Introduction
Background
The emergence of "Bad Sammy" as a memecoin is deeply intertwined with one of the most significant financial collapses in the history of cryptocurrency—the downfall of FTX. FTX,
once a titan in the crypto exchange market, was heralded for its robust trading systems and influential partnerships across major financial and entertainment sectors. Led by Sam
Bankman-Fried (SBF), FTX was poised to redefine global finance through crypto.
However, in late 2022, FTX faced an unexpected and rapid liquidity crisis. Reports surfaced about mismanagement and misuse of customer funds, along with risky financial practices that
left the firm vulnerable to market volatility. This culminated in FTX declaring bankruptcy, resulting in billions of dollars in customer assets being locked up or lost.
The fall of FTX not only highlighted the risks inherent in the crypto industry but also shook investor confidence and ignited a broader discussion about the stability and security of decentralized financial systems.
"Bad Sammy" was conceptualized in the aftermath of these events. Its creation aims to satirize the missteps that led to such a monumental failure, using humor and creativity to provide a
cautionary tale within the crypto community. More importantly, it introduces a mechanism for restitution—channeling proceeds from the coin and associated NFT sales into a fund designed to repay affected FTX victims. This initiative not only serves as a novel form of financial redress but also as a critical reflection on the responsibilities of leadership within the crypto space.
Although the entertainment value in our Bad Sammy cartoon animation videos will be aimed at parody, we hope to learn from the mistakes of FTX and add truthfulness along with comedy in the episodes. There will be entertainment-only episodes as well as real-world crypto updates giving you real facts and news going on in the crypto industry. These will be performed by our cartoon Sammy live from his jail cell!
Purpose
The primary purpose of "Bad Sammy" is to harness the cultural impact of memecoins to facilitate a form of financial and emotional restitution for the victims of the FTX collapse. This project is not just a token; it's a movement aimed at rectifying the past through innovative, community-driven solutions while promoting a narrative of accountability in the crypto space.
Financial Restitution
At its core, "Bad Sammy" seeks to provide a monetary return to those who suffered from the FTX bankruptcy and other victims in the future. By allocating a significant portion of the coin's buy and sale tax (2% total) and a percentage of NFT sales to a restitution DAO fund, "Bad Sammy" aims to disburse funds to verified victims of the FTX collapse. This initiative serves not only as a direct financial aid but also as a symbol of solidarity and support from the broader crypto community, highlighting the potential for cryptocurrencies to play a role in remedy and recovery.
Educational Outreach
"Bad Sammy" is dedicated to raising awareness about the risks and responsibilities associated with investing and participating in the crypto markets. Through its parody animation series, which will detail the misadventures and consequences faced by SBF, the project intends to educate viewers on the importance of transparency, ethical management, and the critical need for decentralized finance. These narratives will be crafted to engage the audience while imparting valuable lessons on financial prudence and the impact of ethical lapses in leadership.
Community Engagement and Support
By involving the community in the narrative of "Bad Sammy" through interactive NFTs and participatory decision-making processes for fund distribution, the project fosters a sense of ownership and involvement among its community. This approach aims to rebuild trust in crypto initiatives by demonstrating a commitment to community values and collective decision-making, setting a new standard for project accountability.
The Bad Sammy Coin
Tokenomics
The total supply of "Bad Sammy" tokens is fixed at 10 billion. The token distribution strategy is carefully designed to ensure balanced liquidity, community rewards, project sustainability, and long-term incentives for the development team. Below is a detailed breakdown of the token allocation:
Total Token Supply: 10 Billion Tokens
1. Token Sale and Liquidity for DEX & Marketing (2 Billion Tokens)
Purpose: These tokens are earmarked for the public token sale, which will raise funds for providing liquidity on decentralized exchanges (DEXs) and supporting marketing efforts for the project.
Marketing: The raised funds will also be used to expand marketing efforts, including partnerships, influencer campaigns, and community-building initiatives to promote adoption and visibility.
2. Liquidity Reserve (1 Billion Tokens)
Purpose: This reserve will be directly used to add liquidity to DEX platforms, ensuring that there is enough depth in the market for healthy trading and stable token performance.
Lockup:This reserve will be locked for at least 2 years.
3. Founders Tokens (1 Billion Tokens - Locked for 1 Year)
Purpose: This allocation is reserved for the founding team, ensuring that they have long-term incentives to continue developing and supporting the project.
Vesting Schedule: The founders' tokens will be locked for the first year and gradually unlocked afterward to prevent market manipulation and ensure that the team's interests are aligned with long-term project growth.
4. Staking Rewards (1 Billion Tokens)
Purpose: These tokens are set aside to reward users who participate in staking for the first year of the project. Staking will incentivize users to hold their tokens and actively engage with the ecosystem, contributing to network security and token stability.
5. Project Treasury (1 Billion Tokens)
Purpose: This treasury is reserved for the ongoing development and operational needs of the project, including future feature expansions, infrastructure upgrades, and unforeseen expenses.
6. Airdrop for Specialty NFT Owners (4 Billion Tokens)
Purpose: To reward early supporters and NFT holders, 4 billion tokens will be airdropped to owners of specialty NFTs. This not only incentivizes early participation but also creates a strong connection between the NFT and token ecosystems within the "Bad Sammy" project.
Distribution Strategy: The airdrop will be proportional to the ownership of specialty NFTs, ensuring that committed community members benefit from holding these NFTs. Airdrops will be distributed over time to avoid market flooding and ensure stable token distribution.
Token Tax
1. Victims DAO Fund (0.5% of each transaction)
Purpose: A portion of the transaction tax is allocated to the Victims DAO Fund, directly supporting the victims of the FTX collapse. This ensures that with every transaction, a continuous stream of funds is directed towards restitution efforts.
Impact:This mechanism provides an ongoing source of funding for victim compensation, adding an ethical dimension to every trade within the ecosystem.
2.Staking Rewards (0.25% of each transaction)
Purpose: Part of the tax is directed to the staking pool, enhancing the rewards for participants who stake their tokens. This encourages long-term holding and active participation within the ecosystem.
Benefit: By providing regular contributions to the staking pool, the project fosters a stable and engaged community, rewarding those who contribute to the network's security and liquidity.
3. Token Burn (0.25% of each transaction)
Purpose: This portion of the tax is allocated to a token burn mechanism, permanently removing tokens from circulation. This process helps reduce the total supply over time, potentially increasing the value of the remaining tokens.
Outcome: The deflationary effect created by the token burn aims to create a scarcity that can benefit long-term holders and enhance the overall token economy.
4. Bad Sammy Animation Studio (1% of each transaction)
Purpose: The largest portion of the tax is allocated to funding the "Bad Sammy" animation studio. This ensures a steady flow of resources to produce weekly and seasonal episodes, keeping the community entertained and engaged.
Usage: These funds will be used for animation production costs, including hiring talent, animation tools, marketing for the series, and ensuring a consistent release schedule.
NFT Sale and Tier Structure
The "Bad Sammy" project introduces a unique NFT sale featuring various tiers of rarity, each offering distinct benefits and utilities. These NFTs not only serve as digital collectibles but also as integral components of the project's ecosystem, providing holders with a range of rewards and the opportunity to influence future utilities.
NFT Tiers
The NFTs will be categorized into multiple tiers, ranging from common to ultra-rare, each with its own set of perks and potential utilities. The rarity tiers will include:
Common Tier: The most accessible NFTs, offering basic perks and a smaller airdrop of Bad Sammy tokens.
Rare Tier: Mid-level rarity, providing additional benefits and a larger token airdrop.
Epic Tier: High-level rarity with significant perks, including a substantial airdrop and access to more exclusive utilities.
Legendary Tier: The rarest and most coveted NFTs, offering the highest level of rewards, the largest airdrop, and potential access to premium utilities.