Treasure is a DAO-governed NFT ecosystem that originally began as a complementary addition to the Loot metaverse. The primary goal of TreasureDAO is to bootstrap new, decentralized metaverses using their existing token ecosystem. Treasure's ecosystem runs on it's native token, MAGIC.
DAO token: $MAGIC
Founded: September 2021
What is Bridgeworld?
Bridgeworld is the central metaverse of the Treasure ecosystem.
This ecosystem is comprised of 3 different resources:
Treasure (game asset NFTs)
Legions (character NFTs)
Bridgeworld is the primary source of MAGIC mining emissions. MAGIC tokens are the underlying resource that incentivizes projects to build inside Bridgeworld.
What is TreasureDAO?
TreasureDAO is the governing body of Bridgeworld. Only people who have staked their MAGIC tokens are allowed to vote on TreasureDAO's governance proposals. This is to align the DAO's incentives with long-term holders.
There are 2 distinct groups within the DAO:
Treasure Council: People who execute the DAO's vision
MAGIC holders: Voters, Contributors, & Users of the DAO's ecosystem
The Treasure Council is a group of dedicated members that helps execute TreasureDAO's vision. The Council is a combination of Artists, Developers, and other Creatives associated with the DAOs daily operations.
The current Treasure Council is as follows:
@jpatten__ - Founder | Creative Advisor
@gaarping - Founder | Growth | Tokenomics | Partnerships
@Timoraegi - Art Director | Narrative | Game Design
@DukePaints - Concept Artist | Imperium
@Mao - Art | Life NFT
@pixel_mat - Art | Smol Brains
@notrealend - Product Lead | Quests | Consumables
@jumpmanft - Marketplace Curation | Life NFT
@sisu Social Media | Marketing
@JustCheese - Front End Developer | UI
@wyze - Front End Developer | UI
@T1dev - Solidity Developer
What is $MAGIC?
$MAGIC is the universal currency for Treasure's connected web of metaverses. NFTs within this ecosystem can only be purchased by spending MAGIC. These NFTs typically consist of characters, pets, items, or land and provide access to different activities within Treasures numerous metaverses.
Max supply: ≈350 million
Emission period: 10 years
Emissions cut in half each year
MAGIC's initial distribution was available to holders of fractionalized Treasure, Loot, N and ALGD. The current ways MAGIC can be earned is by playing, mining, and participating in Bridgeworld.
Upcoming NFT Marketplace
Treasure will soon be launching their own NFT marketplace called Trove. This will be a generalized marketplace (think Opensea/LooksRare) built on Arbitrum. Any NFT collections on Arbitrum will be able to use Trove regardless if they are part of Treasure's ecosystem or not. This will be the first NFT marketplace on Arbitrum.
The marketplace will use ETH for transactions and collect fees as a source of revenue for the DAO.
Platform fee: 5%
Paper Ape's Take
Disclaimer: I have a small bag of MAGIC locked away in a staking contract for the next 12 months.
Admittedly I broke one of my trading rules when entering this trade:
Entered a position based on word of mouth from others
The most important part of being a trader is knowing yourself. I knew if I didn't lock my MAGIC away for a long period, I would inevitably paper-hand them a few weeks from now.
My thoughts after doing the research are the same as before I entered the position; I haven't totally bought into the hype. I'm not convinced that the DAO's model is sustainable over the long run but this doesn't mean they can't figure it out.
I'll start by naming the things that concern me about Treasure, then we'll end on the higher note of why I am staying in my position.
What do I dislike about TreasureDAO?
1. Too much text-based information
I love learning about crypto. That being said, learning about Treasure was boring as fuck and an utterly tiresome task.
Treasure Team, if you're reading this, I'm begging you - PLEASE MAKE ONBOARDING VIDEOS FOR BEGINNERS
Giant walls of text makes it extremely difficult to process information when trying to learn about the ecosystem. Its also very difficult to pinpoint where to begin due to the sheer volume of information.
Occasionally Treasure's lore terminology is mixed with real information which can also be a bit confusing if you have zero knowledge about the project.
2. Intricacy of Tokenomics
The tokenomics of TreasureDAO's ecosystem are extremely complex.
Although the complexity shows competency from the design team, this is a double-edged sword.
Complex tokenomics is great for DeFi autists and people who are knowledgeable enough to leverage it to their advantage within the game.
Complex tokenomics is not good for mass adoption. If Normies can't understand the basic functions of the economy, they won't see the value in participating in it.
TLDR: A lot of prerequisite knowledge is required to get started.
3. Questionable long-term plan
The DAO's main purpose is to create worlds that help their users unlock more MAGIC. To me that's basically an open invitation for DAOs to build in their ecosystem using greed as a cornerstone of their design. These aren't the type of users I'd want to attract if my goal was sustainability. Just because things are built on your ecosystem doesn't mean they cannot be used to extract value from it.
Treasure plans to attract new projects to partner with them by providing instant community & integration into a larger narrative.
This brings a few questions to mind:
How does Treasure bring new people into the ecosystem once mining rewards start tapering off? Rewards will look less attractive over time for new entrants.
How does Treasure prevent the original players from controlling the economy of each new metaverse/game?
What happens when people don't see the upside in mining MAGIC? If the original players control most of MAGIC's supply, it'd be more beneficial for new entrants to start their own metaverse DAO than join the existing one. Nobody wants to be late to the party, everybody wants to be an early adopter.
What do I like about TreasureDAO?
I can't deny the potential upside of Treasure. As more worlds are built within Treasure's ecosystem, the size of Bridgeworld will grow exponentially. Furthermore, if Treasure NFTs direct secondary fees to the DAO, revenue will begin compounding as the number of total assets/worlds increase.
I don't think this is a hugely important feature but I do like that Treasure is building infrastructure. Their NFT marketplace will be the first on Arbitrum which gives the DAO full control of that market until a competitor arrives.
Why did I lock my tokens for a year?
Despite my concerns, the upside of Treasure's success is too great to ignore. The 10-year token emission provides plenty of runway for the DAO to figure out a solution to long-term sustainability before it becomes an issue. I'm a gambling man and I see asymmetric upside on this bet.
I hope my concerns with the project are proven wrong but I think it's naïve to deny their existence.
There are too many unknowns about the sustainability of Treasure's ecosystem for me to be confident about my investment, but that also excites me. I'll revisit this in a year once I can claim my staked MAGIC to reevaluate the trade.