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According to this project, “nouns” are an experimental attempt to improve the function of the on-chain avatar community. In this Motley Fool Live segment from “The Crypto Show,” recorded on June 1, Fool.com contributors Travis Hoium and Jon Quast take a closer look at the Nouns NFT DAO.
Travis Hoium: The Nouns DAO is, and this is what they call it, is Nouns are an experimental attempt to improve the function of on-chain Avatar community. The image that you see there is not an image that is in a database that has been pulled off. It’s actually an on-chain image. I don’t remember the exact pixel numbers, but it’s like 40 by 40 pixel NFT, it lives on chain so nobody can change it. It’s also a CCO so basically the public can use it. You may have seen these glasses elsewhere. I’m seeing people make hats and add the glasses to their image on Twitter. That’s where it comes from. Is it the announced DAO? What they do to fund themselves is nine out of 10 announced sales go into the announced DAO for the first year. The 10th announced sale goes to the nounders, or the founders of the projects. There are 10 people that are involved there and they’ve a multi-rig wallet that they basically share. Basically every ten days or so they get a couple of $100,000 to split between the 10 of them. If I could just still the screen here for a second, Jon.
I thought it was interesting to go through what this looks like. This is the announced side. This is actually, just a few minutes ago, the last auction ended. Right now the current bid on the current noun, which I actually, you can, as the auction ends, then you have an upvote or downvote on what the next noun looks like. [laughs] I actually voted on this one. I’ve never done that before. I haven’t seen the changeover. But there was one they got downloaded and then this one got upvoted. But you can see the transaction that just completed about 15 minutes ago was this noun which is going ahead on the image there. It was sold for 117.93 Ether, and this is the winner. If we go back a couple here, we can show you. Here you go. Here is the E&S NFT that we talked about a little bit earlier so this is actually somebody who owns this ENS NFT and purchased this a few days ago for 102 Ether. This was the voting mechanism that took place, and it’s just a thumbs up or thumbs down, which I thought was really interesting so there’s basically a generator that happens in the background and then you can actually submit art as well.
But the DAO part of this I think is really cool. You can go back in history, there have been 87 proposals to this DAO that they vote on, and here is the things that they do, the coloring book. Somebody does a whole proposal and says, hey, here’s what I want to do, here’s what I want to be paid for it. There is a basically a contract that’s on-chain that they propose and they created the coloring book. Somebody else created, the low amounts, which is a side project. This one does an NFT sale every 15 minutes. The exact same concept, if they’re miniature versions. This is not an associated project, but they sold a noun to the real noun as part of one of their DAO proposals to bring them into this community.
I think it’s just a really cool way to think about DAOs in community and art. You can also buy these on the secondary. I just took these up on Opensea so this is a regular nouns and then there are little nouns here as well that are available on the secondary market. Just an interesting NFT project that brings in some of these concepts that we’re talking about that seems to be at least limited in scope enough to be able to function the way that you would think a DAO would function. At least that’s my take. My take on it is that they thought some of these things through enough to go, like we can actually have a DAO function where people vote we can do interesting little projects like a coloring book. There’s a children’s book in all different cool stuff, so that was a cool project?
Jon Quast: Yeah, I couldn’t agree more, it’s very interesting how they do this and because there’s only one new NFT today, there’s very limited community right now, and they’re making some interesting proposals. Twenty percent of the treasury, for example, staked on the lighter DAO. I mean that’s going to generate income, so very interesting.
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