Power on Base Updates — 2024–11–26
Updates for the short term
Nexus Token Allocation:
Upon snapshot, there were 6M PWR in LP with about 1.3B tokens in circulation, including those locked in Nexus Drip. To enhance the allocation for each holder, I have more than doubled the LP allocation to 13.5M PWR, which will be distributed proportionately based on each holder’s current holdings. This means that for every 1,000,000 Nexus held, each holder will receive approximately 10,000 wPWR.
Additionally, 7.5M PWR will be allocated as restricted tokens, earning rewards on PowerDrip but cannot be withdrawn.
Extra Token Allocation:
Previously, there were 300K PWR in LP with about 221K tokens in circulation. To increase allocations, I have more than tripled the LP allocation to 1M PWR, distributed proportionately among holders. This means that for every Extra token held, each holder will receive approximately 4.5 wPWR.
Similarly, 1M PWR will be allocated as restricted tokens, also earning rewards on PowerDrip but cannot be withdrawn.
A wallet-level breakdown for both distributions will be provided in an Excel file once the airdrops are completed. This will allow everyone to review the calculations for their allocations.
The purpose of these airdrops is to recognize and reward the users who supported us through our on-chain projects. These users contributed significantly by spending more PWR on those initiatives than they will receive through these airdrops. It’s only fair that they, like all other PWR holders, are given something in return for their support, rather than being left without any acknowledgment of their contributions.
Strengthening wPWR on Base
To ensure the strength and value of wPWR on Base, I have carefully reviewed several distribution scenarios for Nexus and Extra holders while considering the PWR tokens that have not yet migrated to Base. Not everyone may be happy with the results, but this distribution was the best way to maintain the strength of the token while maximizing benefits.
Post-airdrop, the total supply of wPWR on Base will be approximately 168M tokens, with 25M as restricted tokens. This brings the true circulating supply to 143M wPWR.
I have also decided to update the deadline for sending PWR and wPWR tokens from MaxxChain. The new deadline will be December 1st at 12:00 EST, moving up from the previously announced date of December 13th. This adjustment will enable us to proceed with the upcoming plans, which I will outline shortly.
Liquidity Challenges and Solutions
When Power on Base launched, it was designed as a wrapped version of Power and not intended to hold liquidity for the entire supply. Initially, $10,000 in LP was added from team wallets since the ETH-based token LP was locked. Over time, we retrieved and migrated additional LP to Base.
Currently:
- The LP ETH value is only 5% of the total market cap, which is a really low figure.
- True LP (measured in ETH) should ideally represent 15–20% of the market cap.
Therefore, to stabilize and strengthen the LP, we will need an additional $12,000-$15,000 in ETH. A plan has been developed to achieve this with community support and potential new users.
Rebranding Power on Base
As we transition from a blockchain to a token-based project on Base, we aim to better align with Maxx Capital’s vision and the RWA (Real-World Asset) ecosystem.
This rebrand will involve:
- A new token contract designed to streamline long-term goals and improve processes for PowerDrip and PowerNFT.
- A 1:1 airdrop of new tokens and NFTs to replace the current ones.
- Enhanced utilities and features to drive adoption.
- Fundraising prior to deployment to strengthen LP
To build up liquidity ahead of the rebrand, we will raise funds in three ways:
Current PowerNFT Collection:
- The current collection will still be available providing several benefits to owners including USDC and wPWR from trading, 50,000 restricted wPWR tokens will all proceeds going to LP
New NFT Collection:
- A collection of 100 NFTs across 6 price tiers, ranging from $25 to $500.
- Each NFT will grant restricted wPWR tokens in PowerDrip, with amounts ranging from 50,000 to 1,000,000 wPWR. Proceeds will go directly toward LP.
- The current PowerNFT collection will still be available providing even more benefits
LP Pool and Farming Platform:
Users will obtain LP tokens by providing only ETH, with the team matching the required wPWR. The LP tokens would then be locked for 6, 12, 18, or 24 months, earning PowerDrip rewards:
- 6 months: Users gain restricted wPWR tokens 1:1 based on the LP pairing
- 12 months: 50% bonus of restricted wPWR based on LP pairing
- 18 months: 75% bonus of restricted wPWR based on LP pairing
- 24 months: 100% bonus of restricted wPWR based on LP pairing
Detailed mechanics, visuals, and timelines will be shared soon.
Community Involvement in Rebranding
To engage the community in the rebranding process, a voting platform will be developed, enabling holders to vote based on their token holdings.
Key votes will include:
- New token name and design.
- Supply reduction proposals (while maintaining the same dollar value).
- Suggestions for the rebrand will also be welcome on the platform.
Development and Ecosystem Expansion
I’ve been working with a developer who has been instrumental in building the PowerDrip and PowerNFT platforms. Up until now, I have been paying for development out of my own pocket and will continue to do so as needed. However, going forward, the dev will likely be given a more permanent role on the team and will also be compensated through the 1% tax allocation from trading volume.
Once the above is in place, our goal is to onboard utilities that align with our RWA marketplace vision while creating value for both Web3 and Web2 users. This includes partnering with projects that offer complementary utilities and integrating them into the Power on Base ecosystem, leveraging our token as a central hub.
Updates and timelines will be shared as they are finalized.
Thank you as always for your support and know that we will continuously work as we have been to bring more eyes to our token and project.
