OIP#2 Unlock OBOL Token

Token House
,
1

Status: [Final]

Proposal Type: Contract Upgrades

Abstract

This proposal seeks to enable the redemption of Locked OBOL Tokens (ERC-721) for OBOL Tokens (ERC-20) thereby allowing current Token Holders to transfer and leverage their tokens within the Obol Collective. The OBOL Token is a key piece of the Obol Collective, and unlocking the token will enable broader ownership, participation, and governance accessibility within the ecosystem.

Motivation

The token’s current non-transferability offers some protection against governance centralization risks, but it also significantly limits governance inclusivity, community engagement, incentives, and ecosystem collaboration. Unlocking the OBOL Token is a pivotal step in the evolution of the Obol Collective and its path towards decentralisation.

Implementing this proposal will:

1. Broaden Governance Participation & Engagement:

  • Token transferability will enable members of the public to acquire OBOL, decentralizing voting power and increasing inclusivity, leading to a more resilient governance framework and open Collective.

2. Increase OBOL Token Liquidity for Incentives:

OBOL Token Liquidity

  • will allow for the creation of a programmatic rewards program for stakers on DVs, incentivizing increased Total Value Staked on Obol DVs,

  • will be able to be used for governance incentives campaigns,

  • will enable the Obol Association to reward contributors, developers, and ecosystem partners for their work, via grants or otherwise.

3. Unlock further utility

  • Unlocking the OBOL Token will make its integration within the DeFi landscape possible.

Specifications

To enable OBOL Token transferability, the following structured and secure process will be implemented:

  1. Token holders will be able to call the Unlock Function to redeem their Locked OBOL Tokens (ERC-721). This process will be facilitated via the Tally UI to make it more accessible for users (claim.obol.org)
  2. Upon redemption, the ERC-721 will be burned, and the underlying ERC-20 OBOL Tokens will be transferred to the user’s wallet. The ERC-20 contract is immutable and has transferability enabled; thus, once tokens are redeemed from the ERC-721 wrapper, they become fully transferable.
  3. The process will be implemented with comprehensive security audits to ensure no unintended vulnerabilities arise during the migration. These audits will be published in this proposal’s thread once finalized.

Users can also interact with the contract directly, calling the Unlock function on etherescan / direct contract call. The unlock function takes in a single argument, which is the NFT Token ID. This ID can be found by viewing a users wallet and locating the NFT that is inside the wallet.

672×322 12.5 KB

General Information & Tokenomics

The OBOL Token is integral to governance and the operation of the Obol Collective. It is currently used for governance participation within the Token House and RAF votes. In the future, OBOL may see increased utility through staking, restaking and within decentralized finance (DeFi) applications.

The official OBOL Token Contract address of the ERC-20 OBOL Token is 0x0B010000b7624eb9B3DfBC279673C76E9D29D5F7, deployed on September 19, 2022.

The total supply is 500,000,000 OBOL Tokens, with the full supply unlocking over time (see below).

OBOL Token Allocation

The latest OBOL Token tokenomics as well as unlock schedule can be seen at https://docs.obol.org/gov/governance/obol-token

1200×817 137 KB

The OBOL Token Unlock schedule can be seen below. Most of the non-aidrop allocation is currently locked legally with a first major cliff 1 year post token listing on exchanges.

1200×834 155 KB

Action Plan

OBOL Token milestone review.

  • February 23rd to March 5th: This proposal receives feedback.
  • March 6th: The proposer will make a summary on the feedback received by Delegates before submitting the proposal on Tally for on-chain voting.
  • March 12th: If approved, the redemption process of the ERC-721 locked tokens will start based on a timeline defined by the Association, working with centralised exchanges for listing.
  • April 24th: The claim of the Airdrop finishes (90 days after the claiming period started). After that, the unclaimed Tokens will return to the Association Treasury. Note that post redemption enabled, unclaimed locked tokens will still remain in the Airdrop smart contract and need to be claimed in their locked version before being unlocked.

Conclusion

This proposal introduces redemption of OBOL tokens from ERC-721 to ERC-20, and thus unlocking of the token (enabling transferability). This will enhance governance participation, improve token liquidity, and increase ecosystem engagement. We seek approval from the Obol community and Delegates to implement this unlocking mechanism when the centralised exchanges listings are ready. We encourage all members to review, provide feedback, and vote for this proposal to maximize the long-term value and resilience of the Obol Collective.

15 Likes
2

as posted here https://x.com/_crypto_crack/status/1894030641190015000 :
:ballot_box_with_check: I plan to vote in favour of this OIP2 proposal as a delegate of the
@Obol_Collective

If you like it transparent & decentralized like me, check out my #Obol delegate profile - happy to serve you! ! (atm ~#12 with 1.9% and thankful to 153 delegatoors :pray:https://vote.obol.org/gov/obol/delegate/0x986efbf4bfde455e73562d52bbf3149af6f192bc

3 Likes
3

I’ll vote in favor of this proposal. It’s important for airdrop receivers and especially RAF1 projects to also make use of the received Obol tokens to their liking.

My tweet: https://x.com/Stefa2kEth/status/1894064317265252764

3 Likes
4

I’ll vote in favor of this proposal. Currently I’m top 100 delegate so I approve this proposal to move to the voting process.

Once the token be transferable market dynamics will enter the room and this will allow The Collective to iterate the incentives around the Obol token.

3 Likes
5

I am an Obol Delegate with sufficient voting power, and I believe this proposal is ready to move to a vote.

4 Likes
7

The proposal is written correctly and clearly, but I don’t understand: are we going to make the decision here or by voting on Tally?

8

The proposal states that the airdrop claim ends on April 13. But wouldn’t 90 days be April 24?

1 Like
9

Hey @Jeronima! We have a 2-week discussion period before the proposal moves onchain. Once four top-100 Delegates (by voting power) approve it, the proposal will proceed to onchain voting on Tally in Week 3. You can find more information on how it works here

1 Like
10

Thanks for the heads up. It was a typo error and it is fixed now :slight_smile:

1 Like
11

I am an Obol Delegate Tally profile with sufficient voting power, and I believe this proposal is ready to move to a vote.

5 Likes
12

I am an Obol Delegate “Tally profile” with sufficient voting power, and I believe this proposal is ready to move to a vote.

1 Like
13

I am an Obol Delegate “Tally profile” with sufficient voting power, and I believe this proposal is ready to move to a vote.

1 Like
14

I am an Obol Delegate with sufficient voting power, and I believe this proposal is ready to move to a vote.

Also amplified on X here.

2 Likes
15

I am an Obol Delegate “Tally profile” with sufficient voting power, and I believe this proposal is ready to move to a vote

1 Like
16

At karpatkey, we support unlocking the OBOL token as a necessary step toward broader participation in the ecosystem. Enabling transferability will help decentralize governance and expand OBOL’s utility beyond its initial distribution. However, unlocking alone isn’t enough—what matters is ensuring OBOL remains valuable in the long run.

With the CoinList sale already live, demand for OBOL is being tested in real-time. Looking beyond the initial distribution, it would be useful to clarify how OBOL will function beyond governance and staking. The staking proposal (OIP-1) is a great step, but long-term engagement could benefit from additional mechanisms such as liquidity incentives, lending market integrations, or other DeFi use cases.

The sale page highlights partnerships with Lido, EtherFi, and institutional staking solutions like Quay Cove, which is exciting. Since OBOL is becoming transferable, are there concrete plans to integrate it into lending markets, AMMs, or other DeFi primitives? If so, sharing a rough timeline or priorities for these integrations could help the community better understand OBOL’s role in the broader DeFi landscape.

Finally, long-term sustainability should be a priority. Ensuring that incentives like staking rewards are funded without putting continuous pressure on the DAO’s reserves could strengthen OBOL’s position over time. Exploring treasury and asset management strategies could help maintain a sustainable flow of resources to support OBOL’s role in DeFi and governance.

3 Likes
17

Thanks for putting up this proposal.

Unlocking transferability for the OBOL token is the first step toward enabling efficient governance, value and utility.

As delegates with sufficient voting power, we believe this proposal is ready to move to a vote.

1 Like
18

I’ll be voting yes on this proposal and agree it can to move to the voting process.

2 Likes
19

Hello! I believe this proposal is ready to move to a vote!

1 Like
20

As a Delegate with sufficient voting power, I believe this proposal ready to move to a vote.

1 Like
21

With implementation from OIP#1 we can move to a vote

1 Like