Frequently Asked QuestionsFAQ
What is district0x?
The district0x network is a collective of decentralized marketplaces and communities known as ‘Districts’. Districts exist on top of a modular framework of Ethereum smart contracts and frontend libraries referred to as d0xINFRA.
What problem does district0x solve?
The district0x network solves a number of coordination issues and inefficiencies commonly found within distributed community marketplaces. This is accomplished by providing tools that can better align incentives and decision making among the market participants themselves. The end goal is to create a self sustaining ecosystem that can flourish without the need for a central authority.
What is d0xINFRA?
d0xINFRA is a standard open source framework comprised of Ethereum smart contracts and front-end libraries. With the development of Name Bazaar and Meme Factory, the district0x team is building the initial iteration of d0xINFRA, which will allow other development teams to launch their very own district.
How do you pronounce district0x?
District - Zero - X
How do you pronounce d0xINFRA?
D - Zero - X - Infra
Why the name district0x?
The name district0x is derived from two things. "Districts" are the marketplaces and communities that serve as building blocks of the network. "0x" is an homage to the Ethereum network as the first two symbols that make up all Ethereum addresses. The "0x" prefix is used throughout computer science as the beginning of hash values.
Where can I find a development roadmap?
Visit our blog for the most up to date information regarding our roadmap, and view our blog posts for announcements and development updates.
What are districts?
Districts are the decentralized community marketplaces that utilize the d0xINFRA framework. They are managed by a governance layer provided by the Aragon network, operating through Ethereum smart contracts and our standardized front-end libraries (d0xINFRA).
What will districts look like?
Districts will be able to look completely unique from one another. We primarily design libraries so they don’t dictate the visual side of things, but there will also be layers on top of that with pre-made, customizable components for optional use. We’ll be using those components in our districts. Currently we've chosen the Material Design style for these components, as can be seen on Ethlance. This may change over time if a better solution presents itself.
What will the first district on the district0x network be?
Ethlance is the first launched district, and was deployed to the Ethereum Mainnet on January 29, 2017. This was followed by Name Bazaar, deployed to the Ethereum Mainnet on October 24th, 2017. In the future, we will build and deploy Meme Factory. The fourth district to be built on the network is currently being decided by token holders on the district0x Voting dApp.
What kind of project could implement a district?
We envision virtually any type of communal marketplace being built as a district. If the project requires the ability to post listings, search/filter through listings, rank or give reputation to users, and/or allow for payments; then they should be a good fit for a district. A current list of district proposals can be found here.
Is there a fee to create a district or become part of the network?
No, there is no fee planned to create a district or join the network. However, joining the network will require a refundable deposit to the District Registry. This deposit may be challenged and forfeited in the event that the district is considered malicious or does not add value in the eyes of the network participants.
What are auxiliary modules?
An auxiliary module is a piece of software that can be added to a district that extends functionality or adds new features that the marketplace participants can utilize. Auxiliary modules are intended to facilitate the modular and extensible nature of the network, allowing each district and its participants to elect the functionality that district offers.
How does a project become part of the network?
The district0x token holders themselves decide whether a district is good or bad for the network through the District Registry, an incentivized voting game that dictates access to the network. Whether a district is good or bad not only applies in terms of the quality of the marketplace, but also prevents against districts that are deemed immoral or threatening to the entire network by DNT holders. This will be entirely up to the DNT token holders to decide.
How will district governance work?
When a marketplace is created on the district0x Network, a corresponding Aragon entity will be created, where all of the marketplace’s governance processes will occur. To facilitate open participation in these governance processes for all internet citizens, DNT allows holders to stake their tokens to a district in exchange for voting shares in its Aragon entity. Voting shares will be used to come to consensus on everything from a district’s code of conduct, to the ways in which they choose to monetize, to how any revenue generated is utilized or distributed.
What is the District Registry?
The District Registry is based on an incentivized voting game developed by the Token-Curated Registry team at Consensys. At its core, a Token-Curated Registry (TCR) allows for a community of token holders to curate a list for a number of different purposes. Those purposes could include anything from access to a “clean pool” of resources, a guest list, content curation, fraud prevention, among many other uses that increase the quality of anything entering a list. This is accomplished through a deposit, challenge, vote and reveal process. The specific purpose of the District Registry is to democratize many of the decision making and governance processes to DNT holders. You can learn more about TCRs here.
Can a district implement their own token?
Yes, there are scenarios where a district can create its own token to provide some additional utility outside of governance purposes. Many projects that have submitted a proposal in our Github have already created a token that provides market specific utility.
Who gets voting rights in a district?
The creator of the district has voting rights initially. As a result, they could set their bylaws so they retain complete control over the district. However, this would be disadvantageous for them if trying to develop a large and active district. But in some cases, it may be preferable.
Why should a project utilize d0xINFRA?
If a project implements the d0xINFRA framework, it will ensure compatibility with all future auxiliary modules on the marketplace layer as well as any apps/modules deployed to the Aragon governance layer. This modular standardization will ensure all marketplaces on the network can remain nimble, flexible to change and seamlessly co-operate in the most efficient way possible.
district0x Network Token (DNT)
What is the District Network Token?
The district0x Network Token is an Ethereum-based token built using the ERC20 standard. This token was created to facilitate participation and coordination in the development of the district0x Network, and eventually the handoff of network governance to the community.
What is the value proposition of DNT?
The district0x Network Token is a multi-utility token required for application to the District Registry, an incentivized voting game to dictate access to a suite of supplementary services exclusive to network members. It’s also used to signal support or disapproval for proposals made by network participants, and will be staked to deposit pools to mint tokens providing district-specific voting rights in corresponding Aragon entities. The inherent value to any given person will differ depending on the extent of their desire to participate in the network as well as the mechanisms outlined in our whitepaper.
How does the DNT staking mechanism work?
A refundable deposit of DNT can be deposited to a district’s corresponding Aragon entity. By doing so, an individual is granted voting rights in the form of tokens that can only be used within that specific Aragon entity. An individual can then use those tokens to propose and vote on anything ranging from a district’s branding and design decisions, to what functionality is added via auxiliary modules, to the appropriate settings for any adjustable parameters of these modules, to the means in which any revenue collected by a district is to be distributed, and beyond.
Will staking DNT to a district provide passive rewards similar to proof of stake?
Unlike “proof of stake” and other reward based staking schemes, DNT does not provide a direct reward when staking your DNT to a district. These types of incentive structures would be up to governance participants proposing and voting for changes within an individual district’s Aragon entity.
Why can't spend DNT in a district?
We will never enforce the use of DNT for payments on the platform, we intend to allow for payment not only in ETH, but any other ERC20 by leveraging the 0x Protocol. For some background on the logic for this, refer to our blog post about the 0x integration.
district0x Network Fundraiser
When was the network fundraiser?
The fundraiser began on 7/18/2017 and ran through 08/1/2017.
What is the total supply of district0x Network Tokens?
A total of 1 billion tokens were minted by the district0x Genesis Contract. 600 million DNT were distributed to fundraiser participants during the initial contribution period which ended on August 1, 2017. 180 million DNT are held in reserve for possible future fundraisers. 198 million DNT are held by district0x founders, and are subject to a 2 year vesting schedule. The remaining 22 million DNT are reserved for advisors and the community rewards program.
Will there be a lockup period for tokens allocated to the founding team?
Tokens distributed to founders, early contributors, and advisors vest are subject to a vesting schedule. Founder and advisor tokens are allocated over a 24-month vesting period, with a 6-month cliff. Early contributor tokens are allocated over a 6-month vesting period, with a 3-month cliff.