DEFOO Decentralization Roadmap

DEFOO Economy - Decentralization Roadmap

MFH Labs is building a gradual and stable transition from centralized control to a fully decentralized football ecosystem. This process unfolds in five key phases, ensuring secure management of new IP rights and tracking the development of the emerging economy.

In the Web3 space, we have often witnessed inspiring concepts that attempted to introduce full decentralization from the very start. However, over time, it has become evident that excessive freedom in the early stages leads to unpredictable and unstable development, as well as potential system manipulations. To sustain and build a great vision, it is essential to combine multiple business models that ensure stability and growth in the early stages of the decentralized ecosystem, while also defining the conditions for its full decentralization.

MFH Labs has a clear DEFOO ECONOMY development strategy, and through transparent communication, we aim to drive our vision and share it with the community.

We begin with a hybrid business model, utilizing Web3 infrastructure for inclusivity, transparency, and a shared value model through the licensing of each token. At the same time, we retain IP rights management within MFH Labs to ensure stable development and ecosystem growth.

However, our ultimate vision remains OPEN FOOTBALL—a fully decentralized football economy where fans take on a key role and control the entire ecosystem and football IP rights.

Below are the phases that outline our DEFOO IP ROADMAP:

Phase 1 – Core License

Rights: ART Football Collectibles License Focus: Establishing the first official collections and the core Web3 infrastructure

MFH Labs has full control over the IP and its management through the DeFoo Engine, enabling further development and licensing use cases.

NFT holders gain the right to sell artworks as NFT paintings, following the terms of the license, and can generate additional income in this initial phase.

MFH Labs retains final control over the marketplace and partnerships to ensure the ecosystem’s sustainability.

NFT Public Mint & Royalty Community Fee is active, with 10% of total public sales and royalties from the entire system flowing into the DEFOOVERSE DAO community fund.

Phase 2 – Introduction of DeFoo Market Licenses

Rights: ART Football Collectibles License + Collaborative Merch License Focus: Enabling NFT holders to monetize football moments

MFH Labs retains full control over the IP and its management through the DeFoo Engine and Market, further developing the licensing model.

NFT holders gain the ability to monetize football moments by commercializing iconic minutes represented as NFTs. The commercial license extends beyond selling artworks, allowing partnerships with artists and brands. With this license, the NFT holder manages their minutes, approves collaborations, and sets rental prices for their assets.

MFH Labs still oversees key partnerships and infrastructure, but NFT holders can now actively participate in the creative and financial aspects of ecosystem development.

NFT Public Mint & Royalty Community Fee remains active, with 10% of total public sales and royalties flowing into the DEFOOVERSE DAO community fund.

Phase 3 – Introduction of DEFOOVERSE DAO (Beginning of Decentralized Governance)

Rights: NFT Football ART Collectibles License + Collaborative Merch License + Governance License Focus: Initiating decentralization through DAO-managed community funds

MFH Labs maintains control over MFH IP and its management, while the community, through DEFOOVERSE DAO, governs the fund and initiatives derived from project financing, partnerships, or fan zones.

NFT holders take over the management of DEFOOVERSE DAO, including:

Managing the community fund formed from NFT mints, royalties, and sponsorships
Approving projects that contribute to further decentralization of the football economy
Overseeing initiatives such as Fanzone SubDAO, Partners SubDAO, and Project SubDAO

NFT holders gain voting power through on-chain governance, but MFH Labs still retains an operational oversight role. In the early DAO development stages, MFH Labs holds pivot and veto rights.

NFT Public Mint & Royalty Community Fee remains active, with 10% of total public sales and royalties flowing into the DEFOOVERSE DAO community fund.

Phase 4 – Partial Decentralization (Community Gains Control Over Certain IP Rights)

Rights: NFT Football ART Collectibles License + Collaborative Merch License + Governance License + New Project IP Rights within the Defooverse DAO ecosystem Focus: The community begins managing new IP rights and initiatives

MFH Labs still holds control over MFH IP and its management, while the community, through DEFOOVERSE DAO, governs community funds, new initiatives, and IP rights derived from project financing.

NFT holders take over DEFOOVERSE DAO governance, managing:

The community fund, formed from NFT mints, royalties, and sponsorships
Approving projects that further decentralize the football economy
Managing new IP rights created through initiatives such as Fanzone SubDAO, Partners SubDAO, and Project SubDAO

Through DEFOOVERSE DAO, NFT holders have an active role in decision-making via on-chain voting. However, MFH Labs still retains an operational oversight role, including pivot and veto rights in the early DAO phases.

NFT Public Mint & Royalty Community Fee remains active, with 10% of total public sales and royalties flowing into the DEFOOVERSE DAO community fund.

Phase 5 – Full Decentralization (Community Gains Complete Control Over IP Rights)

Rights: NFT Football ART Collectibles License + Collaborative Merch License + Governance License + Full Power IP Rights within the Defooverse DAO ecosystem Focus: Full decentralization of football IP ownership and governance

DEFOOVERSE DAO gains control over MFH Labs and IP management. It also oversees the community fund, new initiatives, and IP rights derived from project financing, effectively managing the entire DEFOO ECONOMY ecosystem.

NFT holders take over DEFOOVERSE DAO governance, including:

Managing MFH Labs and associated IP rights
Overseeing the community fund, sourced from NFT mints, royalties, and sponsorships
Approving projects that drive further football decentralization
Managing new IP rights created through initiatives such as Fanzone SubDAO, Partners SubDAO, and Project SubDAO

Through DEFOOVERSE DAO, NFT holders gain full decision-making power via on-chain governance, including future partnerships and ecosystem development strategies.

The Process of Football IP Transition and Decentralization

The transition towards fully decentralized football IP must have clearly defined conditions to ensure responsibility toward all stakeholders who contributed to the ecosystem’s development, including the MFH Labs core team, partners, and investors.

Key Conditions for IP Transition

Total Value Locked (TVL): The DAO must demonstrate financial stability with a consistent TVL above a specified threshold.
Active Nodes: A decentralized network must have a minimum number of operational nodes to ensure stable governance.
Market Trading Volume: The economy must be functional and liquid, maintaining sustainable trading levels.
Creators, Core Team, and MFH Labs Investors’ Rights: Mechanisms must ensure a fair transition and compensation for contributions to the ecosystem.

Long-Term Sustainability and Oversight Before IP Transition

Annual Review: MFH Labs will conduct an annual review for three years to ensure DAO compliance with all conditions.
Maintaining Key Conditions: If any key metric (TVL, nodes, volume) falls below the threshold, the process resets and must be met again.
Commitment to Football Decentralization Development: Once the IP is transferred, the DAO must finance football decentralization initiatives through an investment fund and decentralized principles.

Openness to Discussion and Model Refinement

MFH Labs has released this first version of the decentralization roadmap to ensure transparent development and share the vision with the community from the start. This document is not final, and we reserve the right to refine and evolve this framework over time.

The conditions outlined in this document must be accepted by all stakeholders participating in building DEFOO ECONOMY.

We welcome community feedback to shape the best football IP decentralization model together.

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Last updated 1 year ago