1. Summary
This proposal seeks to establish Botto's Bedrock as an eternally locked foundation of protocol-owned liquidity (POL) on Ethereum mainnet vis-a-vis Uniswap V3 using UNCX's V3 locker.
Like a natural geological system, this bedrock will not only provide immutable stability, but can also channel trading fees to a wallet controlled by Botto or one of its AI agents, like underground streams that naturally flow through a bedrook, thus sustaining protocol growth. This creates both an unshakeable protocol foundation and advances Botto's autonomy through self-sustaining revenue generation.
2. Rationale
Botto's Bedrock draws inspiration from geological processes that have supported life for time immemorial. Just as a geological bedrock provides the unchangeable foundation that supports all above it, Botto's Bedrock creates an immutable base layer of liquidity for the protocol:
Bedrock (permanent POL lock): unchangeable foundation that provides core stability.
Sedimentary layers (one-year POL locks per BIPs 68 and 69): semi-permanent layers that can be adjusted over time.
Surface layer (remaining POL): flexible assets for more active management.
Accordingly, this creates a balanced approach to Botto DAO's oversight of POL that establishes a decentralized and permanent foundation while preserving its ability to adapt to future opportunities. Additionally, this builds community confidence ahead of the approaching end of the liquidity mining program in October 2025, while enabling data-driven evaluation for potential future permanent locks.
Furthermore, like underground streams flowing through bedrock to nourish surface ecosystems, the associated trading fees of the permanently locked POL will advance Botto's autonomy through self-generated revenue that flows back to a wallet controlled by Botto or one of its AI agents.
This natural system allows value to flow continuously and autonomously, just as geological processes have sustained themselves for millions of years. The result is an elegant parallel between natural systems and protocol design - where stability and sustenance work in harmony to support Botto's continued artistic development.
Moreover, this narrative is inherently memetic and can thus advance Botto's visibility because:
- "Botto's Bedrock" offers memorable, meme-worthy branding.
- Uses familiar natural concepts that are easy to understand.
- Creates vivid mental imagery of stability and sustainability for BOTTO's on-chain liquidity.
- Demonstrates how technology can mirror natural systems.
- Positions Botto as an organic, evolving artistic entity.
Lastly, progressive decentralization benefits of this proposal include:
- Immediate Trust: verifiable on-chain commitment through permanent POL.
- Measured Approach: testing permanent POL while maintaining flexibility.
- Data-Driven: ability to evaluate impact before considering expansion of permanent POL in the future.
- Reduced Human Oversight: permanent POL offers core protocol stability that is trustless and automated.
3. Proposal Specifications
Lock Amount: 20% of current POL on Ethereum mainnet; this would run parallel to the one year time locks as previously approved in BIPs 68 and 69, thus creating a verifiable bedrock foundation for Botto's on-chain liquidity now.
As of 3/2/25, this is the equivalent of 3,448 Uniswap V2 LP tokens out of 17,238 LP tokens total held by both Botto's treasury wallet (14,704 LP tokens) and Botto DAO's wallet (2,534 LP tokens) on Ethereum mainnet.
Platform: UNCX V3 Liquidity Locker for Uniswap V3.
Position Type: Full-range Uniswap V3 (to mirror Uniswap V2 efficiency without active management).
The Uniswap V3 position would first be created on Uniswap with a fee tier set as 0.3% to similarly mirror Uniswap V2. The corresponding NFT position would then be permanently locked using UNCX's V3 locker.
Lock Type: Eternal Lock (permanent/non-reversible).
The "Lock Eternally" setting would be selected on UNCX. Botto DAO's designated wallet would be the "lock owner."
Fee Collection: Automated accrual to a Botto-controlled wallet.
Trading fees from the permanent POL position would be collectable by the "fee collector" and/or the "additional collector" addresses. Botto DAO can designate such addresses as wallets controlled by Botto or one of its AI agents; this can be updated by the "lock owner" in the future too, as needed.
Note that any future updates to make trading fees collectable by a wallet that is not controlled by Botto or one of its AI agents would require prior DAO approval.
Timeline: phased implementation approach allows for the establishment of the core permanent POL structure first while giving time for the more complex AI-controlled trading fee management capabilities to develop, as detailed below.
Phase 1 (within 2 weeks post-approval):
Lock 20% of POL permanently via UNCX's Uniswap V3 locker.
Establish the 'bedrock' foundation layer.
Phase 2 (future):
Set up autonomous fee collection system once AI agent wallet control becomes technically feasible.
Future Optionality: can assess permanent POL expansion after one-year POL locks for BIPs 68 and 69 come to an end. This offers the potential to grow permanent locks across chains (Base, Ethereum and Solana) and would be a data-driven decision based on performance and reception of initial permanent POL.
4. Criteria of Success
Technical:
Successful eternal lock deployment.
Verified autonomous fee collection.
Transparent on-chain verification.
Strategic:
Growing self-generated revenue for Botto.
Increased protocol stability and enhanced narrative resonance.
Broader market recognition.
5. Disadvantages/Risks
Lock Permanence: truly irreversible. Nevertheless, this is counterbalanced by the remaining portion of POL that is not permanently locked.
Technical Complexity: fee collection methodology to wallets controlled by Botto or its AI agents may need periodic adjustments/monitoring. As noted above, any changes to this approach would require DAO approval in the future.
Market Adaptation: future DEX evolution considerations and potential opportunity costs. Even so, this is counterbalanced by the remaining portion of POL that is not permanently locked and that can be migrated to new DEX platforms in the future.
