Published: February 14, 2024
Purpose
βForm Guilds to rebuild the Terra ecosystem back to its former glory!β
The Burndrop program is simple: burn USTC to get dropped Mint Cash ecosystem tokens in return.
The Burndrop program is beneficial to the Terra ecosystem for the following reasons:
β’
The burning of USTC will help salvage value from the devastating losses caused by Terra and Anchorβs collapse for impacted community members.
β’
Community members who participate in the Burndrop gain privileged access to the new Mint Cash ecosystem, which seeks to improve on the foundation laid by Terra and launch a fully decentralized stablecoin aligned with the original vision.
Preparing for the Burndrop Launch
What to prepare
To participate in Burndrop, you will be required to prepare the following:
1.
Your X/Twitter account: Your account will be linked to your wallet address. A single X/Twitter account can only be linked to a single wallet address. Your X/Twitter account will be used for referral purposes and for display on leaderboards.
2.
A compatible wallet: You may use either Terra Station or Keplr. Additional instructions are found in the βConfiguring your walletβ section of this Guide.
3.
A burn balance (USTC): To participate in the Burndrop program, you will need a minimum balance of 1000 USTC. LUNC and aUST are not supported by the Burndrop program at this time.
If you do not already hold a minimum balance of 1000 USTC, we recommend purchasing USTC on an exchange. Examples of exchanges that support USTC include Binance, OKX, and MEXC.
4.
A gas balance (USTC or LUNC): To participate in the Burndrop program, you will need to have a sufficient balance in your wallet to cover the cost of gas fees for your transaction(s). You may use either USTC or LUNC to pay for gas fees. We recommend holding at least 100 USTC for gas fees in your wallet, in addition to your burn balance.
Configuring your wallet
If you already have a sufficient USTC balance (at least 1000 USTC + gas fees) in a Terra Station or Keplr wallet and have configured your wallet to the Terra Classic network, please skip this section of the guide.
This section describes how to ensure that your wallet is on the Terra Classic network as well as where to find your wallet address if you need to withdraw USTC from an exchange.
Terra Station
Keplr
If you need to withdraw USTC you purchase from an exchange to your wallet, you may reference the following example of withdrawing USTC from Binance. If you are withdrawing from another exchange, instructions may differ.
Withdrawing USTC from Binance
The Burndrop Web App
To initiate Burndrop, you will need to:
1.
Obtain a code to access the Web App
2.
Connect your X/Twitter account and wallet
3.
Increase your burn slot allocation by referring friends
4.
Join a Guild to enter the leaderboards
5.
Burn USTC
You can only increase your ability to burn USTC tokens by means of referral. You can only become eligible for the limited NFT drop by meeting specific ranking criteria, which you achieve through burning USTC.
The design of the Burndrop program made Terra community participation a priority. The controlled rate of token emissions and referral system were primarily implemented to prevent dominance of the Mint Cash Mainnet by single wallets, particularly given that >50% of USTC supply is currently held in wallets controlled by Binance and Terraform Labs.
Obtaining an Activation or Referral Code
To join the Burndrop program, you will need either an activation code or referral code to access the Web App.
Activation codes are single-use and will be available in limited quantity through the @wemintcash X/Twitter account starting the day of launch.
Referral codes can be generated by any participant in the Burndrop program. Referral codes are unique to each wallet/Twitter combination. Referral codes can be used for an unlimited number of signups. The more friends you refer, the more USTC you are eligible to burn.
Using your Activation or Referral Code
Increasing your burn slot allocation
When you enter your code and connect your X/Twitter account to the Web App for the first time, you will be granted a single burn slot (each burn slot is set to 1000 USTC). As you refer friends to the Burndrop program and they complete sign-up using your referral code, your number of burn slots will increase. You are not required to use all of your earned burn slots. You may also choose to use your earned burn slots at times of your choosing.
For each additional referral (up to 8 referrals), you will receive a doubled number of burn slots. For example, your first referral will add 2 burn slots to your allocation, giving you a total of 3 burn slots. Your second referral will add 4 burn slots to your allocation, giving you a total of 7 burn slots, and so on. If you reach 8+ referrals, you will receive the maximum burn slot allocation of 511 burn slots.
Burn slot formula
Joining a Guild
When you first connect your wallet to the Burndrop Web App, you will automatically join the Genesis Guild.
You may remain in the Genesis Guild, start your own Guild, or join another Guild formed by another community member. Your participation in Guilds will impact your eligibility for a limited NFT airdrop. Changing Guilds over the course of the Burndrop program may be strategic, but comes with additional risks (read the βGuild Migrationβ section carefully).
The Leaderboards
Guild Migration
NFT Eligibility Criteria
Protocol Security
All smart contract source code is open source and available for inspection by the public. The Mint Cash project team is working with third-party developers experienced with the Cosmos ecosystem to:
i.
Verify that CosmWasm smart contract source code matches with deployed binaries, and
ii.
Check for possible security vulnerabilities
Should you encounter issues over the course of the Burndrop program, particularly in regards to the security of the Burndrop smart contracts, contact us immediately at contact@mintca.sh.
The Mint Cash project team will adopt further security measures in anticipation of Mainnet launch.
The Drop
The Burndrop program will remain open until the day of Mint Cash Mainnet launch; Mainnet development and testing is expected to complete before the end of 2024. By burning USTC through the Burndrop program, you will receive call option and governance tokens. The two tokens you will receive are:
oppaMINT
ANCS
Drop Distribution
The supply of oppaMINT and ANCS tokens allocated to the Burndrop program will be distributed with the use of three mechanics:
1.
Periodic Releases: Half of the tokens allocated to the Burndrop program will be made available for the first 30 days following Burndrop program launch (150,000,000 oppaMINT and 75,000,000 ANCS). Every 30 days, the number of oppaMINT and ANCS tokens made available will halve. For example, 30 days after Burndrop launch, 75,000,000 oppaMINT and 37,500,000 ANCS tokens will be made newly available for that month. Any tokens from the prior 30 days that were not distributed will be burned and removed from total supply.
2.
30-Day Rate Reset: At launch, the starting Burndrop rate is 1.5 USTC / oppaMINT and 1 USTC / ANCS. The virtual AMM will modulate the Burndrop rate based on demand. Every 30 days, the Burndrop program will reset to the starting Burndrop rate of 1.5 USTC / oppaMINT and 1 USTC / ANCS. This allows late joiners to the program an opportunity to receive oppaMINT and ANCS.
3.
Virtual AMM: As participants burn USTC to claim tokens, the Burndrop rate declines over time. The earliest participant will receive tokens at the starting Burndrop rate and the second participant will receive fewer oppaMINT and ANCS for the same amount of burned USTC.
USTC being burnt are split with a {oppaMINT} : {ANCS} = 3 : 2 ratio, and used to βvirtuallyβ buy tokens from the corresponding virtual AMM pools.
Example: You burn 1,000 USTC when 1 oppaMINT = 1.5 USTC and 1 ANCS = 1 USTC. 600 USTC is used to swap to oppaMINT and 400 USTC is used to swap to ANCS. Ignoring slippage, you should get 400 oppaMINT and 400 ANCS.
Virtual AMM
Remainder Balances
Any balance allocated to the Burndrop program that was not distributed to participants will be burned at the conclusion of the program.
Mainnet Tokens
Similar to other airdrops on the Cosmos ecosystem β including Celestia ($TIA) and Dymension ($DYM) β tokens distributed through the Burndrop program will not be transferrable until the day of Mint Cash Mainnet launch. This means that your oppaMINT and ANCS tokens will not be tradable for the time being.
The tokens your wallet receives on Terra Classic will entitle you to equivalent tokens on the Mint Cash Mainnet. Upon launch of Mint Cash Mainnet, you will be required to bridge your tokens to the Mint Cash network to enable transfers.
An announcement with instructions will be made prior to the launch of Mint Cash Mainnet.
Vesting Schedule
To ensure the stability and sustainability of the MINT token and ecosystem, tokens received from the Burndrop program are subject to a lockup and vesting schedule. For example, holders of the oppaMINT call option token will not be able to immediately use their entire oppaMINT balance in exchange for a 50% discount on MINT tokens on day 1 of Mint Cash Mainnet launch.
A reasonable vesting schedule, not to exceed 24 months, will be implemented.
The goal of the vesting schedule is to normalize withdrawals and prevent sudden supply shocks early on.
Β 2024, Unorthodox Labs, Inc.