Bright Benefits Program (CryptoCitizen Staking)

Men had always thought of wealth as a static quantity-to be seized, begged, inherited, shared, looted or obtained as a favor. Americans were the first to understand that wealth has to be created.
- Francisco D’Anconia, Atlas Shrugged


Bright Moments is considering the creation of a benefits program (”Bright Benefits”) that will reward members of the ecosystem with ERC-20 tokens ($CTZN). This document lays out the purpose of the benefits program, the initial use cases, and some commons pitfalls to avoid.

Why a benefits program?

  • Incentivize behaviors that are aligned with the long-term success of the Bright Moments ecosystem
  • Create a medium of exchange ($CTZN) that is distinct from the CryptoCitizen store of value
  • Provide a non-dilutive way of rewarding ecosystem development and paying bounties to community members


  1. Reward what you want to see more of
  2. Design incentives carefully
  3. Use smoothly ratcheting reward schedules, or “make sure it’s clear how to earn tokens and continue leveling up”
  4. Supply must be tied to value creation, or “don’t print tokens out of thin air”

About the token

$CTZN is:

  • An ERC-20 token
  • Issued when specific on-chain actions are taken
  • Controlled by a smart contract
  • Uncapped in its supply

$CTZN is not:

  • A replacement for CryptoCitizens
  • A membership token in the Bright Moments DAO
  • A way to vote on DAO proposals

How the token is earned

$CTZN is earned by:

  • Purchasing Mint Passes, Citizens, and Golden Tokens through the portal
  • Minting CryptoCitizens and Bright Moments affiliated NFTs
  • Voting or having a delegate vote on your behalf
  • Community grants through quadratic funding

$CTZN is not earned by:

  • Passively holding tokens
  • Listing NFTs on exchanges
  • Sending or swapping NFTs between wallets
  • Creating liquidity pools

How the token is used

$CTZN is used to:

  • Enter into giveaways
  • Move up in the queue for early access drops

$CTZN is not used to:

  • Purchase art as a replacement for ETH
  • Vote on proposals

Supply Use Cases

Example 1: Minting generative art

The minting of new CryptoCitizens and Bright Moments Collections are incredibly valuable actions. New CryptoCitizens represent the continued growth of the DAO, and Collections are how artists and collectors interact within the Bright Moments ecosystem.

When new NFTs are minted, a proportional amount of $CTZN is issued and sent to the recipient of the mint. This incentivizes community members to participate in the live minting events. Further multipliers can be granted for mints which happen IRL based on on-chain metadata in the Live Minting smart contract.

Example 2: Purchasing Mint Passes

Mint Passes & Golden Tokens are the primary revenue model for Bright Moments. Mint Passes & Golden Tokens purchased through the Bright Moments marketplace are accompanied by a proportional amount of $CTZN tokens.

A screenshot from the checkout page, which shows the user the amount of rewards points they will earn from completing a purchase.

Example 3: Voting

Continued participation in DAO governance is important to maintain representation from our various SubDAOs and cities. However, voting suffers from the tragedy of the commons, where small token holders have little incentive to vote due to insignificant influence on the outcome.

Providing an economic reward for voting (but not how you vote) is a useful way to drive participation and ensure that voters remain engaged.

Example 4: Community grants

New tokens can be distributed based on a quadratic funding model, where community members can pledge tokens that are matched to increase the value of the crowdfund. This allows for the funding of important ecosystem activities that would not be possible by individual coordination alone.

As an example, the Berlin SubDAO could request a grant for a match amount of N $CTZN tokens, which are distributed based on the funding from individual contributors within local community. Artists and community members could submit grant requests (e.g. a community events or a commission) that are funded based on the outcome of the funding round.

To see this in action, use the QF model here.

Demand Use Cases

Example 1: Giveaway entries

Problem: Using the current mechanism of 1 Citizen = 1 Entry, there is no way to signal the magnitude of your interest in a giveaway. Furthermore, community members are incentivized to enter every giveaway, even the ones where they have no particular interest in the artist, because doing so costs them nothing.

Solution: Use $CTZN as the mechanism for giveaways by requiring community members to pledge a specific amount of tokens. These tokens represent your proportional chance of being selected and are burned during the giveaway. This allows community members to express the magnitude of their preferences and “save up” for important giveaways without the opportunity cost of failing to participate.

Example 2: Early access

Problem: During the London Collection presale, there was no way for eligible members to “move up” in line. This resulted in a rush on the Mint Passes available and a secondary market “pop” where Mint Passes traded at a higher price due to misallocation of tokens.

Solution: Allow community members to spend $CTZN to move up in line and receive preferential access to minting opportunities.

Contrarian Bets

  • The initial token distribution is WYSIWYG; there is no pre-mined allocation for the team or investors
  • The token supply is inflationary. We want people to spend these.
  • You don’t earn tokens simply by holding a CryptoCitizen. You earn tokens by taking action within the ecosystem based on a predetermined set of on-chain criteria.
  • The treasury (e.g. brightmoments.eth) does not hold tokens. New tokens are created and distributed by the smart contract.
  • Tokens that are spent are burned. They don’t return to the circulating supply.
  • The core team should not be in charge of how tokens are distributed or created. This should either be controlled by a decentralized governance process or a separate council that is determined by community members.

Open Questions

  • What is the correct token reward for various actions?
  • What is the process for adding a new reward or changing the token distribution for an existing reward?
  • Do we conduct a retroactive airdrop for Citizens? If so, how do we calculate it?



Love the idea, reward systems manifest in multiple ways, besides driving involvement towards common goals. Let me know if I can help.

Great proposal!

Any thoughts on how we can detect transfers between wallets and distinguish them from legitimate sales?

This is hard. A few options:

  • Don’t reward buying and selling on the secondary market as this is not a primary value creation activity within the DAO.
  • Reward this, but with a relatively small amount of tokens so the financial costs of doing so are not worth it.
  • Issue everyone who visits the Bright Moments gallery a non-transferrable token as proof-of-personhood and only reward sales between unique individuals.
  • Lots of other ways I probably haven’t considered but might also work

I think this is a great idea and rewards longer-term behavior that is significant to keeping our community going. Agree that the “uses” for the $CTZN (i.e., rewards) will likely be of significant debate.

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Sounds good to me. I don’t know everyone, but I don’t know anyone who considers DAOs as thoughtfully as Phil and the BM team.