Deliverable: A selection of the most promising 5 use cases, a breakdown of why each was selected, and what will have to be determined/validated during the specification phase
KPI: Number of token utility options mapped that score at least 3 (out of 4) on resources required to develop and potential to generate value for SAFE in the to-be-produced Token Utility rubric.
19 use cases that score at least 3 points in at least 3 out of 4 categories.
Highest scored use cases are:
| | Related | TLDR | Resources Required to develop
Estimates the human and financial capital required to develop. Less resource required = higher score. | Risk (Econ, Legal, Ops)
Estimates the non-development risks related to the use case. Less friction = higher score | Potential Value Capture
Estimates the share of value that could be attributed to SAFE. More value = higher score. | Market Size
Estimates the current and potential demand for this feature/use case. More demand = higher score. | Persona | Total Score | Decision | | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | | Safings Account | ‣; ‣; | The equivalent of traditional savings accounts at banks: Allowing users to deposit and earn interest (plus Safe points). E.g, by deploying into sDAI, stETH, or into lending. Can add Auto Invest as an option. | 4 (requires a module to zap into different Saving accounts (e.g., sDAI), some rules (e.g., min. lock-time), some promotion (points), and internal asset mgmt/risk/legal work to determine eligible strategies | 4 (requires internal asset manager capabilities and legal clarification) | 5 (the revenue cut for SAFE is likely lower with such “simple” strategies. Could potentially take a larger fee in exchange for some SAFE rewards 7-15%) - alternatively, we can look into, e.g., 5% fee down to 1% for highest stake tier. Can also look into Tori pricing. | 3 (assuming that some whales and DAOs would move from ETH to stETH or USDC to sDAI when the decision is made easy for them (one click). | DAO’s, whales, retail | 16 | Work out further | | Vault Marketplace | ‣; ‣; ‣; ‣ ‣ | A marketplace/app store for asset managers (vault operators) to promote asset mgmt services. Safe users can deposit into yield-generating strategies. Vault operators can stake SAFE to unlock features (freemium). The community (guardians) can help curate the allowed list for vault operators. Can add Auto Invest as an option. | 3 (requires a new marketplace and related staking module, dedicated UI/UX, some BD work, | 4 (requires thorough vetting of vault operators, which could partially be outsourced to the community. | 4 (success fee of vault operators shared with Safe, plus staking requirements for vault operators) | 5 (assuming users appreciate the faster UX and safety when depositing into vetted vaults directly through Safe) | DAO’s, whales, funds, retail, Vault Operators | 16 | Work out further | | Report Generation | ‣ | Quick report function for power users, subscription-based on demand | 4 (requires dev resources to build the module (or vet and integrate existing solutions), some marketing, pricing, and maintenance + integrating user feedback in the initial phase). Should be quite scalable after implementation. | 5 (nobody uses it; other groups already provide similar/better functionality, | 2 (depends on willingness to pay, which is probably not very high, as this could be done internally for sophisticated users) | 2 (likely only power users such as treasury managers of DAO’s and fund managers (maybe whales) would use this feature. On the other hand, the low spend is easily justifiable) | Power users and groups that operate an on-chain treasury, e.g., treasury managers of DAOs, liquid funds, foundations,… | 13 | Drop - but could be part of Safe Premium Account. | | Native on-/off ramp | ‣ | Enable Safe-native fiat on- and offramp | 2 (if Safe builds its own ramp, this becomes a new startup within Safe. If Safe integrates an existing solution provider, the effort is likely still rather high. Requires BD, vetting, negotiations, SLAs, legal, implementation, testing, marketing, continuous monitoring, etc.) | 3 (depends on implementation partner vs. self-build. Both have their own risk profiles. Both have several points of failure) | 5 (if Safe successfully competes with CEXs as the leading ramps, the potential value capture is very large). | 4 (given that retail will likely use CEXs for the foreseeing future, the market is probably limited to few larger institutions, foundations, funds, that need regular on-/off ramp. These could co-create as initial project partners for a guarded roll-out) | Institutions, funds, foundations, DAOs, | 14 | Drop - but can continue to explore partnerships such as Gnosis Pay. | | SAFE App Curation | ‣; ‣ | Developers stake SAFE for integration and favorable placement in the Safe front end. | 3-4 (requires development of an integration pipeline and staking contract) | 4 (relatively low risk, but there would need to be some kind of audit oversight) | 2 (staking wouldn’t provide ongoing revenue) | 2 (the number of app developers is still quite small) | Developers and onchain companies | 12-13 | Drop - could be hard to have curation through Staking instead of regular votes. | | Safe RWA Module | ‣ | Allows investments into RWAs | 3 (requires developing improved KYC/KYB tools for Safe and integration/bd with RWA protocols. | 2 (depends on implementation partner vs. self-build. Both have their own risk profiles. Both have several points of failure | 4 (there’s a growing demand for RWA access, if Safe grants access to more options with reduced friction, this could open up significant value and justify a fee). | 5 (the demand for RWAs is relatively large, especially among larger stakeholders (DAOs / Institutions). | Institutions, funds, foundations, DAOs, | 14 | Integrate into Vault Marketplace | | Safe Premium Account | ‣ @safe gas ‣ ‣ | The Safe (Premium) Account merges selling Safe Domains (which aren’t perceived as valuable enough by themselves unless we get control of the .safe domain) with additional features (Gas station + potential cosmetic changes) and perks (free use on basic support services and discounts on premium services + potential third-party benefits) to reward Active Safe users (staking + using). This can be seen as an extension of the SAFE passport. The systems would operate with different Tiers, comparable to Crypto.com tiers and Airline loyalty systems.
Priority on redeploying on more/all networks and advanced recovery hub. | 3 (requires the development of additional UI and potential development of the support services, although some of these could be outsourced to third parties). | 5 (should not introduce new risks as all components are already part of the Safe ecosystem or UI in some way) | 4 (the Safe Premium account incentives SAFE staking and usage; in addition to the increased demand for SAFE and overall increase of usage, the Safe Premium Account can also generate a revenue share from the (third-party) services offered. | 3 (the addressable market would equal the number of Safes operated, as each Safe operator could benefit from these perks. The best case would allow for utilization by third-party UIs to further increase | Power users and groups that operate an on-chain treasury, e.g., treasury managers of DAOs, liquid funds, foundations | 15 | Work out further | | Quick Report Creation | ‣ | Allows for a lite version of Accounting tools built on Safe to export a Web3 native report. | 4 (would need to develop an integration with one of the solutions built on Safe) | 5 (little to no new risks as long as the right disclaimers are added) | 2 (the value to be captured by SAFE is relatively low as the third-party provider likely takes the largest share. | 3 (est that power users would use the advanced solutions. Could be useful for fewer teams that don’t have a CFO such as DAOs and SubDAOs) | DAO, Sub-DAOs, Start-ups) | 14 | Drop - Can potentially provide discounts to the accounting tools for Safe Premium Accounts | | Integration Queue | ‣ | Protocols stake a fixed percentage of the total supply of SAFE tokens to be included in the integration queue. | 3 (will need to develop the queue logic and integrate into the Safe UI) | 4 (must ensure mal-actors are kept out through some form of veto process) | 4 (could increase the number and speed of new UI integrated apps and improve overall app standardization) | 3 (seems to optimize for mid-curve protocols as the top protocol will likely be prioritized natively | App developers, DAO | 14 | Integrate into Advanced Marketplace | | Advanced App Marketplace | ‣ | Create a marketplace for Safe Core and UI app and perks. SAFE can limit the number of core apps per vertical to increase competitiveness and should review these integrations over given periods. Value will be captured on the Safe native UI and a subset of any other solution built on Safe Core. | 3 (will need to develop a Marketplace, a process for managing the marketplace and process for app proposal curation. | 3 (will increase dependcy on key third party apps as we increase their visibility and utility in the Safe ecosystem - need to manage the relationships, technical and legal risks associated) | 5 (by negotiating terms as a large, critical ecosystem Safe can likely get the best deals available - resulting in significant value generation, of which a share can be captured by SAFE) | 4 (existing and new app developers may want to plug into the Safe Marketplace to get significant adoption of their solution) Referrence to Uniswap. | App developers, DAO | 15 | Work out further | | Safe Ecosystem Hub Curation | ‣ | A more decentralized version of the Safe ecosystem hub could be valuable for adding apps and information quickly and continuously. It could allow for optimistic submissions for x amount of SAFE tokens (let’s say 1K) and reviewers who can flag something to be removed/changed. | 4 (will need to develop a process to submit, populate, and admin submission) | 4 (little new risk if made clear that this is community curated and potentially hosted outside of Core entities) | 2 (relatively low value generated here) | 2 (while access to the info can be useful, it’s likely that the best apps will have a deeper and more visible integration) | App developers, Users | 12 | Drop - can potentially have a publicly visible and more accessible page somewhere | | Additional cashback and Perks from staking | ‣ | SAFE power users / stakers could get additional SAFE rewards and app discounts based on their tier. | 3 (will need to be modified to allow for Tier allocations and additional perks based on those tiers. It will also require BD/integration of partner solutions. | 5 (little to no new risks as long as the right disclaimers are added) | 4 (Could generate significant additional usage of Safe Accounts as users will get better UX + economic benefits) | 4 (estimate market would be equal to existing Safe Passport users + a subset of existing EOA users who will come for the perks). | DAO’s, whales, funds, retail | 16 | Integrate into Safe Premium Account | | Safe LP Token Staking (80/20) | ‣ | Creating an 80/20 LP position on Balancer Protocol to utilize as a staking token in the SAFE ecosystem to increase onchain liquidity and trading volume for SAFE. Can leverage existing relationships and programs to increase returns for SAFE Stakers. | 4 (will need to integrate LPing and staking into the UI. Decide to leverage AURA or not, and how to distribute rewards) | 3 (some protocol risk from Balancer + other tech-used, relatively low legal risk if we either A. make voting part of the reward process or B. reward in SAFE tokens. | 5 (By utilizing the 80/20 structure, stakes will have increased returns while significantly increasing DEX SAFE liquidity. | 4 (The Estimated market is larger than the existing SAFE holders, as investors may want to hold/hedge this position to earn yields. | DAO’s, whales, funds, retail | 16 | Work out further | | SAFE Investments and Token Swaps into Ecosystem Projects | ‣ | Create a structure for investing into new Safe ecosystem startups with SAFE tokens and/or swap with more mature projects early in their lifecycle. | 3 (Primarily ops, governance, BD) | 4 (Some legal risks around ownership stake in ecosystem projects) | 4 (Provides a model for mutual upside in ecosystem growth, granting Safe an ownership stake in key projects) | 4 (Sizable market of projects in the Safe ecosystem that would benefit from value alignment) | App developers, ecosystem projects and partners | 15 | Integrate into Value Alignment Program | | Value Alignment Program | ‣ | We propose a Value Alignment Program (VAP) that allows Safe ecosystem projects to pledge a portion of their tokens, equity, or revenue in exchange for Safe tokens, credibility, and ecosystem support. With VAP, Safe could capture value from ownership and/or revenue generation of selected ecosystem projects in return for providing credibility. | 3 (Primarily ops, governance, BD) | 3 (Some legal risks around ownership stake in ecosystem projects) | 4 (Provides a model for mutual upside in ecosystem growth, granting Safe an ownership stake in key projects) | 4 (Sizable market of projects in the Safe ecosystem that would benefit from value alignment) | App developers, ecosystem projects and partners | 14 | Use some elements in Marketplace + Fee engine. | | SAFEty Staking Module Insurance Model | ‣ | Creating a SAFEty Module - a Staking module for SAFE tokens and SAFE LPs to add more security to the Safe Protocol and earn Safety incentives. It would start with Protocol level protection (Safe Modules functioning - such as Recovery and Swap) and could further extend to assets/apps afterward. Could tie levels into Premium Account. | 3) We must develop a staking mechanism, potentially leveraging/forking AAVE, determine which elements to insurance, and define the payout process. | 2-3 (adds significant legal and operational risks that have to be considered) | 4 (Insurance can create a balance between rewards received by Stakers and the value they provide to the ecosystem, as they have to contribute to its safety in exchange for additional rewards). | 3 (while “insurance,” even if it doesn’t cover the entire position, increases confidence and trust, it would likely not be sufficient for large stakeholders) | DAO’s, whales, funds, retail | 12-13 | Drop - We can look into this again once other elements of Safe, such as Stacking and App Marketplace, mature. | | Fee Engine SAFE Staking | ‣ | Stake SAFE to back Fee Credits for agent-assisted fee engine settlement | 3 (Requires a staking contract and integration into the Smart Account Fee Engine’s Fee Credit issuance) | 3 (Creates additional economic risk in using SAFE as collateral for fee settlement) | 4 (Strong utility for the SAFE token to capture the value of fee revenue and settlement) | 4 (High potential demand for fee settlement, potential market size of billions in settlement) | whales, funds, financial institutions, market experts | 14 | Integrate into Smart Account Fee Engine | | Fee Revenue Tokenization | ‣ | Creates a mechanism for module creators to tokenize future revenue flows and utilize them in DeFi | 3 (Engineering resources to develop a tokenization process tied to the Fee Engine — relatively straightforward via payment splits and standard token contracts) | 3 (Legal risk around tokenization and any liability for the SafeDAO and Foundation. Thorough assessment required to address any regulatory concerns). | 3 (Potential source of sizable ongoing revenue for SafeDAO and ownership in its ecosystem) | 3 (Potential demand for onchain revenue sharing) | Module developers, funds, whales, retail, communities | 12 | Integrate into Value Alignment Program | | Ecosystem Contribution Rate | ‣ | A percentage of Fee Engine revenue governed by the DAO and used to reward SAFE stakers | 4 (Small additional work required beyond the Fee Engine development itself) | 4 (Risks are relatively small and known) | 4 (High potential value accruing to SAFE from Fee Engine revenue) | 3 (A successful module ecosystem could provide substantial revenue to the DAO and grow into a sizable market of an onchain app ecosystem) | Module ecosystem, SAFE holders | 15 | Integrate into Smart Account Fee Engine | | Smart Account Fee Engine (S.A.F.E.) | ‣ | Mechanism to facilitate value capture for developers and Safe | 2 (Requires a substantial engineering effort including research, smart contracts, and auditing) | 4 (Economic risks around fee settlement) | 5 (Value capture of the module/app ecosystem can present a massive value proposition for SAFE and open up a number of future token utilities) | 4 (App and module developers seek seamless sources of revenue, and this will continue to grow) | Module/App developers, consumers, institutions, onchain entities, companies | 15 | Work out further | | Safe Native Bridging | ‣ | Utilize assets in Safe to create bridging liquidity and let users benefit from the value created. | 2 (Requires development of bridging infrastructure) | 3 (Some economic risk from bridge hacks) | 3 (Funds held in bridges could produce sizable yield) | 3 (Network Abstraction is becoming increasingly necessary for users) | Retail | 11 | Drop - can continue to explore with Network Abstraction | | Bot Tax | ‣ | Tax autonomous agents that leverage Safe’s infrastructure. For example, trading/yield farming bots are taxed x% of gains as a success fee | 3 (Some engineering resources required to develop the fee infra) | 4 (Minimal risk) | 3 (Safe could become the default smart account for onchain autonomous agents) | 3 (Autonomous agents are expected to continue to grow and become a significant portion of onchain activity) | Autonomous agents | 13 | Incorporate into Smart Account Fee Engine |