From d99a873ff30b88338b97785a384555217a2f046a Mon Sep 17 00:00:00 2001
From: tothster <tothster@dozer.finance>
Date: Wed, 31 Jul 2024 15:18:34 -0300
Subject: [PATCH] including dozer proposal for token economics

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+# RFC: New Token Creation Economics for Hathor Blockchain
+
+- Feature Name: new_token_economics
+- Start Date: 2024-07-17
+- RFC PR: -
+- Hathor Issue: (leave this empty)
+- Author: bulldozer@dozer.finance
+
+## Summary
+
+This RFC proposes a new mechanism for token creation and transaction fees in the Hathor blockchain. The key changes are:
+
+1. Remove the HTR deposit requirement for creating new tokens.
+2. Introduce a flat fee for transactions involving custom tokens.
+3. Allow token creators to choose between HTR or a custom token for fee payment.
+
+## Motivation
+
+The current token deposit system presents barriers for small projects or those requiring large initial token supplies. Thiggs new approach aims to:
+
+1. Lower the entry barrier for token creation.
+2. Provide flexibility for various use cases (e.g., fixed supply tokens, memecoins with large supplies).
+3. Distribute the cost of maintaining the token among all token holders.
+4. Create long-term demand for HTR through transaction fees.
+
+## Guide-level explanation
+
+### Token Creation
+
+Users can create new tokens with a specified supply without depositing HTR. This allows for more flexibility in token design and reduces initial costs.
+
+### Transaction Fees
+
+For each transaction involving a custom token, a flat fee will be charged. The token creator will configure which token is used for fee payment:
+
+1. If HTR is chosen: 0.01 HTR will be burned per transaction.
+2. If a custom token is chosen: 1 custom token will be burned per transaction. This custom token must be created using the HTR deposit model.
+
+### Fee Configuration
+
+When creating a new token, the creator will specify:
+1. The token to be used for transaction fees (HTR or a custom token).
+2. If a custom token is chosen, they must provide proof of its creation using the HTR deposit model.
+
+## Reference-level explanation
+
+### Token Creation Process
+
+1. User initiates token creation transaction.
+2. User specifies total supply and fee configuration.
+3. No HTR deposit is required.
+4. The system validates the fee configuration (HTR or valid custom token).
+
+### Transaction Validation
+
+For each transaction involving a custom token:
+
+1. Validate the presence of the required fee.
+2. If HTR is the fee token:
+   ```python
+   if fee_token == HTR:
+       assert fee_amount >= 0.01
+       burn(0.01, HTR)
+   ```
+3. If a custom token is the fee token:
+   ```python
+   if fee_token != HTR:
+       assert fee_amount >= 1
+       assert fee_token.created_with_deposit
+       burn(1, fee_token)
+   ```
+
+## Drawbacks
+
+1. Potential for spam tokens due to lower creation costs.
+2. Complexity in managing different fee tokens.
+3. Possible reduction in immediate HTR demand compared to the deposit system.
+
+## Rationale and alternatives
+
+This approach balances the need for network sustainability with lower barriers to entry. Alternatives considered:
+
+1. Keeping the deposit system but with lower percentages.
+2. Implementing a sliding scale for deposits based on token supply.
+
+The proposed system was chosen for its flexibility and long-term sustainability model.
+
+## Unresolved questions
+
+1. How to handle upgrades for existing tokens?
+2. Should there be a mechanism to change fee configurations post-creation?
+3. How to ensure the value stability of custom fee tokens?
+
+## Future possibilities
+
+1. Implement percentage-based fees paid to specific addresses for project revenue.
+2. Dynamic fee adjustment based on network usage.
+3. Integration with governance mechanisms for community-driven fee adjustments.
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