With more than 12 months of opportunity for holders of the GRID Token to convert to PHONON at a 1:155 rate, the contract is to become open for modification after December 17, 2022. With informal conversations in Discord about the contract’s future, it is pertinent to gather consensus from DAO members, draft a Formal Proposal and ultimately vote on the contract’s future status and terms.
Level of Proposal - In no particular order.
A Formal Proposal that permits the conversion contract to be updated, in yet to be determined and specific terms, at some point in the future, after 17 December, 2022. (e.g., Simply proposing that the contract will change some how, some way on some date after the 17th.)
A Formal Proposal permitting the conversion contract to be updated, in no specific terms, but that defines a date & time by when the updates must be finalized and implemented (e.g., “The DAO will vote to approve/deny updating the conversion contract on xx/xx/xxxx day and time.”). This Level of Proposal comes with the caveat that (new) terms must be established and approved prior to the date set forth there within, as they are yet to be defined in the proposal. This gives the DAO 2 elements of structure in moving forward: 1) Additional time to discuss, determine and approve how it wishes to handle the conversion contract with 2) a hard deadline to work against when accomplishing the former.
A Formal Proposal containing specific terms, date and time that determines the future of the conversion contract (i.e., to extend it, modify it, cancel it, or otherwise) on a specific date/time and includes new terms for the remaining PHONON allocated for conversion of GRID.
Cut-and-Dry: E.g., “The contract will be terminated/extended on/to xx-xx-xxxx date at ##:## UTC. Unclaimed PHONON in the contract will be returned the DAO treasury in full/remain as is.”
Other(s)
Additional Considerations
Selecting a date in early 2023 for modification of the contract for tax purposes.
The “All-or-none” mindset: If terminating the contact, is that a hard stop for conversions? Or, is there any leniency for conversion, if the DAO were to approached by a GRID holder afterwards (of full termination of the contract).
An off-ramp, or sunsetting of the GRID->PHONON funds, where the available amount is incrementally reallocated and the contract is available to GRID holders until $xx.xx amount remains. Where then, either it could remain indefinitely for conversion, until exhausted, or reallocated within the DAO treasury and conversions of GRID to PHONON cease to exist.
A communications plan to share this process (i.e., gathering consensus, submitting proposal(s) and holding votes) with current DAO members and targeting those who currently still hold GRID tokens.
Other(s)
Future Usage of Funds
Does the Formal Proposal also include terms on usage of the contract funds? Or, is it focused on the future of the conversion contract only and the future of the funds will be addressed later?
Next Steps
Gather DAO thoughts here and from Discord until the 18th of November, 2022 regarding the topic. With 30 days remaining, a formal proposal will be drafted and posted to Discourse for consideration and feedback/modification before being sent to Snapshot for an official vote no later than December 10, 2022.
Let it be that the contract remain open for redemption, but also that all dao PHONON expenditures are not paid out of the dao treasury, but rather out of the redemption contract. This means that on a monthly basis, the dao withdraws PHONON from the redemption contract to pay its bills. Over time, the redemption contract will approach zero.
Since the cutoff has passed there aren’t any options for direct conversion, but given that the remaining unclaimed PHONON passed to the DAO treasury you could put out a proposal for consideration. Maybe there’s a way that you could contribute to a small open need and, given that you had the opportunity to convert your GRID, if you demonstrate ownership of the address with a signature the reward could be the amount you would have received plus some sort of additional reward?
Just brainstorming on ideas and it will be up to the group, but I’m happy to help try and find a good resolution on this matter for you.
really appreciate your feedback! Since I don’t have any phonon tokens would I still be able to bring forth a proposal? Maybe as a gesture of good faith allow the contract to be reopened once a year for a month for the next 3 years in order to capture maximum amount of people who still did not convert their grid tokens to do so? I would really appreciate any help in this
To back up what RockLobster described, the recent change of conversion was essentially to end the automatic conversion mechanism (i.e. the conversion contract). During the discussions leading up to the vote which ultimately shut down the contact, it was brought up that we’d likely see cases such as yours, GRID holders who still needed to convert to PHONON. The closing of the contract was never intended to lock out GRID holders from converting, but for progression and on the recommendation of the Economics working group to better manage liquidity.
With that being said, the DAO has not put a conversion process in place for GRID->PHONON now that the contract is offline. So, let’s get one going… I’m not sure if it’ll be easier to do it case-by-case, or, the occasional window, like you suggested, but it’ll likely include the DAO multi-sig members and further comms with you.
Sorry as i’ve explained on Rooster’s thread [Conditional Conversions - #6 by rake] : rolling back the decision sets a bad precedent for the dao at large.
Given what the snapshot was voting on, rolling back that decision would be reinstating the conversion contract. I think there was a missed opportunity to clarify that vote by using the language, “automatic conversion mechanism” (i.e. the conversion contract). Ultimately, and this is only my opinion, is that snapshot vote didn’t officially address later conversions, like we’re seeing now.
I’ll state it here publicly, again it brings more people to the project who would otherwise be rejected if they cannot convert to PHONON.
Hi ! As an old holder of the Grid token i seem to have totally missed the conversion to Phonon.; Is there any possibility i still can file for this conversion ? Thanks in advance, every advice is much appreciated! Sal
Hi Tycoon, thanks for your reply, much appreciated.
Is the conversion contract still open for use like mentioned in the posts here above?
Or is there another procedure to follow ?
At the moment there is not currently a way to convert. We’ve talked about creating a new contract at a different conversion rate. But currently the community has been focused on other tasks and no one has proposed a new conversion rate or volunteered to right a contract to do so.
