What is Foundry?
Foundry is a for-profit DAO that seeks to build and profit from projects and ventures in the blockchain space--specifically, projects that traditional institutions cannot pursue, and which increase financial freedom.
What is a DAO?
DAOs are Distributed Autonomous Organizations. They are entities that live on the blockchain (usually Ethereum, as is the case with Foundry) and are directed by their smart contract code. There are several forms of DAOs. Maker, the system that provides the DAI stablecoin, is a good example. Augur is another. DAOs typically incentivise people to act in a certain manner to further the interests of the DAO.
What is Foundry meant to accomplish?
As with a conventional organization, this can be answered in two ways: a mission statement and a profit motive.
Foundry's mission is to build technology and tools that increase worldwide financial freedom, especially when those tools are difficult/risky for traditional institutions to build. Our existing two products illustrate this. DAIHard facilitates unstoppable entry and exit into crypto, even in jurisdictions where this is illegal. SmokeSignal facilitates unstoppable and uncensorable chat, and is similarly designed to work even in jurisdictions hostile to free speech.
Foundry's profit motive is based on a simple premise: that there are opportunities to build products like those above, that will result in profit, but which are too difficult or risky for a conventional corporation to build. Because a DAO lacks certain attack surfaces compared to conventional corporations, Foundry should be able to fill and explore these niches with far lower costs and greater flexibility, rapidly realizing profit.
In short, Foundry is expected to profit by building profitable enterprises that are too hot for conventional institutions to build safely.
Who controls Foundry?
Foundry makes decisions via the "governance contract". At launch, this contract will be a basic multisig contract with Team Toast members as signatories, which we are calling "governance v0". As we develop the full Liquid Democracy system (more on this below), we will transfer control of Foundry to the FRY holders.
How does Foundry work?
As governance is implemented, Foundry Token (FRY) holders will be able to submit and vote on various "proposals", which if passed, will execute a specific transaction from the Foundry Treasury. This transaction could be a simple payment (such as paying a contractor for an improvement to SmokeSignal) or a more complex transaction involving smart contracts (such as converting half of the DAI treasury to ETH, investing in other DAOs, or creating a Burnable Payment).
This voting system will implement a liquid democracy system, allowing some users to specialize in governance decisions and combatting voter apathy. More on this below.
Where does the Foundry Treasury get money?
Initially, the Foundry Treasury will simply hold all the funds raised by the sale. In addition, Foundry-built products will be designed to capture a profit stream, and this will be directed to the treasury. DAIHard and SmokeSignal already capture and redirect profit in this way.
Foundry may, after its initial presale, enter a "perpetual sale" where FRY tokens will continuously be sold for funds. This would dilute existing holders, but preserve the value of their FRY tokens by pulling in more funds for the additional FRY minted.
What is liquid democracy?
A liquid democracy system allows some voters to delegate their votes to other voters. This is similar to having a representative democracy, but with several layers of representation. For example, many of your friends might delegate to you, while you delegate to someone you met a conference, and he delegates to a well-known identity who directly votes on proposals.
In our liquid democracy system, individuals can change their delegation at any time, so that if one representative with a lot of support makes an unpopular position, his constituents can easily remove their support from his current and future votes.
We will release more on our liquid democracy design soon.
About the token sale
Doesn't the SEC have a major problem with ICOs and Token Sales?
Yep. That's why our token sale is not open to US investors, qualified or otherwise. We block participation from aggressive jurisdictions.
How do I participate?
You can head over to sale.foundrydao.com. To participate, you will need a web3 wallet (we recommend Metamask), a small chunk of Ether (ETH) to pay for the gas of the transaction, and however much DAI you want to bid for FRY.
How do I get Ether? How do I get DAI?
This depends on your jurisdiction. Most countries have very reputable cryptocurrency exchanges at this point.
The hard part will be getting crypto of any kind. Once you have crypto, sites like 1inch.exchange and Changelly will allow you to trade any crypto for DAI and ETH.
What happens to the DAI I invest?
The DAI goes into the Foundry Treasurey contract. As described above in Who controls Foundry, initially the Treasury will be owned by a simple multisig controlled by Team Toast. We'll use these funds to iterate SmokeSignal and DAIHard, and develop the Foundry Governance system.
When Foundry Governance is capable of making autonomous, intelligent decisions, it will take over control of these funds. At this point, the only way for anyone to influence usage of the Treasury will be to hold FRY and participate in governance.
Ultimately, the Treasury will be control of Foundry Governance (and therefore FRY holders). You're welcome to wait to participate until after Foundry Governance is fully operational and has complete control over the Treasury.
How long does the sale last?
Just under 20 months, ending in Feburary 2020.
How many FRY tokens will be sold?
60,000,000 will be minted and sold in total--30,000 every 7 hours after launch.
How many FRY tokens will there be?
At the end of the sale, there will be 100,000,000 FRY tokens. After the initial sale, a perpetual sale may dilute FRY tokens at a rate of 5% per year in exchange for new, spendable funds in the treasury.
Is there a "pre-mine"?
30,000,000 FRY tokens will go to Team Toast.
10,000,000 FRY tokens will be put in the Foundry Treasury, so governance can onboard long term talent in exchange for FRY.
How does the sale work?
The sale has 2000 buckets, each of which will mint and sell 30,000 FRY. The first bucket closed 7 hours after the sale starts, the second one 7 hours after that, and so on. To participate, use the bucket sale interface that will be live at sale.foundrydao.com. There you will specify the bucket you want to enter (the current bucket or a future bucket) and send it DAI.
Once a bucket has concluded, you can withdraw your FRY tokens. the proportion of your DAI to the total DAI entered, is the proportion of the 30,000 FRY you receive. For example, if 1000 DAI total was provided to that bucket, of which you supplied 100 DAI, you will be able to claim 10% of the total 30,000 FRY in the bucket: 3,000 FRY tokens. Thus, for any given bucket, the effective price per FRY increases every time another user enters DAI into that bucket.
Will Foundry's Liquid Democracy be live, and controlling the Treasury, before the initial 20-month sale ends?
What is the goal of the referral program?
To incentivize marketers for bringing in participants to the sale and to retain marketing expertise within the FRY token holder group.
What are the benefits of using a referral code from someone else?
You will get 10% of the value you are entering into a sale bucket, also entered into the next sale bucket. So if you are buying 100 DAI in bucket 20, then you will also be credited for a purchase of 10 DAI in bucket 21. Note that the price of FRY will likely differ between these two buckets, meaning that the amount of claimable FRY in bucket 21 will likely be different than 10% of that in bucket 20.
What are the benefits of sharing a referral code?
When someone buys with your referral code, you are credited as if you bought into the next bucket. Your credit in the following bucket starts at 10% and can go as high as 20% of the purchase of the person buying with your referral code. The bonus % is based on the amount of total sales referred with your code; 1% for every 1,000 DAI referred.
For example, if you generate a referral code and share it with someone and they buy 1,000 DAI in bucket 23, then you will be credited with a sale of 11% (110 DAI) in bucket 24. If someone later buys another 2,000 DAI in bucket 40, then you will be credited with 13% (130 DAI) in bucket 41.
How do I make a referral link?
See this tutorial video.