The case for Goanna Coin

Goanna Council

Abstract
We are introducing Goanna coin, the first NFT utility token on the
Algorand blockchain with (i) true ownership, (ii) stability, (iii) value and
(iv) utility. It will be distributed via (v) airdrop to NFT holders and was
designed with sound tokenomics (vi) to benefit holders. One of its primary
use case is to unlock liquidity currently held in NFTs which should benefit
the entire Algorand ecosystem.

1 True ownership
We define ownership as verifiable possession and control over assets. While
holders are in verifiable possession of NFT utility tokens (in the wallet of the
holder), holders are never in control of these assets.

NFT utility tokens on Algorand typically have freeze and clawback enabled.
”Freeze” means that creators can control whether holders are able to send or
receive assets. ”Clawback” means that creators can directly transfer assets out
of the holders wallet back to the creator wallet. Holders are also prohibited to
buy and sell these tokens, offer them on exchanges or use them in Decentralized
Finance (DeFi).

Goanna Coin will be an Algorand Standard Asset (ASA) without freeze or

clawback. It will be in full ownership of holders, true to the original idea of
the blockchain. This is made possible by having the relevant legal structures in
place through the Goanna Foundation.

2 Stability
The Gold Standard was the monetary system after World War II and an era
of financial stability. It was abolished in 1971, an event which free-market lib-
ertarians describe as the end of the hard money and the start of uncontrolled
money printing by governments. This has resulted in a significant devaluation
of fiat currencies against hard assets like Gold or Bitcoin.

As fans of hard money, we are introducing the Goanna Standard. Goanna

DAO will hold assets at least equal to the value of Goanna coin in circulation
based on the fixed rate of 100 GOAN to 1 ALGO. This will be verifiable and
transparent on the Algorand blockchain.

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3 Value
Most coins that decrease in value are suffering from flawed tokenomics. If an
ever-increasing supply meets a flattening demand curve, the token price will
decrease and eventually go to zero. In the case of NFT utility tokens, staking
rewards put creators in a dilemma situation as they are forced to constantly
create new content against a growing supply of tokens and without cash flows
against it. Therefore, Goanna coin is only issued in relation to real cash flows,
such as using Goanna Bank or trading on the Shufl marketplace.

Goanna bank is the unique lending platform of the Goanna project where
holders can use their NFT as collateral to take out loans. 50 percent of interest
paid will be used as reserves for Goanna coin and 50 percent of interest will be
used as income for Goanna bank. Holders will receive Goanna coin as rewards
equivalent to reserves added to Goanna bank, i.e. they will receive half of the
interest paid in ALGO in Goanna coin.

This ensures sound tokenomics as Goanna bank can never issue more Goanna
coin than it adds ALGO to its reserves.

Goanna coin can be received as a reward for using the Shufl marketplace.
To replace the current reduction in platform fees for V1 holders who sell NFTs
via Shufl, the marketplace will support Goanna coin by providing coin based
rewards to Goanna NFT holders. This would also make it possible to include
MvZ holders who are currently unable to benefit from the reduction in market-
place fees.

Goanna coins in circulation can be bought and sold via liquidity pools us-
ing DeFi protocols. The Goanna DAO will fund an initial liquidity pool with
both Goanna coin and ALGO at the fixed rate (100:1). After launch, the ex-
change rate of Goanna coin to Algo in the liquidity pool will be subject to
price discovery and could be higher or lower than the fixed rate. The fixed rate
is based on assets in Goanna bank, not by controlling the price of liquidity pools.

4 Utility
The inherent utility of Goanna coin is its characteristic as an Algorand Stan-
dard Asset (ASA). It lives on the Algorand blockchain with 10,000 TPS, instant
finality and minimal transaction fees.

Goanna coin has no restrictions and can be freely traded, bought or sold.
It can be used in various DeFi activities such as swapping, farming or adding
liquidity to pools and generate yield for holders.

Goanna Coin can be used by both holders and non holders, thus bringing
in non-Goanna holders into the ecosystem. The loan mechanism offers a guar-
anteed floor price to holders and unlocks liquidity previously held in NFTs.
Goanna coin is also scalable, as it can be offered to other NFT collections.

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 Most relevant to holders, Goanna coin will be at the heart of the Goanna
ecosystem and offer exclusive benefits to its holders. Both the Goanna project
and the council will offer an increasing number of use cases for Goanna coin such
as exclusive NFT drops, NFT upgrades, raffles, gamified rewards and more.

We would like to expand the services of Goanna bank to other NFT collec-
tions in the Algorand ecosystem. The major prerequisite is that NFT projects
must come up with the required funding for the loans. The terms of the loans
will be agreed between the NFT project and Goanna bank.

5 Airdrop
A total of 2,000,000 Goanna coin will be distributed among holders of Al
Goanna NFT core collections through an initial airdrop. Eligibility will be
determined through a snapshot. Holders must opt-in to the Goanna coin ASA
(ID: 1387238831) and unlist their NFTs prior to the airdrop. The exact date
and details of the airdrop will be communicated via Goanna Social Media chan-
nels on Discord and X.

Table 1: Goanna coin airdrop

Collection Goanna Coin Amount per NFT

Set holders (v1 + matching v2 NFTs) 200,000 2,000
Al Goanna holders (v1 collection) 800,000 1,636
Mutants vs Zombies holders (v2 collection) 1,000,000 200

A set is defined as having a v1 Goanna plus the matching Zombie and Mu-
tant. The airdrop for set holders is a bonus on top of the airdrop for v1 and v2
NFTs.

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6 Tokenomics
The total supply of Goanna coin is 6.942 billion. The total supply is divided into
funding a liquidity pool, an airdrop to holders and tokens locked in the creator
wallet. We are also reserving an amount of tokens for Marketing purposes.

Table 2: Goanna coin tokenomics

Allocation Goanna Coin
Liquidity Pool 4.9 M
Airdrop 2.0 M
Marketing 68.0 M
Creator wallet 6,800 M

As shown in the table, there is no allocation of tokens to the team, the

project or investors. Goanna coin is designed for the benefits of holders with
equal opportunity for all.

The vast majority of the total supply is held in the creator wallet. The
creator wallet will be under the custody of the Goanna Project. Under no
circumstances will Goanna coin from the creator wallet be sold on the open
market. This makes the supply side of Goanna coin relatively hard, as Goanna
coin can only be issued against Goanna-related use cases such as taking a loan
from Goanna bank or using the Shufl marketplace.

The initial circulating supply is therefore 6.9 million Goanna coin, split into
an airdrop of 2 million Goanna Coin and 4.9 million Goanna coin for Liquidity
Pool. We find this to be a good ratio between giving back to our holders and
offering liquidity to the market.

Figure 1: Initial circulating supply distribution

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 The scarcity of Goanna coin can be seen in the following chart. We estimate
that the total supply of Goanna coin after one year will be not more than 8
million GOAN, assuming the two initial uses cases of Goanna bank and Shufl
are used to a large extent by holders. This means supply will only increase by
16 Percent over one year.

Figure 2: Goanna coin supply over time

The Goanna DAO reserves the right to keep Goanna coin received via use
cases on its balance sheet and eventually sell those tokens on the open mar-
ket. The Goanna DAO and the project might consider taking Goanna coins out
of circulating supply by offering use cases to holders and burn Goanna coins
received. In that case, Goanna coin could even become ’deflationary’ as the
amount of Goanna coins taken out of supply could be greater than the amount
of new Goanna coins issued through loans or the marketplace, at least tem-
porarily.

The proposals made in this document in relation to Goanna coin may be

subject to change. Please note this is an attempt to create a unique type of
token, that we have not seen done before and is considered experimental in ap-
proach.

The information provided in this document do not constitute investment

advice, financial advice, trading advice, or any other sort of advice. Goanna
DAO does not recommend that any cryptocurrency should be bought, sold, or
held.

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References
[1] Bitcoin: A Peer-to-Peer Electronic Cash System, Satoshi Nakamoto
[2] Algorand: A secure and efficient distributed ledger, J. Chen and S. Micali