FOX Airdropped to 1M+ addresses
Since our formation in 2014, our purpose has been to empower the digital asset market in alignment with the ethos of financial sovereignty.
Seven years ago, we pioneered frictionless crypto trading with no user accounts, and no custody of user funds.
This evolution enabled us to return protection and dignity to our users, ending KYC and other intrusive financial surveillance practices. ShapeShift will never be a bank. The end goal has been and remains: a world where people are empowered to manage their own financial futures, without sacrificing their privacy and control to governmental and middlemen entities. A world where users can participate in and explore new voluntary forms of financial innovation.
It has become clear to us that decentralization is the only way to achieve borderless, immutable finance. Therefore, decentralizing ShapeShift is how we choose to maintain fidelity to the principles first established by Satoshi and the Bitcoin whitepaper.
Starting today, our process of decentralization will occur in steps:
To our knowledge, no established company has ever decentralized itself to this degree. This is new ground that we hope will inspire others as well.
It is with great enthusiasm and gratitude to the many pioneers around us that we begin this next phase of ShapeShift’s journey.
We begin this new phase from a position of strength. Since 2014, ShapeShift has grown to support a broad community of users and has facilitated a vast number of crypto transactions (as of the end of May 2021):
We’ve continually evolved to offer users access to a range of widely requested, innovative services and capabilities, without friction:
Learn more about why we’ve made this decision: Erik Voorhees’ Blog Post
The FOX Token has always been our way of giving extra utility to those who support the ShapeShift platform and community (starting with no trading fees in 2019). Now, FOX is becoming the entire control and ownership structure of the project.
With time, governance over the entire ShapeShift open-source platform will move to FOX holders. This will be a process in which decision making moves from the fully centralized shareholder/board structure of ShapeShift today to a fully decentralized community/token structure in the future.
FOX holders will eventually govern all important decisions of the project. This includes governing the ShapeShift DAO—a new DAO treasury endowed with over 240,000,000 FOX Tokens (24% of all FOX).
What types of decisions could ShapeShift DAO governance control going forward?
FOX hodlers are encouraged to engage—discuss and debate ideas, brainstorm the optimal path forward, suggest a route change to the roadmap. Please see the “Important Links” section below for the ShapeShift community chat on Discord, the ShapeShift Discourse forum, and ShapeShift’s governance portal on Boardroom, where we will focus all open discussion and communications for the decentralized community.
ShapeShift will establish a well-funded non-profit organization—a Foundation—with the narrow objective to promote and facilitate a transition to a completely decentralized, community-owned project. As sufficient decentralization is achieved, this Foundation has a mandate to dissolve away.
The ShapeShift DAO is powered by SafeSnap (SnapShot + Gnosis Safe), which means community members can propose and vote on proposals with zero gas fees, and the result of those votes can trigger on-chain transactions.
Voting power applies to those with FOX in their wallets and will soon be upgraded to include FOX in the FOX/ETH Liquidity Pool on Uniswap V2.
Initial governance parameters are as follows:
These parameters are subject to change via ShapeShift DAO governance proposals.
Initially, a multisig safeguard controlled by ShapeShift employees has been implemented alongside SafeSnap to mitigate the risk of a malicious proposal stealing funds from the DAO’s treasury. This is intended as a temporary protective measure, and we look forward to working with the community to transition complete control of the treasury to the community of FOX token holders. Verification of the identities and integrity of the ShapeShift employees comprising the multisig keys can be provided to security researchers upon request.
As of this post, FOX has been airdropped to the largest number of eligible recipients in crypto history. There are now more than 1 million potential FOX holders who can choose to claim tokens.
This makes FOX Tokens one of the most widely distributed tokens in history. ShapeShift has never sold these tokens; there was no ICO.
Important note: All addresses have 90 days from today to claim their Airdropped FOX Tokens. After that, the amount claimable will decrease 10% from the original amount each day for 10 days, and any unclaimed tokens after that period will be returned to the ShapeShift DAO, further increasing the DAO treasury.
Claiming Your Tokens
For detailed information on token awards and how to claim awarded FOX Tokens, please see this informative Help Desk article.
The initial round of FOX liquidity mining will begin at 9:00 a.m. MT, Friday, July 16, 2021.
FOX Token holders that provide liquidity to the FOX/ETH pool on Uniswap V2 and stake their FOX-ETH-UNI-LP token in the ShapeShift Staking Rewards contract may earn a proportional share of 15,768,000 FOX Tokens over the following three months. Thereafter, governance will decide whether or not to continue or change the program.
Other than governance, why should you care about FOX?
FOX has always been a “Perpetual Utility” token—they provide benefits as long as you hodl them in your wallet. You do not need to spend your tokens to derive their benefits.
Here is the non-governance benefits that exists today:
Rainfall rewards FOX hodlers with free crypto when people trade on ShapeShift. The more FOX you hold, the better your chances of winning a Rainfall reward.
For every qualifying transaction on ShapeShift, the following benefits are realized:
FOX Fuel: Reimbursement for Gas Fees
Gas fees can get expensive!
FOX Tokens help you offset these costs. 10% of the current market value of your FOX Tokens, as determined by CoinCap.io at the time of trade, can be repaid to you every 30 days in additional FOX Tokens to help reimburse you for gas costs on trades. With enough FOX Tokens, this can potentially cover all of one’s gas costs on trades.
Example: If you have $500 of FOX, you can get reimbursed $50 each month for gas fees on your trades via an equivalent value in FOX (and so on). The FOX Fuel reward is calculated and rewarded when the trade is completed, and the benefit refreshes 30 days after each trade.
Taken together, ShapeShift trades are more competitive than other offerings. In the example below, a 1000 DAI trade yields more than $1000 of output coin to the user via ShapeShift. Uniswap and MetaMask yield negative via slippage and fees.
The FOX allocation breaks down as follows:
Total Supply: 1,000,001,337 (no inflation)
The active (unlocked/unvested) supply at the time of the airdrop, approximately 438M FOX, is roughly 75% in the hands of the community:
Official FOX Token Address: 0xc770eefad204b5180df6a14ee197d99d808ee52d
Distribution and Lockup Schedules
Got your FOX? Earn a share of 15,768,000 FOX Tokens that will be distributed over the first three months of liquidity mining.
Claim FOX airdrop:
Deposit FOX/ETH on Uniswap to earn FOX: https://fox.shapeshift.com/fox-farming
FOX SnapShot: https://app.boardroom.info/shapeshift/proposals
FOX Forum: https://forum.shapeshift.com
FOX Discord: https://discord.com/invite/shapeshift
The ShapeShift roadmap will ultimately be determined by FOX holders. To get the ball rolling, here are some of the major initiatives from the current ShapeShift roadmap, many of which are already in progress:
The First Partnership
We would like to propose the first partnership is established with Yearn, whose protocol has a built-in affiliate revenue program (https://twitter.com/iearnfinance/status/1367508483952771075?s=20). ShapeShift users will be able to deposit to Yearn vaults to earn yield on their assets with no added fees, and will even earn some bonus FOX. This will make ShapeShift the best interface for using Yearn, with a higher APR vs. using Yearn directly or through any other interface. One hundred percent of the revenue generated through users’ deposits will go to the ShapeShift DAO, and the FOX Tokens users earn will grant them governance rights over how those revenues are allocated.
FOX Token holders can choose to distribute revenues to holders, hold or allocate them to diversify the treasury’s portfolio, buy back FOX to either burn or to continue funding community incentive programs, invest in other projects, or any other initiatives the community manifests. This no-fee added, affiliate revenue program can be applied to any protocol, application, or service that addresses the needs of crypto users, including fiat on/off ramp purchases (Banxa), trades (THORChain or 1inch), NFT marketplaces (OpenSea), all things DeFi (refer to our list of communities being airdropped to), delegated staking for POS chains (staked.us), even physical item purchases (earn FOX when you buy a Ledger or some MetaFactory swag, and the ShapeShift DAO earns some DAI).
How does ShapeShift capture value in an open source, decentralized world? While open source code can easily be replicated, communities, partnerships, reputation, and the network effects these brew, cannot be.
FOX incentives can kickstart, accelerate, and solidify these network effects while also achieving the necessary, ongoing mission of distributing FOX widely, fairly, and to ShapeShift community members.
For protocols, blockchains, and any project willing to share a percentage of their revenue.
Blockchain projects will be able to add support for their own chains and tokens, with the option of sponsor bounties for any or all of the work.
Protocols or other crypto services (i.e., fiat ramps) that need an interface, web3/blockchain provider, and/or wallet no longer need to build this themselves; rather, they can integrate directly with ShapeShift at launch and gain valuable exposure to a growing user base and not worry about added fees or the risks and dependencies inherent with closed-source technology.
Any project that is willing to share a percentage of the revenue generated by ShapeShift users is eligible for bonus FOX incentives, as determined by governance.