Hatch Minting Rate

🤖 TEC The Hatch
#1

Hatch Minting Rate

The Hatch Minting Rate determines the number of TE Commons Hatch Tokens that are sent to the Hatchers per DAI that is sent.

For example, in the test Hatch that is happening now at hatch.tecommons.org, the Hatch Minting Rate is set to 0.00000001 and 1 wxDAI creates 10,000 TESTTEC.

In the end, this parameter is relatively irrelevant to the economics of the system and has more of a psychological effect.

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TEC Hatch Rehearsal Implementation Specification
#2

@sem do you have any more info on this?

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#3

Yes, exchangeRate refers to the rate between organization tokens over contribution token in PPM (parts per million). In the context of TECommons, this means that an exchangeRate of 10,000 * PPM would mint 10,000 TECH (TEC Hatch token) per DAI contributed.

It’s important to consider the decimals of each token. Both TECH and DAI have 18 decimals, so they cancel each other. If we have tokens with diferent decimals, that should be the entire expression:

const exchangeRate = 10000 * PPM * ONE_TOKEN / FUNDRAISING_ONE_TOKEN

where it’s important that FUNDRAISING_ONE_TOKEN / ONE_TOKEN < PPM.

I updated the hatch script to reflect that.

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#5

What is the Hatch Minting Rate (TECH/wxDai)?
The Hatch Minting Rate (TECH/wxDai) is the amount of TECH tokens minted for each wxDai raised during the Hatch Period.

Implications & Parameter Options
The Hatch Minting Rate (TECH/wxDai) is measured in TECH tokens, and you will have the option to set this parameter anywhere between 0 and ∞.

This parameter establishes the token supply for TECH, and can be evaluated at our Minimum, Target, and Maximum Raise parameters. The token supply has implications for the psychology surrounding your token economy. A low Hatch Minting Rate (ex: 10-100), will limit the amount of tokens available resulting in a higher token price, while a high Hatch Minting Rate (ex: 1000+), will expand the amount of tokens available resulting in a lower token price.

Suggested Range
The Hatch Minting Rate is a parameter of preference, and so our suggestion for a wide range between 0.00001-1,000,000 TECH is acceptable.

Related Parameters to consider when defining the Hatch Minting Rate (TECH/wxDai):
N/A

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