The $nice token was launched in Q3 2022 in an effort to promote direct donations to the Giveth Organization.
When users on the Giveth Dapp make a donation to the Giveth Project in certain eligible tokens they'll receive $nice in return.
The following tokens have been listed as eligible for $nice when donated to Giveth:
$nice is matched at a 1:1 ratio of the USD value of the donations at the time the donation was made. For example if you donated 50 DAI to Giveth (assuming it holds its $1 peg) you would receive 50 $nice.
Eligible donations are registered on the same bi-weekly rounds that GIVbacks follow. Distribution of $nice, once calculated, is done at the same time that GIVbacks are sent out.
The first of many features of $nice will be the ability to redeem it for swag on the Giveth swag shop. You can get Giveth branded clothing and more delivered right to your door for supporting Giveth.
Some other exciting utilities down the road might include:
- Early Access to and Redemption of $nice for Giveth PFPs.
- Leaderboards and Social Media promotion of top Giveth donors and $nice holders.
- GIV rewards program for $nice holders.
The sky's the limit for $nice and the Giveth team is actively building and experimenting with features and future utilities of this new token.
Use of Funds
Giveth will use the acquired funds for a very direct strategy to ensure the stability and growth of Giveth and the GIVeconomy.
50% of the USD value of eligible donations received will be used to buy back GIV. The other 50% will be used to create a liquidy pool pair with the bought back GIV.
Let's look at an example:
Over a 3 month period Giveth acquires $100,000 of eligible donations in DAI.
We use $50,000 worth of the DAI received to buy back GIV from the circulating supply.
Subsequently we take this $50,000 worth of GIV we just bought back and combine it with the remaining $50,000 of DAI to supply a $100,000 DAI/GIV LP position on Uniswap v2 that is owned by the Giveth multisig.
This effectively allows Giveth to create strong DAO-owned liquidity positions over time. This in turn helps to mitigate the volatility that liquidity farming programs can have on the GIV token economy.
Giveth may employ new strategies for received funds at any given point in the future.