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Sweep War 🧹
The default Floor War is a Sweep War. Every week (epoch) the current set of allowlisted NFT collections are put up for a vote to determine which collections should be swept with the week’s yield.
Users who have locked FLOOR to generate Sweep Power can use this Sweep Power to vote for their chosen collection.
A special gauge is also available for the FLOOR token itself, allowing holders to vote to spend the ETH yield buying back FLOOR instead of an NFT collection.
A goal of the DAO is to sustainably fund sweeps to the point that the Sweep Wars can exist in perpetuity without the need to sell/rebalance existing collections - this provides communities and creators with the security that FloorDAO is a life-long and diamond-handed partner.
However, to give the DAO some flexibility in selling and rebalancing into higher-voted collections, the Sweep War introduces a "Danger Zone".
Collections that do not receive enough votes to escape the Danger Zone can be sold by the DAO, giving the DAO a precedent to rebalance if needed.
This feature also creates an incentive for communities to remain active in FloorDAO even after winning the New Collection War.
The DAO generates yield from NFT-Fi strategies such as:
- NFTX liquidity and inventory provision
- Sudoswap single sided and concentrated liquidity
- Uniswap V3 concentrated liquidity
- Automated Charm.fi Uniswap V3 liquidity management
- Papr liquidity provision
Future sources are also expected to come from the launch of protocol owned NFT-Fi products as well as further development of strategies.