GM, I’m excited to present a transformative DAO improvement proposal – perhaps the most significant one since our inception.
PathDAO was built upon the vision that gaming is that door that will onboard the masses to web3. And we wanted to built an ecosystem that catalyzes that and capture value along the way.
Our journey began with an NFT project supporting Axie scholarships, rapidly evolving into a Gaming DAO. Our initial approach as a Gaming DAO was to invest in Web3 gaming at a VC level, bringing exclusive private sale and seed opportunities to our Treasury and holders. In our first year, we deployed around $5.4M in seed capital across various promising ventures. However, the market’s volatility impacted many projects, prompting us to pivot our strategy.
By the end of 2022, we shifted from the VC model, which had limited control over risks and dwindling opportunities, to a more robust Liquid Fund x Venture Studio model. This new strategy expanded our horizons beyond gaming, yielding $1.5M from a $4M deployed fund in 2022, buybacks executed in alignment with PIP6B. The Venture Studio model focused on incubating projects, positioning us as a central distribution layer for Web3 games. We’ve launched several projects in areas such as gaming influencers, NFT financing, SocialFi, competitive platforms, and UEFN. You can view the ongoing progress of these incubations on our website at pathdao.io.
However, we’ve come to two critical realizations:
- A token backed primarily by a treasury has a ceiling on growth potential.
- To truly captivate investor interest and build a unicorn, we must develop a protocol or platform that offers genuine market value beyond just investments.
Meanwhile, our venture studio has been at the forefront of developing consumer applications within the gaming arena. The breakthroughs in Large Language Models (LLMs) earlier this year brought new dimensions to our work. Through some exploration, we’ve further identified unique and valuable opportunities at the intersection of gaming and AI. This insight is guiding us towards new frontiers, blending advanced AI applications with the dynamic world of gaming.
What if we move into building an AI x Metaverse Protocol?
You can dive into the Litepaper (virtual.pathdao.io), but here is the gist of it compressed in a few statements.
Statement 1: Metaverses and gaming are effectively social layers. Be it whether you interact with NPCs, other gamers, or content creators. Most of the interactions today are parasocial, lacking the ability to hyperpersonalise and be more engaging for the user. AI changes this. AI Personas are the future of any virtual and gaming interactions. Use cases range from virtual companion chats (think Character.ai), AI NPCs (think InWorld), to gamer co-pilots, to AI procedural storyliners.
Statement 2: As interactions with AI characters become more prevalent, it is crucial to guarantee their impartiality and neutrality. There has to be an open, transparent system where the development and input of these characters are overseen by a collective community. This approach ensures that AI characters are not biased by a single entity’s agenda, promoting a fair and balanced interaction environment.
Statement 3: The rise of AI-driven content creation poses a challenge to intellectual property rights and the economic incentives for original content creators. Using blockchain technology can safeguard copyrights and ensure that creators are rightfully compensated. This system aims to strike a balance between the infinite possibilities of AI content generation and the rightful interests of IP owners.
Statement 4: As AI technology advances, addressing long-tail edge cases becomes increasingly complex and costly. Many passionate individual users and developers are hobbyists who may lack the resources to contribute effectively. There has to be an incentive layer to unite these diverse forces, channeling their efforts towards creating superior AI Personas. This collaborative approach democratizes AI development, allowing everyone to contribute to and benefit from the system.
Statement 5: In a rapidly evolving AI landscape, entrepreneurs often find themselves preoccupied with backend technicalities, such as keeping up with the latest AI model updates. A library protocol addresses this issue by taking over the backend complexities, allowing entrepreneurs to concentrate on their go-to-market (GTM) strategies. By providing a stable and up-to-date AI character platform, we empower entrepreneurs to focus on user engagement and business growth, without the distraction of constant technological updates.
We believe in a future where virtual interactions are hyper-personalized and hyper-immersive, enabled by AI, built in a decentralized manner.
We do this by (1) building up a protocol layer that incentivises and aligns all actions in the creation and usage of these AI Personas and (2) build up an ecosystem of DApps that will monetize our AI Personas in metaverses, gaming and beyond.
- Prioritize core contributor efforts into the establishment of this protocol. (PIP10-A)
- Migrate token and modify tokenomics to be relevant to the protocol layer. (PIP10-B)
- Allow for DAO members who are not aligned to the proposal (if passed) to redeem their DAO tokens (PIP10-C)
A. Let’s go ahead into the AI x Metaverse Protocol space
B. Stay the same as today