DAO

$PIXEL spent in-game will be sent to a community-owned treasury. This treasury will remain untouched for 12 months. After 12 months, ownership of this treasury will be assigned to a DAO.

Governance

This treasury is intended to be under the direct influence of the community. For example, initiatives led by the community could be used to:

• Reduce the total long-term supply of $PIXEL (burning $PIXEL)

• Grants for community-built tooling & infrastructure

• Replenishment of Ecosystem Reward pools

Proposal Process

The exact implementation of governance is still to be determined, but we aim to follow the best practices set by Ethereum's EIP system.

We favor simpler systems that lead to higher participation and speed.

Governance Timeline

Our intent has always been gradual decentralization. We aim to build quickly and iterate initially. DAOs are great but take time and energy to set up and grow properly. We want to ensure that the team can focus on the core product & game before they have to worry about the governance overhead.

Token Splits

A larger percentage of the $PIXEL spent will be returned to the Ecosystem Rewards fund to ensure that the ecosystem can still grow before governance begins. However, when governance begins the community may start to exercise more control over where funds are best allocated.

Phase 1: Pre-DAO

• 80% of spent $PIXEL will be sent to the Community Treasury

• 20% of spent $PIXEL will be sent back to Ecosystem Rewards

Phase 2: DAO

• 95% of spent $PIXEL will be sent to the Community Treasury

• 5% of spent $PIXEL will be sent back to Ecosystem Rewards