The Safe (Formerly Gnosis Safe) has spun out of Gnosis. The process was started with GIP-29 of GnosisDAO and recently a strategic raise of funds was announced.
GIP-29 presented plans of launching a SAFE token. 5% of the total supply is allocated to reward users for their past contributions and usage. Of those 5%, half will be available immediately and the remaining half will be vesting linearly over 4 years.
This post will provide an overview of the proposed distribution of SAFE for users. We are looking for community feedback.
The distribution criteria should be set in order to achieve the following:
- Decentralization: SAFE governance would benefit most if the token is widely distributed.
- Reward usage: More active users should receive more tokens than less active ones
- Reward past usage but prefer potential future active governance participants, i.e. accounts that care about the Safe.
- Raise awareness for the Safe as a project and DAO
- Recipients should get a “meaningful” amount, i.e. users should care about it and tx fees for claiming shouldn’t make it economically unwise to claim SAFE tokens allocated to them.
- Ownership: Long term, we envision the Safe as a community-driven project. It is empowering to own a part of the product they use.
- An “action” is either a regular Safe tx or the number of “sub txs” in case of a multisend/batched tx.
- “ETH stored over time” per address are calculated by summing up the ETH balance for every day, i.e. “10 ETH stored over time” could mean an address held 10 ETH for 1 day or 1 ETH for 10 days or 0.1 ETH for 100 days, etc.
How are SAFE allocations calculated?
- 50M SAFE are distributed
- Only consider Safes created before phase 2 of GIP-29 (=Feb 9, 2022)
- Only consider Safes that have at least 2 actions OR 10 ETH stored over time, prior to GIP-29
- Each Safe gets a minimum of 400 SAFE
- Consider all official master copies (singletons) on Ethereum mainnet
- 0x8942595A2dC5181Df0465AF0D7be08c8f23C93af (0.1.0)
- 0xb6029EA3B2c51D09a50B53CA8012FeEB05bDa35A (1.0.0)
- 0xaE32496491b53841efb51829d6f886387708F99B’ (1.1.0)
- 0x34CfAC646f301356fAa8B21e94227e3583Fe3F5F (1.1.1)
- 0x6851d6fdfafd08c0295c392436245e5bc78b0185 (1.2.0)
- 0xd9db270c1b5e3bd161e8c8503c55ceabee709552 (1.3.0)
- 0x3e5c63644e683549055b9be8653de26e0b4cd36e (1.3.0L2)
- ⅔ of SAFE are distributed relative to their share of ETH spent on txs fees.
- Smoothing function: x^(½) (Square root)
- ⅓ of SAFE are distributed relative to ETH stored over time on Safe.
- Include wrapped ETH
- Smoothing function: x^(⅓)
Why only consider Safes created before February 9, 2022?
Safe spun out of GnosisDAO via a DAO vote. On this day, the spin-off proposal moved to phase 2 of the GnosisDAO governance process, i.e. it was reasonable to assume that it would pass. We chose this date as the cut off date in order to prevent users from gaming the allocation and rather reward real users instead of airdrop hunters. The same restrictions applied to applicants of the Safe guardians program.
Why not consider any value stored per Safe? Why just ETH/WETH?
There are many kinds of assets stored in Safes: ETH, ERC20s, NFTs. It’s hard to include all of them and to set them into relation, for instance fetching a reasonable USD value for some NFTs is hard. The same is true for illiquid assets and Safes that control systems/protocols. ETH is something that everyone can align on since it is the base of the network. The total stored ETH was the main success indicator for the Safe project for a long time.
Why use ETH spent on tx fees rather than number of actions or USD spent?
Gas spend on txs is a good indicator on how valuable a txs was for the executor at the time of the tx, cf. Gasdrop. ETH prices spiked tremendously over the course of the last few years. The regular users in the early days would not be allocated much SAFE if USD value is taken into account.
Why only consider Ethereum mainnet?
Looking back, mainnet was by far the most important chain for the Safe. Individuals and teams moving significant funds into Safes on mainnet was key for its popularity and trust. Additionally, Safe governance will happen on mainnet initially.
With the Safe now becoming popular on sidechains and L2s, we would rather encourage users on those networks to consider creating a SafeDAO proposal for airdrops. There is the SafeDAO treasury (40% of the total SAFE supply, vested over 8 years) that could be considered for this.
SAFE User Allocations
Proposed allocations for users can be found in this sheet or as csv.
Insights on the allocations
- Safes created before GIP-29: 45,025
- 10,453 never made a single transaction.
- Safes with allocated SAFE: 21,935
- Maximum number of tokens allocated to a Safe: 129,339.85
- Minimum number of tokens allocated to a Safe: 438.30
- Average number of tokens allocated to a Safe: 2279.46
- Median number of tokens allocated to a Safe: 1,325.99
- All Safes until GIP-29
- Safe transactions made in 2022
- Safe transactions made in 2021
- Safe transactions made in 2020
- Safe transactions made in 2018 + 2019
- ETH stored over time in Safes