[DAO:cb4f5df] DAO-Owned Gaming and Gambling Project

Governance
1

by 0x247e0896706bb09245549e476257a0a1129db418 (LordLike)

Should the problem/opportunity outlined be refined and taken to the next level?

Problem Statement

Decentraland lacks a DAO-owned entertainment space that could serve as a reliable revenue source for the Community and the DAO.

Given the rising popularity of virtual gaming, gambling, and interactive entertainment, including those in the metaverse, the absence of such a platform represents a missed opportunity.

This initiative proposes the establishment of a DAO-owned gaming and online gambling space.
This space would offer a variety of interactive activities, potentially including card games and a casino, and serve as a consistent revenue stream, adding strategic value to the DAO.

As this would be DAO-owned, all profits would be redirected into the DAO and distributed among members for their participation, ensuring continuous economic benefits for the entire Decentraland Community and securing the DAO’s financial sustainability.

Proposed Solution

The proposed space will act as a social hub for members, providing a variety of amusement options and interaction opportunities. This will enhance user engagement with Decentraland, attract new users, and provide opportunities for the Community to participate and earn rewards.

To execute this initiative, the DAO will need a diverse team of professionals with expertise in areas such as software and blockchain development, game design, economics, smart contract programming, product management, and legal consulting.

This team will be tasked with developing interactive games and activities, managing and maintaining the project, as well as formulating marketing and financial strategies for both the short and long term to attract users and generate revenue.

The primary deliverables will include the design, development, and deployment of the platform, complete with a variety of games (cards, etc.) and potentially a casino.

The project will also involve creating user manuals, technical and legal documentation, and a comprehensive marketing and financial strategy to attract users to these new services.

It is mandatory to provide a detailed plan outlining the revenue generation mechanism, its distribution to benefit the DAO, and the reward system for Community participation.

Target Audience/Customer Base

The intended users of the proposed solution are diverse Community members. This includes, but is not limited to, gamers, streamers, content and wearable creators, DAO voters and delegates, developers, blockchain enthusiasts, and crypto-traders.

These users require an easy-to-use, decentralized entertainment portal, a transparent system of operations (game mechanics), and fair rewards programs to participate in building the Decentraland virtual economy and spend time in an engaging and interesting manner.

Why is this relevant now?

Building and maintaining a Decentraland DAO-Owned Gaming and online Gambling Space will benefit both the DAO and Decentraland by:

  1. Attracting a new user base
  2. Ensuring long-term financial sustainability for the DAO
  3. Distributing participation rewards to Community members
  4. Stimulating the growth of the DCL virtual economy

The project will be entirely DAO-governed, reinforcing the principle of Community ownership and ensuring all generated revenue is reallocated into the DAO.

Vote on this proposal on the Decentraland DAO

View this proposal on Snapshot

2

Hi Folks. :wave:

As you may know the Bidding and Tendering Flow is a process for the DAO to agree and allocate resources to strategic projects, make a public call for bids, and later decide on the best provider for the job.

I believe this initiative will bring strategic value to DAO in the form of additional revenue.

I am not planning to be executor of this proposal, thanks to “Bidding and Tendering Flow” nature:

An important goal of this process is to enable any member of the community to propose a project without the requirement of being the main executor of it.

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3

Hey hey, as always love seeing the effort from you @web3nit.

While I think a DAO owned project could be cool, I reallllllly do not like the idea of it being gaming AND gambling. I would stay as far away from gambling as possible if it were me.

1 Like
4

Hey @web3nit , appreciate your effort in developing this proposal. However, I would prefer that the DAO steer away from being initiators of gaming/gambling entities. In light of the SEC alleging that MANA is considered a security, it would be safer for us to avoid such investments

With reference from this verdict

It would be fine if grantees come up with such proposals and we support it, but to be initiators, I suspect will put us in a difficult position. It would also be advisable that the gaming doesn’t involve monetary returns. Perhaps providing wearables as a form of reward will be better.

1 Like
5

Yes, but it should be made with DG since they already have the expertise and framework to do such a thing.

1 Like
6

It would be great. :100: DG have solid Treasury stats)

https://decentral.games/dg/treasury

Screenshot 2023-06-11 at 11.32.41
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@ckbubbles @3Point1Four @Tobik Thank you for your feedback :handshake:

IMO DAO matures and we should have relevant instruments to be up to date and capable of conducting high-level decisions , because every “money” section requires legal consulting and preparation included. For this we have Grants and Tender DAO programs through which we can make it happen.

8

While I agree there needs to be some revenue generating initiatives, I am not sure gambling is the way to go. I agree that if it does go that way and they are willing to work with the DAO, DG or Metaskins are both well versed in this area that I know of anyway.

10

I personally feel gambling is an area with lots of legislation, red tape, and legal requirements that will be an unnecessary complication to governance. I have never seen a government control and own gambling/places of gambling themselves, just set laws for them.

Then you add the other side, which is gambling addictions. Do we really want our governance to be possibly creating addictions for people? Hard no for me.

1 Like
11

I respect your viewpoint. However, I perceive gambling somewhat differently. If we implement solid rules and maintain careful oversight, we can mitigate the potential negative consequences.

For optimization, we might consider creating a sub-DAO, designed specifically for this purpose (as an example). Additionally, the DCL DAO has experience in creating legal entities, similar to what the Gov Squad did.

1 Like
12

This could be an interesting idea for a sub-DAO for sure, I would be interested to hear more about what that looks like, as yeah I’m not for it for the main DCL DAO.

1 Like
13

I think it’s far too risky for the DAO to get involved in online for-money gambling. US regulators are dead serious about preventing US players from using “offshore casinos”. It could lead to reputation problems or even legal action against Decentraland, the DAO, and even DAO members or officers.

I understand this idea wasn’t intended to be done along with DG, but someone should talk to them to get a better idea of the kind of legal compliance work they’ve had to do. The costs and risks shouldn’t be underestimated.

2 Likes
14

Thank you for your feedback. I agree that the legal aspects of online gambling are a serious matter, which is why the proposal emphasizes the need for legal consulting. This proposal is not binding. If this pitch is pursued further, it would progress to the tender and then bidding phases where all associated costs, potential risks, and compliance requirements should be meticulously assessed. It’s important to mention that all users who meet the specification and guidelines of the Bidding and Tendering Flow will be able to participate in the process.

16

Being in the Online Gaming industry for almost 3 years, I will say compliance is a huge concern and this would probably bring a lot of attention to things that Decentraland does not want the attention of. Regulatory compliance and Anti Money Laundering Standards need to be met and it seems like in my own non-expert opinion that KYC would be a problem for a lot of people. And some of the transactions within the DAO and wearable buying/selling look very questionable to me. From an outside perspective could hint at money laundering.

I would keep the DAO focused on building a better platform that allows for businesses with these expertise to this platform. The DAO can make money through “taxes” or fee structure when their platform fosters a business-friendly environment. The money issue is currently Decentraland is not providing a service that fosters a business friendly environment for more industries. Obviously this is a mission in progress, but if we stick to the current mission of building a better place for people to land their businesses, once they land, they will set up tent and stay if it is advantageous for them. The focus needs catering to bring businesses here. Businesses provide products and services which will bring a full working economy to DCL.

This idea to allow the DAO to own this has a socialist nature in allowing the main DAO entity (while claiming to be decentralized) to have a monopoly (or once it owns it’s own, to disincentivize the competition from entering) on the industry when Decentraland should be about fostering all industries and providing a platform so they can easily set up shop.

17

DAO-Owned Gaming and Gambling Project

This proposal is now in status: PASSED.

Voting Results:

  • Yes 52% 5,378,741 VP (34 votes)
  • No 47% 4,921,327 VP (46 votes)
  • Abstain 1% 38,045 VP (5 votes)