Aavegotchi

Basic Overview

Aavegotchi is a DeFi-enabled crypto collectibles game developed by Singapore-based Pixelcraft Studios that allows players to stake Non-fungible tokens (NFTs) avatars with interest-generating tokens and interact with the Aavegotchi metaverse. It is a unique combination of Decentralized Finance (DeFi) and NFTs.

Aavegotchis are pixelated ghosts living on the Ethereum blockchain, backed by the ERC-721 standard. Their value is determined by rarity level, which is calculated via multiple factors, such as base traits, amount of staked collateral/aTokens, and equipped wearables.

To level up their Aavegotchis, players can participate in a variety of activities including mini-games, governance, and meetups. Aavegotchis can also increase their rarity level by equipping in-game wearables and leveling up.

Rare Aavegotchis not only have higher secondary baazaar value, they also enable the Aavegotchi to perform better in rarity farming—a minigame that rewards the rarest Aavegotchis with GHST tokens.

Aavegotchi is governed by AavegotchiDAO that manages all funds generated through the GHST token distribution.

About Aavegotchis

Aavegotchis are rare crypto-collectibles living on the Ethereum blockchain, backed by the ERC-721 standard used in popular blockchain games such as CryptoKitties, Axie Infinity, and Cryptovoxels.

Aavegotchis possess three attributes that determine their overall value and rarity within the Aavegotchi universe: collateral stake, traits, and wearables.

• Collateral stake: Each Aavegotchi ERC721 NFT manages an escrow contract address that holds an Aave-backed ERC20 collateral, or “aToken”. aTokens generate yield via Aave’s LendingPool, which increases the quantity of aTokens held in the wallet. Thus, the amount of aTokens held in the Aavegotchi’s escrow address grows over time.

• Traits: Aavegotchis possess multiple traits that influence their rarity, their performance in mini-games, and the wearables they can equip. Some are generated randomly upon birth, and others depend on user interactions with the Aavegotchi. See Traits.

  • Random Traits: Upon birth, every Aavegotchi is assigned several random trait values using the ChainLink VRF random number generator. Trait values are distributed on a bell-curve, and each trait is assigned a value of Common, Uncommon, Rare, or Mythical depending on its rarity.

  • Kinship: “Kinship” is not randomly assigned, but rather starts at a fixed value (50) upon birth and increases or decreases based on various factors, such as how long the Aavegotchi has been with the same owner, and how often the owner interacts with it.

  • Experience: Aavegotchis level up as they gain more experience by voting in AavegotchiDAO and participating in mini-games. Every three levels, Aavegotchis receive one Spirit Point that can be allocated towards increasing or decreasing a certain trait.

• Wearables In addition to managing the aToken escrow, Aavegotchis also extend the ERC998 Composables standard, which allows them to manage child NFTs, known as wearables in the Aavegotchi ecosystem. Not every wearable can be equipped by every Aavegotchi. Some wearables may be exclusively equipped by Aavegotchis staked with certain collaterals, those of a certain level, and those with certain traits. Some wearables can increase or decrease certain traits of an Aavegotchi. For example, equipping a sword may slightly boost an Aavegotchi’s aggressiveness, whereas equipping a Bob Marley shirt may decrease its energy level.

The relationship between Collateral stake, Traits, Wearables, and Kinship is best represented by an Onion Diagram (see below). Each layer builds upon the previous layers, with the sum being the Aavegotchi itself!

Aavegotchi Value

The valuation of an Aavegotchi comes from both from its intrinsic value and from its rarity value.

• Intrinsic value Intrinsic value is the denominated value of the Aavegotchi’s staked collateral. If the Aavegotchi is staked with 10 aDAI, then the intrinsic value would be 10 aDAI, plus whatever extra aDAI has accrued from the Lending Pool. Initially, only ERC20 tokens listed on the Aave platform (aTokens) will be available as collaterals. However, once AavegotchiDAO launches, the community will be able to vote on which new collaterals to allow.

• Rarity value Rarity value is determined by calculating the rareness of each Aavegotchi’s traits and equipped wearables within the Aavegotchi universe. Unlike other NFT games, rarity is not a fixed value in Aavegotchi. It can change over time as Aavegotchis level up and equip different wearables. Thus, a rare Aavegotchi one week could become common, and vice versa, depending on the overall distribution of traits and wearables within the Aavegotchi universe. This enables a novel concept known as “rarity farming”.

Tokenomics

GHST Token is meant to be used as the base ecosystem currency for the purchase of various on-chain Aavegotchi assets. These include Portals, wearables, consumables and collectibles, amongst other goods. Beyond this, GHST also has several other functions, such as staking and enabling players to vote in the DAO.

User incentives play a huge part in any project. In this case, GHST provides the economic incentives to encourage greater participation in the Aavegotchi ecosystem. Specifically, the token helps to align the respective goals of the AavegotchiDAO, GHST holders, and Aavegotchi holders.

Players have to buy GHST and spend it in the process of summoning and training Aavegotchis. A portion of this is transferred directly back to the DAO to continue funding the development of the ecosystem. At the same time, part of the value is also distributed as rewards for wise governance in the DAO, and as rewards for engaging in rarity farming.

Aavegotchi's approach to revenue sharing and tokenomics aims to balance four goals:

• Creating a healthy play-to-earn ecosystem that rewards active players and DAO participants

• Ensuring that GHST token has a strong foundation for long-term value capture

• Building a treasury for AavegotchiDAO to use on discretionary spending

• Providing ongoing financial rewards to those developing Aavegotchi

This part of the wiki will first take you through GHST's token distribution, then elaborate on how these goals will be accomplished.

Token Distribution

GHST was distributed in three stages. These were the private sale, pre-sale and public bonding curve sale.

The Private Sale

Size: 5,000,000 GHST Price: 0.05 DAI / GHST

The private sale was held in August 2020. Anyone who performed KYC and met a 20k DAI minimum can join. The funds raised during this round were allocated to Pixelcraft Studios, the company behind Aavegotchi, to ensure the successful development of the Aavegotchi game.

The Pre-Sale

Size: 500,000 GHST Price: 0.1 DAI / GHST

The GHST Pre-Sale was held on 14 September 2020, with a time limit of 14 days or whenever the supply sold out, whichever came first. All Level 6 Aagents who had performed KYC by the aforementioned date were eligible to purchase GHST at this stage.

To conduct the sale, a snapshot of all Level 6 Aagents at the time was taken. This was then cross-checked with those who performed KYC. Then, a special “Verified Level 6” badge was assigned to all eligible participants in the Discord. These participants were then added to a special discord channel, where links to the presale were posted.

The funds raised here were used to bootstrap liquidity in the Token Bonding Curve reserve pool, at a reserve ratio of 100%.

Participants of the Private Sale and Pre-Sale will have their GHST tokens vested over a period of one year, beginning from the close of the Pre-Sale round. After 180 days, an initial release equivalent to roughly 50% of the total amount will be released, followed by a drip release of the remaining tokens over the next 185 days.

Public Bonding Curve Sale

As our frens would say, the curve never ends! For more information on the mechanics of the curve, check out our page on the curve.

There is no limit on the supply of GHST in this round, and no limit on the time. The price opened at 0.2 DAI/ GHST, and fluctuates along the curve. There is no lockup in this round either – tokens can be claimed straight away from the curve.

Anyone who participated in KYC and had their address whitelisted by the Aavegotchi team is able to purchase straight from the curve.

Funds raised from the Curve will be available to Pixelcraft Studios via a tap mechanism controlled by GHST token holders. More information about the mechanism can be found here.

Ecosystem Fund

The Ecosystem fund consists of 1,000,000 GHST locked according to the same schedule as the Private and Pre-Sale rounds. Unlocked funds can be deployed via proposals made to the AavegotchiDAO V2.0 and above, for legitimate use cases such as funding development by non-Aavegotchi core team members, promotion and marketing of AavegotchiDao, as well as any other use case the AavegotchiDAO deems useful.

EARN IT

A core part of the Aavegotchi experience is spending time with your Gotchis and equipping them with wearables in rarity farming. To incentivize continuous and active engagement with the game's ecosystem, part of the revenue earned from portal sales and wearables will go towards rewarding the top rarity farmers.

To that end, 40% of all earned GHST will be distributed back to players via player rewards.

Initially, there will be three categories of Player Rewards:

• Top 100 Rarest Aavegotchis (by BRS)

• Top 100 Kinship Scores

• Top 100 Experience (XP)

The three categories will total up to the 40% of all GHST earned. Exact percentages for each category will be confirmed before the start of each season of rarity farming.

More categories will be added, as the game continues to develop.

When a rarity farming season is live, these rewards will be distributed every two weeks via onchain snapshots.

Staking

Staking refers to the process of locking up your cryptocurrency in return for rewards. This is no different in the Aavegotchi project. The native token, GHST, can be staked in the Staking Contract to earn FRENS.

FRENS are a non-transferable balance within the Aavegotchi Staking Contract. FRENS cannot be purchased. They are meant to reward stakers for their contributions to the Aavegotchi project.

FRENS can be converted into Raffle Tickets or Drop Tickets:

• Raffle Tickets can be entered into periodic Wearable Raffles to win Wearables.

• Drop Tickets can be entered into NFT Raffles to win Portals and REALM Parcels.

Mini-games

What’s the fun of owning an Aavegotchi if you can’t play with it? One of the core experiences of the Aavegotchi game will be exploring the Aavegotchi Realm overworld with friends and pitting your Aavegotchis against theirs.

Some mini-games will be played using simple random number generators (RNGs), whereas others will offer more immersive, player-controlled experiences.

Each mini-game will use different Aavegotchi traits to enable fair gameplay for a wide variety of trait distributions. For example, a HYPER-AGGRESSIVE Aavegotchi may perform well in an Aavegotchi Fight Club, but may not be well-suited to a cake-baking mini-game.

Have an Aavegotchi that isn’t suited well to any mini-game currently offered? Jump in and develop one! To help support developers building Aavegotchi mini-games, AavegotchiDAO V2.0 will manage a Development Fund that has been set up for supporting development work carried out within the Aavegotchi ecosystem. As long as mini-games conform to trait distribution standards, they can reward winners with XP.

XP Rewards for Mini-Games

From time to time, selected mini-games will offer XP rewards to top scorers on the mini-game's leaderboard. These Mini-Game XP events will be announced by the Pixelcraft team on Discord when available.

XP is needed for Aavegotchis to remain competitive on the Rarity Farming XP leaderboard to win GHST prizes.

Tracking AAVEGOTCHI