Key Insights
- Four fabrics are sold to initiate funding for all-purpose, investment fund, treasury management and operations
- Every member is provided equal access with the only benefit of holding multiple pieces of fabric being larger voting power
- Everyone in the ecosystem is welcome to view the discussions being held inside theLOOM
What is theLOOM?
After chatting intimately with one of the project's founders, it was clear theLOOM was an experiment brimming with potential. With a set up similar to Nouns DAO on ETH, theLOOM embodies the core concepts that web3 stands for – governance, ownership and decentralization.
theLOOM centers itself around thoughtful investing and the discord discussion channel is a melting pot of unique Solana NFT traders fleshing out investment strategies.
There’s a total of four fabrics, each granting the same access and voting eligibility. However, there is a difference in the use of funds between the four fabrics. Linen is all-purpose, Cotton is for an investment fund, Silk is for treasury management and Wool is for operations. The DAO is entrusted to vote on which fabric is sold per week.
The daily auction ends at 8 PM UTC, where one piece of fabric is sold off to an interested counterparty.
Where does the money go?
100% of auction proceeds and the founder’s art royalty (1%) are transferred into the DAO treasury. As new artists are engaged in the future, the artist will receive 100% of their agreed royalty.
The first official sale was over three months ago on October 13th through word of mouth. The discord didn’t come to fruition until 60 pieces of fabric were sold. The founder has decided to forgo a Twitter group chat because it limits the discussion to 75 individuals. There’s no preferential treatment and the decision-making power has been redirected to the members essentially flipping the script we so often see in our space.
What is the goal of the DAO?
The goal is to value investing over gambling. By setting a daily auction, theLOOM aims to cast a wider net and draw in Solana NFT enthusiasts from all paths. If someone is priced out one day, they can rely on sweat equity to find a bargain on another day. “We want to cultivate a space where we can thoroughly discuss the investment thesis.” One of the community members also known as a “weaver” motioned on a vote to make the discord viewable and auditable to ensure transparency. The first purchase of the DAO was a custom discord security bot – MEE6. Weavers also just passed the motion to purchase SMB #1444 for 268.2 SOL as their first NFT for the treasury. The treasury currently holds 198 SOL on top of 560 USD.
SMB #1444, purchased by theLOOM
theLOOM values transparency and the DAO allows everyone without membership to meet people and watch conversations for ideas.
Who are the types of members?
The founder anticipates three different types of holders. Those will 1 piece of fabric will be content with full access, whilst those with 2-5 pieces will try and arbitrage and flip for profit. Holders with over 6 pieces of fabric are gunning for voting power.
How is the art constructed? How are decisions made?
The founder manipulates clothing material they own in real life by altering the saturation and texture. “The idea is to take something natural and transform it into something else, similar to the way our lives have been altered through online digital experiences”.
In terms of decisions, ideas percolate in the discord server for a minimum of 2 days to allow them time to breathe. Once the vote is ready, it takes place over 3 days ensuring all members have the opportunity to cast.
Intertwining the threads
theLOOM was an idea developed over time. The founder has worked on many projects and harnessed the lessons learned and mistakes made. “It’s little pieces from all over the place, recognizing where NFTs are now, utilizing 1/1 art, and allowing for customization. Thoughtful investing is what the space craves”
The power of the project lies within its community – a concept that is so often preached but not wholeheartedly executed. theLOOMs decentralization, coupled with its transparent governance sets a strong foundation for this DAO to purchase stable NFT collection, build a sizeable treasury, collaborate with artists, all whilst providing anyone in the Solana NFT ecosystem to opportunity to peer into these otherwise private discussions.