DEEP is issued by Deep Work Ltd to team members who do work in the collective.
DEEP has no financial value - it represents participation in the collective by designers and team members. There is no sale or investors.
New tokens minted once per month as required.
Distributed to team members when working on projects.
Creators of Deep Work Studio on 'an exit to the community'.
Airdrop (contributions pre-token launch)
Retrospective distribution at token launch.
After working on a project, team members are allocated tokens. This gives them voting rights on the DAI or USDC Treasury and DEEP token treasury. Deciding how both should be spent to continue building Deep Work or to the benefit of the collective.
The token is distributed according to skill level or task, those with more responsibility or experience being awarded more tokens for higher voting rights in the direction of the studio. Long term contributors earn more tokens.
You can earn tokens by working on a project - see the Quick Start Guide for an introduction. When invoicing or requesting payment for completed work, team members earn tokens by a multiplier of what they invoice depending on the role:
Notes: Facilitators, Product Designers and User Researchers are the same skill level in practice, the allocations per dollar are different so each earns roughly the same tokens per project.
Tokens are distributed at the same time payments are made to the team - see Getting Paid for more information on the payment process.
Whilst taking inspiration from fair launches we have allocated tokens to the founders of Deep Work and Deep Work Studio Limited. For two reasons:
Firstly, the founders of Deep Work have been building Deep Work for three years. Rather than a traditional exit (e.g. selling the company) we are creating the collective as an 'exit to the community'. Secondly, Deep Work Studio Limited has an allocation of tokens to continue building the collective and be able to to distribute tokens as it sees fit.
X Axis: Number of Projects
The graph above shows the predicted distribution of tokens between founders and the community. At launch, founders have a high percentage of tokens. As tokens are distributed to workers over the next ~45 projects, the split will be 50:50. At our current average of projects, this will be towards the end of 2022. The community then progressively has a higher percentage of tokens over founders as the collective becomes decentralised. At 150 projects, the initial team distribution will be allocated and will have 70% of tokens. Founders will have 30% because they continue to earn tokens rewarded on successful completion of products they've created. If new products are added to Deep Work, then this percentage will be lower.
There is a retroactive allocation of tokens at launch. This was based on our V1 token launch, token claims since that date and any recent project contributions. We took a snapshot on Wednesday 22nd November 2021. Any future contributions and payment requests will go into the next token distribution.
The team allocation has been calculated to distribute over roughly four years or 150 projects. This rate could significantly change, and is no way meant as a target.
A more detailed prediction and data can be viewed here: DEEP Token Distribution and Allocation Modelling
Token circulation is expected to be distributed as per the above graph. As more projects are completed, more tokens will be issued.
If the team allocation is used up, token holders can vote to issue more tokens to the team allocation at a rate of no more than 10% (of the total amount of DEEP tokens) per year.
The treasury allocation is intended to be used over a four year period. After four years, token holders can vote to issue more tokens at a rate of no more than 5% (of the total amount of DEEP tokens) per year.
Deep Work's representatives can propose to change the token multipliers or allocations at anytime. This is run in a co-ordinated session:
- Each representative proposes their own changes.
- Representatives present their proposed changes (knowledge exchange between all members)
- Debate key differences.
- Representatives make changes based on the data received from other representatives.
- The average of this final change sets the new rate.
Once completed, the new multipliers and rates are raised as a Governance proposal. This gives the full team and collective a chance to veto the amendments. An example can be found here on Snapshot.
Changes in 2022 and 2023 - Token allocations and distributions are reviewed monthly in a Finance and Representative's council meeting. Distribution multipliers are updated on DEEP Functions and approved via a snapshot vote.
21st April 2022 - Token allocations and distribution was changed via the following governance vote: https://snapshot.org/#/deepworkstudio.eth/proposal/0xcdf0588075ec75776c7b223f94a136a099a8958c56239139bac941c856cb0877
2nd September 2022 - Token allocations and distributions changed via: https://snapshot.org/#/deepworkstudio.eth/proposal/0xdcbd95df60e5613ed1331a6133c2fb863180c0cf0e68db35c169d014928f44d6
5th September 2022: Token distribution and hard cap removed via: https://snapshot.org/#/deepworkstudio.eth/proposal/0x127e31d2bb5086666fb929c14fbf3b3b6247833ff35dd8eb4365e97651f09e1e