19:53 UTC, 23-DEC-2022 UPDATE:
The section “Transferring SOFT Tokens” has been updated with the Ethereum address of the described distributor contract (ContinuousVestingMerkle | Address 0xf266195E1B30b8F536834303C555BD6Aaf063f04 | Etherscan). Additionally, the total SoftDrop allocation has been updated throughout this proposal from 23,215,056.57 SOFT tokens to 23215105.06 SOFT tokens due to rounding in the final calculations.
What
We propose that the SoftDrop is executed by Christmas in accordance with the following details.
Christmas Opening & Eliminating the Lock-up Period
We propose eliminating the one-month lock-up period and executing the SoftDrop — which means opening claims as well as voting while vesting— this Christmas at 00:00 UTC 25 Dec, 2022. Please note that the previously approved 24-month continuous vesting period remains effective for any SOFT tokens in the SoftDrop.
Increased SoftDrop Allocation
As alluded to in Softernet Round #5 and Softernet Rounds 6-7 proposals, we propose adding 3,215,105.06 SOFT tokens to the 20,000,000 SoftDrop Token Allocation. These tokens will come from unused tokens previously allocated to other SOFT token rounds. Thus, the total number of SOFT tokens for distribution via the SoftDrop will increase to 23,215,105.06. However, the overall total of SOFT tokens allocated for distribution remains unchanged.
Transferring SOFT Tokens
In order to execute the SoftDrop, we propose that the Soft DAO multi-sig wallet transfers the SoftDrop token allocation (23,215,105.06 SOFT tokens) to the 0xf266195E1B30b8F536834303C555BD6Aaf063f04 distributor contract on Ethereum (ContinuousVestingMerkle | Address 0xf266195E1B30b8F536834303C555BD6Aaf063f04 | Etherscan). Additionally, such tokens may be transferred as part of the transaction approving this proposal.
SoftDrop Amount
We propose the following calculation for SoftDrop token amount t_i to each eligible wallet i.
where:
-
Reward Factor r_i = {n_i}^{0.7} , where n, is the number of qualifying events in which this wallet address i participated multiplied to the 0.7th power. This ensures non-linear but increasing rewards based on scaled engagement. There is a maximum of nine qualifying events which include the following:
- Each Softernet Round counts as one event.
- Select on-chain sales participation prior to 15 Mar, 2022 that can be connected to a currently verified EVM wallet also counts as one event.
- Select on-chain sales participation between 14 Mar and 01 Oct, 2022 also counts as one qualifying event.
- Total SoftDrop Allocation T = 23,215,105.06 SOFT tokens, as put forth earlier in this proposal.
- Sum of All Reward Factors {\sum_j r_j} = this is the sum of all reward factors for all wallets.
Example Calculation
For the purpose of an example, let’s assume the following:
- Wallet 0x123….abc participated in five Softernet rounds and a selected on-chain sale in July 2022. Thus, this wallet’s total qualifying events is 6.
- Total number of eligible wallets for the SoftDrop is exactly 34,000.
- Average Reward Factor across all wallets is 1.38; so Sum of All Reward Factors is 46,920.
Thus, the SoftDrop amount for Wallet 0x123….abc is calculated as follows:
Reward Factor x (Total SoftDrop Allocation / Sum of All Reward Factors) = #SOFT tokens 
(6^0.7) x (23,215,105.06 / 46,920) = 1,734.28 SOFT tokens
Eligible Wallets & Qualifying Factors
For the sake of clarity, we’d also like to reiterate what was decided in previous Soft DAO proposals regarding eligible wallets for the SoftDrop.
- The updated/final SoftDrop eligibility list will be provided by Soft DAO’s compliance provider.
- This list of wallets shall be generated from participants in past on-chain sales as well as Softernet Rounds 1-7.
- All eligible wallets are those which were (a) submitted for verification with Soft DAO’s compliance provider prior to 00:00 UTC on 15 Dec, 2022, and (b) subsequently approved.
- Successful verification with Soft DAO’s compliance provider entails identity verification, proper jurisdiction, and passing other sybil resistance mechanisms.
- Regions not eligible for the SoftDrop include the USA, China, North Korea, Syria, Iran, and Crimea Region of Ukraine.
- SoftDrop amounts may vary from the expected value due to the use of different wallets, improperly connected accounts, or failure to pass compliance provider requirements.
No token distribution, wallet registration, sybil resistance, or verification process is perfect. However, the primary goal of SoftDrop is to realize token governance & align incentives across the community. Due to the complexity of each SoftDrop, all SoftDrop eligibility decisions and amounts are final and cannot be updated.
Governor & Timelock Activation
With the advent of SoftDrop, we propose that Soft DAO officially activates and begins using its DAO Governor contract(https://etherscan.io/address/0x0ADd6d42bBfe6c40e15B02A2C8A1b81B36a2B326) and Timelock contract (https://etherscan.io/address/0x52c263698B5B11AaCAf0f74333DC921B26FFA5b7).
These contracts outline the following Soft DAO governance parameters:
- Proposal Threshold: 100,000 votes
- Quorum: 50 million votes
- Proposal Delay: 24 hours
- Voting Period: 8 days
- Timelock: 24 hours
Proposals will be reviewed on Tally.xyz. To encourage active community participation in DAO governance, each unclaimed token held in a SoftDrop contract will count as two votes for the eventual recipient. Each token not held in a SoftDrop contract will count as one vote.
When
We welcome feedback and suggestions from the community regarding this proposal. If Soft DAO chooses to move forward, an amended and/or finalized version of this proposal – with contract addresses – may be put forth for voting via multi-sig in as soon as the next 10 hours.
Conclusion
We’re excited to see what the future holds for the Soft DAO. The SoftDrop can help the Soft DAO realize token governance and align incentives across its decentralized community.
We see the need for such high-integrity protocols growing larger with each day that passes. Therefore, the SoftDrop and the fulfillment of the Soft DAO’s future can’t come soon enough.
Merry Christmas!
Related Proposals
Soft DAO has already passed and approved the following proposals related to the SoftDrop.
2022-10-25: SoftDAO Token Distribution ($SOFT)
(https://gateway.pinata.cloud/ipfs/QmTgdKQhtJrmtWGJHzgtEYjvrGVnYzQcBAQYcVGbnwDPMz)
2022-10-27: The Soft Drop - a community airdrop by The Soft DAO
(https://gateway.pinata.cloud/ipfs/QmNq7wDBDXpscV6AURtc2wgseRNCL4QTdCbb4M1djTMNoJ)
2022-12-01: Regenerate SoftDrop List & Accelerate Vesting
(https://gateway.pinata.cloud/ipfs/QmNicgEEHsTMAvAJV464hjQ5agrNcdk4Zd1yxXzw2R6Tyu)
2022-12-01: SoftDrop for Participants in the Softernet Round #5 - Optimism
(https://gateway.pinata.cloud/ipfs/QmaPfrkF9ZkJD8DNp2vhkNpe7TcWwb1tZebmgTXxUJghta)
2022-12-08: SoftDrop for Softernet Round #6 - Celo and Softernet Round #7 - Arbitrum
(https://gateway.pinata.cloud/ipfs/QmPaafsCxfDPBgfiekBiUN3t8wBDp8LFrsmzLRgWKCfHNE)
buddy, yes, it’s time to put an end to it 
passed the whole testnet from the beginning, the stress tests were not in vain! Previously, in the first round we could not even enter the test site, now everything works great great work of the main team and everyone who took part in the test, congratulations to all the guys 
and Thank you for your hard work. 
