• sovers artwork is public domain
• 1 sover trustlessly auctioned every 24 hours, forever
• settlement of one auction kicks off the next
• 100% of sover auction proceeds (“Principal”) are trustlessly sent to Sovers DAO treasury (“Sovers Pool”).
• principal cannot be redeemed and is automatically invested in DeFi protocols generating yield/returns/APY/earnings (“Profits”) to Sovers.
• That is, return on Treasury investments will automatically generate monthly PASSIVE INCOME to every Sover, FOREVER.
• Profits can be redeemed by all Sovers on a monthly basis.
• All Sovers are members of Sovers DAO
• Sovers DAO uses a fork of Nouns DAO, a derivation of the Compound Governance protocol
• 1 Sover = 1 vote
• Treasury is controlled exclusively by Sovers via governance Sovers can propose, vote and choose to allocate up to 20% of the Profits to be used by DAO Guilds
• Artwork is generative and stored directly on-chain (not IPFS)
• No explicit rules for attribute scarcity, all Sovers are equally rare
• 'Soverers' receive rewards in the form of Sovers (10% of supply for first 5 years) and fees to support further development (10% of Sovers’ pool profits)
• To incentivize Non-Sovers (“Outsiders”) to use the protocol, 30% of the Sovers Pool’s profits will be distributed to Outsiders.
• Outsiders will be able to invest their capital in a segregated investment pool (“Outsiders Pool”), and profit from generated yield/return/APY applying the same investment strategies as the Sovers Pool. Outsiders pay a success fee of 10% on generated profits. 80% of these fees’ proceeds are directed to Sovers Pool in order to indefinitely increase Sovers’ PERPETUAL INCOME. Therefore, the more Outsiders use the protocol, the larger will be the Sovers’ monthly income.

The Sovers Auction Contract will act as a self-sufficient sover generation and distribution mechanism, auctioning one sover every 24 hours, forever. 100% of auction proceeds (ETH) are automatically deposited in the Sovers DAO treasury, where they are governed by sover owners.

Each time an auction is settled, the settlement transaction will also cause a new sover to be minted and a new 24 hour auction to begin.

While settlement is most heavily incentivized for the winning bidder, it can be triggered by anyone, allowing the system to trustlessly auction sovers as long as Ethereum is operational and there are interested bidders.

Sovers DAO utilizes a fork of the Noun DAO, a derivation of the Compound Governance protocol, and is the main governing body of the Sovers ecosystem. The Sovers Pool receives 100% of proceeds from daily sovers auctions. Each sover is an irrevocable member of Sovers DAO and entitled to one vote in all governance matters. Sover votes are non-transferable (if you sell your noun the vote goes with it) but delegatable, which means you can assign your vote to someone else as long as you own your Sover.

Sovers can propose, vote and choose to allocate up to 20% of the Sovers Pool’s monthly Profits to be controlled and used by DAO Guilds. The primary objectives of Sovers DAO is to spread Sovers purpose to the world, enhance the protocol’s investment strategies and onboard as many Outsiders as possible to exponentially increase Sovers’ PERPETUAL INCOME.

The main objective of the NFT sales proceeds (aka Principal), is to generate PERPETUAL INCOME to Sovers. However, in extraordinary events, the Principal could be redeemed if: i) a proposal to do so is created and the vote counts on a minimum quorum of 70% of the existing Sovers; ii) the proposal is approved by at least 90% of the votes; and iii) the Soverers do not veto the result

In addition to the precautions taken by Compound Governance, Soverers have given themselves a special veto right to ensure that no malicious proposals can be passed while the sover supply is low. This veto right will only be used if an obviously harmful governance proposal has been passed, and is intended as a last resort.

Soverers will proveably revoke this veto right when they deem it safe to do so. This decision will be based on a healthy Sover distribution and a community that is engaged in the governance process.

Sovers are generated randomly based on Ethereum block hashes. There are no 'if' statements or other rules governing Sover trait scarcity, which makes all Sovers equally rare. As of this writing, Sovers are made up of:

• backgrounds (2)
• bodies (30)
• heads (12)
• faces(234)
• hair+accessories (128)

Sovers are stored directly on Ethereum and do not utilize pointers to other networks such as IPFS. This is possible because sover parts are compressed and stored on-chain using a custom run-length encoding (RLE), which is a form of lossless compression.

The compressed parts are efficiently converted into a single base64 encoded SVG image on-chain. To accomplish this, each part is decoded into an intermediate format before being converted into a series of SVG rects using batched, on-chain string concatenation. Once the entire SVG has been generated, it is base64 encoded.

The Sover Seeder contract is used to determine Sover traits during the minting process. The seeder contract can be replaced to allow for future trait generation algorithm upgrades. Additionally, it can be locked by the Sovers DAO to prevent any future updates. Currently, Sover traits are determined using pseudo-random number generation:

Trait generation is not truly random. Traits can be predicted when minting a Sover on the pending block.

'Soverers' are the group of ten builders that initiated Sovers. Here are the Soverers:

• @0xSover
• @TropicoolArtz
• @artsovers

Because 100% of sover auction proceeds are sent to Sovers DAO, Soverers have chosen to compensate themselves with sovers. Every 10th sover for the first 5 years of the project (sover ids #0, #10, #20, #30 and so on) will be automatically sent to the Soverer's multisig to be vested and shared among the founding members of the project.

Soverer distributions don't interfere with the cadence of 24 hour auctions. Sovers are sent directly to the Soverer's Multisig, and auctions continue on schedule with the next available sover ID.