Abstract
Since its inception during the 2021 Axie Infinity boom, BreederDAO has been a pioneer in the Web3 gaming space, delivering critical infrastructure for digital assets across the metaverse and gaming ecosystems. Initially focused on the large-scale production of in-game and metaverse assets, BreederDAO formed strategic partnerships with key industry players like a16z, Delphi Digital, and YGG, cementing its role as a leader in the Web3 gaming economy.
Today, blockchain gaming has expanded, with new spaces and needs emerging that are uniquely addressed by Autonomous Worlds (AW)—self-sustaining, player-driven ecosystems where communities govern and grow their digital worlds collaboratively. AW unlocks new dimensions of interaction, composability, and scalability never seen before, where players and creators alike can shape and evolve their experiences.
As the Web3 gaming landscape evolved, so did BreederDAO’s vision. To align with this expanded focus, BreederDAO is evolving to Sovrun. Sovrun reflects a profound narrative transformation: from producing individual digital assets to becoming a contributor to, and enabler of a larger, more interconnected virtual universe where players are not only participants but co-creators in dynamic, autonomous worlds. Sovrun now stands at the forefront of the next-generation gaming ecosystem, going beyond asset creation to driving decentralized, scalable game environments and autonomous worlds.
Sovrun’s New Ecosystem Structure
Sovrun’s ecosystem is organized into three distinct layers, each addressing different aspects of decentralized gaming: community participation, developer empowerment, and consumer engagement.
Genesis (Participation Layer)
Empowering Community Participation:
The Genesis layer is focused on empowering communities to actively engage in emerging decentralized economies. Sovrun aims to provide valuable tools, insights, and opportunities for players to participate, earn, and grow within player-owned worlds. Community members can participate in shaping the development and governance of virtual environments, allowing them to contribute meaningfully to the growth of decentralized ecosystems. Through Genesis, Sovrun creates pathways for inclusive community participation, where users have a tangible stake in the future of the worlds they help build.
Labs (Empowerment Layer)
Building Infrastructure for Developers and Creators:
Sovrun Labs serves as the backbone of the Sovrun ecosystem, providing developers and creators with the infrastructure they need to build scalable, secure, and autonomous gaming environments. This layer equips developers with advanced tools and frameworks for creating and customizing virtual worlds. By empowering developers to take full control over the creation and operation of their gaming ecosystems, Labs plays a crucial role in establishing Sovrun as a platform for innovation and growth in blockchain gaming. It’s where creators and communities can bring their visions of fully on-chain worlds to life.
Nexus (Engagement Layer)
Innovating Decentralized and Engaging Consumer-Facing Experiences:
Sovrun’s Engagement layer pushes the boundaries of decentralized consumer apps. Nexus allows us to experiment at the intersection of AI and Blockchain to bring more users onchain through gaming applications and innovative takes on loyalty programs and questing platforms among other initiatives.
Rationale
The Brand Evolution and Token Migration: BreederDAO to Sovrun
The transition from BreederDAO to Sovrun signifies a larger strategic shift. Sovrun represents a bold evolution from BreederDAO’s original mission. The new brand and token migration underscore a broader focus on creating and sustaining decentralized ecosystems where players and developers alike can thrive. By driving community participation, empowering creators, and fostering groundbreaking consumer-facing experiences, Sovrun positions itself as a cornerstone in the future of blockchain gaming and fully on-chain digital worlds.
This transformation is anchored by $SOVRN, the newly migrated token that powers the Sovrun ecosystem.
With the $SOVRN token at its heart, Sovrun is set to redefine the decentralized gaming landscape, offering an ecosystem that is not just about asset creation, but about building entire virtual worlds—worlds that are shaped by the very communities and creators that inhabit them.
Utility
$SOVRN serves as a conduit for value capture within the Sovrun ecosystem, where every core activity—staking, treasury growth, native gas utility, and powering immersive economies—drives value back into the token. This structure ensures that as Sovrun’s ecosystem expands, the benefits of growth and innovation flow directly to $SOVRN holders, aligning their interests with the platform’s ongoing evolution and success.
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Staking: World builders can stake their $SOVRN tokens and gain access to limitless growth opportunities. By staking $SOVRN tokens, developers can gain access to Sovrun’s innovative gaming engines, tech infrastructure, and chain economies. This allows them to create Parallel EVM gaming chains that selectively settle onto Sovrun L2, unlocking infinitely scalable worlds and expanding opportunities for the blockchain modder or game developer.
Sovrun also features its own unique delegation system focused on chain owner-game/mod owner mechanics, allowing for outsourcing of game ops in a seamless on-chain fashion. -
Native Gas Token: The value of $SOVRN as a native gas token for the Sovrun chain lies in its role as the essential utility that powers the entire ecosystem. This token facilitates the execution of transactions, and smart contracts by enabling seamless and scalable computation and interactions across Sovrun’s Layer 2 rollup infrastructure. By integrating industry-standard game engines with blockchain technology, Sovrun’s native token serves as the crucial fuel that powers both the gaming engines and onchain support systems. This enables developers to seamlessly build, deploy, and maintain onchain digital worlds with high performance and scalability, while allowing users to interact with these decentralized environments effortlessly and at reduced friction. This creates a sustainable ecosystem where developers, players, and creators are empowered to innovate and engage, driven by the security, scalability, and efficiency that the $SOVRN token provides.
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Immersive Economies: Sovrun enables players to impact worlds’ resources, trade, and growth, while allowing a dynamic and engaging gaming experience where player decisions have tangible outcomes. $SOVRN opens up opportunities for exploring different digital worlds and gaming experiences with various rules, assets, and economies that may unlock owner-game/mod owner mechanics, value accrual and growth incentives.
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Treasury: As we solidify our vision to enrich fully on-chain digital worlds within the blockchain gaming landscape, we aim to optimize our resources and strong treasury by forming strategic partnerships, and collaborations with launched and pre-launched games, NFT and FT projects, and other institutions that may provide alternative yield strategies. By doing so, we are fortifying a bear-proof warchest that gives us firepower to propel our vision forward. But most especially, this allows us to ultimately be in a prime position to utilize the potential of Web3 gaming and pave the way for on-chain gaming scalability by tapping virtual worlds and communities of forward-thinkers. Provided a financial greenlight, $SOVRN may be reacquired from token holders (and thus benefiting them through a value accrual process) and may be funneled back to help fund community of forward-thinkers that build, develop, customize, and influence digital worlds.
Specifications and Timelines
Tokenomics
The tokenomics of $SOVRN largely follow those of $BREED:
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Migration Timeline: The migration from $BREED to $SOVRN will start in Week 4 November 2024. The migration will be open for a period of three years.
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Token Swap Ratio: Existing $BREED holders can exchange their tokens for $SOVRN at a 1:1 ratio. The migration process was secure and audited to ensure user fund safety.
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Distribution: A substantial portion of $BREED, and consequently $SOVRN, tokens are already in circulation, held by a diverse public base. There are no major changes in the distribution and vesting schedule of the token. By the end of November 2024, 82% of the max supply had been unlocked. The rest of the vesting tokens are divided amongst key partners (30 Million), team (124 Million), and treasury (25 Million).
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Supply: Intended supply is still at 896,771,567 tokens which is the 1,000,000,000 initial max supply less the burnt BREED tokens, assuming all $BREED tokens will be migrated. No additional $SOVRN tokens will be issued beyond the initial supply of 896,771,567 units.
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Liquidity: The Sovrun DAO will ensure liquidity of the new token, $SOVRN in Uniswap*. Up to est. $1M USD worth of $SOVRN tokens and $1M worth of ETH will be utilized for providing liquidity on the Sovrun Layer 2 platform and its automated market maker, facilitating smooth trading and adoption of $SOVRN tokens. However, $BREED liquidity during and after the migration period depends on the support of current liquidity providers and cannot be guaranteed.
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Staking: Staking of $BREED will be disabled one to two days prior to the migration go-live. A snapshot will take place on the same day when the staking portal is disabled. All holders currently staking $BREED will have their staked tokens unlocked and airdropped to their wallets once the migration starts. Daily rewards until the snapshot is taken will remain unaffected as claimable rewards upon migration will be auto-claimed and will continue vesting for 6 months.
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Security Measures: Stringent security measures will be implemented throughout the migration process to safeguard user funds and prevent any potential security breaches or exploits.
Disabling $BREED Staking for $SOVRN Transition
To ensure a smooth $SOVRN migration, $BREED staking will be disabled, allowing full focus on the new ecosystem’s development.
Process:
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Disable Staking: Should the proposal be accepted, Staking V2 will be disabled before migration, halting deposits and withdrawals.
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Snapshot and Airdrop of Deposits/Staked $BREED: After staking is disabled, a snapshot of staked $BREED will be taken. An airdrop will return deposited/locked/staked $BREED tokens to users’ wallets, with gas fees covered by the team.
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Vesting of Rewards: Daily staking rewards will be honored and distributed up until the day of the snapshot, subject to the current vesting schedule. Multipliers for lock-up duration will remain effective until the staking portal is disabled.
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Claiming of Vested Rewards: Rewards will be autoclaimed for users upon migration, and will continue to vest as per the supposed schedule. Gas fees for the claim and withdrawal of vested $BREED rewards shall be incurred by the users.
Migration Approach and Timeline
Token holders must initiate the token swap by sending their $BREED tokens to a designated smart contract address in the Ethereum blockchain accessible through an online portal. Upon verification, an equivalent amount of $SOVRN tokens will be issued to the sender’s wallet address. Through the migration portal mechanism, users have more control over the timing of their migration.
Smart contract audits shall be made to ensure the security of the token and the contract facilitating the migration portal.
FAQs will be provided to keep stakeholders informed about the progress of the migration and staking should the proposal get passed.
Budget and Financial Impact
No identified immediate costs pertaining to the actual migration will be incurred from the Ecosystem Development Fund.
Community Input
BreederDAO values the input and engagement of its community members. We encourage tokenholders to review this proposal and provide feedback and suggestions regarding the $BREED to $SOVRN token migration process.
Upon approval of this proposal, the development and publication of the technical implementation will commence. Community members are encouraged to provide feedback on the proposed migration process before its execution.