGIC’s liquidity will be connected to the AMM specific chain of the Treasure chain through IBC.

The Treasure ecosystem focuses on games, and the ecosystem and games empower each other in a virtuous cycle. In fact, Treasure uses MAGIC and other items to regulate the economic system cycle within the distribution ecosystem. The allocation process itself is not a game.