We had great pleasure of welcoming Caleb Sheridan, CEO of ArcherDao on our Telegram channel for the purpose of letting the community ask questions, which they have always wanted to be answered. Join our Telegram channel now and become part of the community.
The following is a recap of the event:
✅ Official channels of ArcherDao:
🔗 Website: https://archerdao.io/
🌎 Telegram: https://t.me/archerdao
📢 Twitter: https://twitter.com/Archer_DAO
👾 Discord: https://discord.gg/98GV73f
😺 Github: https://github.com/archerdao
📖 Medium: https://medium.com/archer-dao
Hi 👋 Thanks for the opportunity to answer some questions about Archer DAO! We’re building a network that helps miners earn more and better revenue. My own background has been working with defi platforms before it was called defi in a consultancy company for blockchain analytics
So, my background is as poker player who needs to look for edges in games. Similar to crypto trading? :) In defi, there are a lot of these opportunities: dex arbitrage, liquidations, etc… But, the simple game theory says that miners will always win these games because they decide the order of transactions. So we decided to build a tool aimed at miners. We’ve been working on it since January and it’s been in production for maybe 2–3 months.
What can you say about the effects of Ethereum 2.0 on your project?
So, first, the client spec for ETH2 is not fully complete. But, that said: I believe MEV will be more important in ETH2 than ETH1. Validators produce blocks in ETH2 where as miners or mining pools create blocks in ETH1. The concepts and power is the same. It’s a really powerful tool available to block producers, whether that’s ETH1 or 2. cc: @THasan20
Q1.How Ethereum 2.0 will effect on the ArcherDAO concept? Cause mining will be replaced by staking by then.
Q2. Do you have any plan to bring ArcherDAO on other coins except Ethereum? Is it possible to bring ArcherDAO on Proof of Stake?
Yes- other blockchains, some layer 2, all theoretically possible and open up a lot of opportunities with regard to ordering optimization. There are good & valid reasons to do so, as well. For example, some transactions today are *always* back-run, which limits the usual gas market for miners
Will you have any buy back / burn mechanisms for ARCH token? Adding to token issue, will you also have any utility one, too?
There are now many incredible examples of governance projects which leave these complicated topics to the owners of the network. That’s our plan too.
We’re issuing the ARCH token to account for helpful participation in the network and hand over control to the network’s active participants. Our team happens to be one of those participants (as a Supplier), but hopefully another team will make us obsolete!
Will you get a share of the income generated by miners?
Miners (who mine blocks with priority transactions) and Suppliers (who identify profitable transactions) split revenue. Archer DAO will need to determine whether to adapt these parameters and tweak the revenue distribution
What is the structure of Archer DAO Governance? Who can be a part? What factors determined how Voting Power is shared?
The Archer DAO smart contracts include one which is especially smart in my opinion. I think our “Prism Proxy” could set a standard for the future DAO projects.
We calculate Voting Power in such a way that (a) token transfer are really cheap and (b) we can have any token balance count.
So we’ve set it up so that ARCH can be staked to count towards voting power, but also so vesting tokens count towards voting power. And that also means in the future other tokens could count towards voting power (e.g. Uniswap LP tokens).
What makes you different from other defi projects?
We are connecting two very different sides of Ethereum.
The mining side is under appreciated and typically does not use applications. Thanks to Archer, even without being defi experts, they can take advantage of what’s happening on the application layer to make more revenue.
The application side is what everyone knows. They are doing the future of finance stuff, built on the system that miners are protecting and making possible. In many cases, they do not understand their service providers. :)
These sides tend to go to war over things like block rewards or mining algorithms. The fact we can bring miners to be more interested in applications & make applications more aware of how mining affects them is very special
How will archerDao exactly identify the arbitrage opportunities , who writes the code to spot these inefficency?
This side of the ecosystem is called “Suppliers”. We are onboarding the first external suppliers now. Bring you bot ;)
Can you explain exactly how token holders will benefit from this? Is there a revenue share or the token has governance utility?
Currently suppliers and miners just split the revenue (none goes back into the system). If the DAO wants to change that, they can
To my understanding the Dao is decentralized , can you elaborate how you imagine governance?
We expand on governance here: https://medium.com/archer-dao/archer-dao-governance-ffbe3f4668a2
At first, it will be mostly off-chain with Discord and Snapshot. We expect to bring more on-chain later
Can you tell us about your road map?
First priority is to grow the network and its profitability. We have made a wonderful splash announcing our token and are attracting a lot of new miners and suppliers. That’s a great start — we want to continue to do that :)
What are mining requirements?
Is there a fee?
How do I integrate Acher?
There are no minimum requirements. You just need to be producing your own blocks. It takes about five minutes https://docs.archerdao.io/for-miners/getting-started
How do you intend to make your project known?
For ETH1, a lot of it is introductions to the right miners and suppliers. We have another side of the network with LPs (i.e. liquidity mining or yield farming) that is to be explored after launch
Are you partnering with any big exchange?
What problems is your token going to solve particularly?
The problem our token solves is creating ownership among network participants while not creating a closed system which can hurt Ethereum.
ARCH token gives ownership to the people participating in the system to find balance between complex incentives. If you want to understand the topics more, this article goes deeper: https://medium.com/archer-dao/transaction-ordering-affad826e496
What do you think about legal regulations? Will it affect miners?
Everyone using public blockchains is at the cutting edge of technology. We’re seeing frankly scary solutions to regulatory problems facing “unstoppable money” with regard to Bitcoin mining, including censoring transactions. That’s a tough field to navigate! This is one good reason for projects to prioritize decentralization of governance and ownership.
As miners mostly mined Eth by joining a pool. How can an individual get benefitted then?
I imagine pools will be big stakeholders of the network. Archer is a USP for pools — they can make extra revenue from the network and advertise less fees to users. Or, they can share fees directly with users. We look forward to see how the mining ecosystem adapts with regard to new user acquisition possibilities through Archer.
Which category of those 3 lines Miners, Suppliers and Liquidity Providers do you expect show more interest to the project at first?
Hard question! My experience with miners is some level of skepticism. I think we will see a tipping point where all miners start to participate in the application layer. Miners who do that well stand to gain compounding rewards.
Would there be A need for more team members and ambassadors
What is your biggest problem in launching?
Developing our token and governance aspects was no joke — we had to think hard about how to hand over control of the network to Archer DAO while keeping the network flexible enough to adapt to any changes that the DAO might want in the future. I’m really happy with where we ended up
We are certainly looking for help in all areas to grow the network!
What was the reason that you didnt go with the public sale? Dont you think you should surround yourself with the bigger community
Network health was the primary concern. We made the difficult decision to give preference to strategic investors who we know will use and help the network.
How do miners then to gain from this token?
Miners who earn the token will then have more of a voice in the network. They will own the network. That’s a big advantage for retaining this important set of participants, which lets Archer grow a bigger footprint and do more interesting things
What other utilities are you working on
We developed some Geth client changes as a proof of concept and research piece of the project. These are interesting because they lead to features no one expects, like transactions which cannot be front-run. I am really looking forward to unveiling some of our code and helping advance Ethereum client development.
Obviously Archer needs miners and bot operators. I’m currently obsessed by finding defi applications which can use Archer to give their users a better UX.