2.3.2 - Dev Cost Reimbursement

Prior to deploying the SWAPP contract, The Swapp Foundation will determine its total expenses incurred in developing and launching SWAPP. These will include wages paid to developers, crypto license acquisition cost, fees paid to lawyers, seed investment, marketing spend, and the cost of the audit(s).

This expense total is represented in the contract source code as a hardcoded amount of 500 ETH.

When the auction phase closes and the circulation epoch begins, the total ETH sent gets divided into two buckets:

  • 5% of the auction phase ETH (not to exceed 500 ETH)

  • All remaining auction phase ETH

The 5% (or less) bucket of ETH is then transferred to an ethereum address owned by The Swapp Foundation. The other bucket (95%+) is sent to Uniswap to create the first liquidity pool for SWAPP.

All tokens reimbursed to the Swapp Foundation through this mechanism are bound by a 150 week vesting schedule. Founders are restricted to withdraw to more than 2% per month over this 150 week vesting period, in part, to foster price protection and long-term participation in growing the platform.