$RLY is the governance token of the decentralized Rally Network. The Rally Network is not subject to centralized control. Instead, holders of $RLY vote in new creators as well as decide on core economic proposals in the network.
$RLY can also be bridged in from the Ethereum mainnet to the Rally sidechain where it can be converted to, and is the underlying asset backing, Creator Coins. Creator Coins inherit the liquidity of the entire Rally Network through an automated money market (AMM) utilizing a token bonding curve. Every net positive Creator Coin purchase requires more $RLY tokens to be staked into smart contracts underlying the Creator Coin.
A significant portion of the total $RLY token budget is allocated to network rewards (currently called Community Activity Rewards). Every hour of every day, creators who are growing their $RLY backing via more demand for their coin are accruing rewards in the form of $RLY that gets dropped periodically to the creator as well as users. This rewards system will continue to evolve.
To learn more about Creator Coins, we recommend reading the official explainer here.
Rally’s mission is to bring the next 100 million users into crypto. By leveraging a sidechain, the Rally Network is able to offer key usability features such as easy account creation (no need to manage a wallet), fiat on-ramps, low transaction fees, high transaction speeds, vertically integrated wallets and streamlined user interfaces. Additionally, the power of Creator Coins lies not in their existence alone, but in the powerful use cases that can be achieved. Rally’s sidechain API allows Creator Coins to operate as true “programmable money”, allowing Creator Coin information and transactions to be pulled outside of Rally.io. Creator Coins are already being integrated into streamer tools, Discord bots, websites and ecommerce stores, and this ecosystem will only grow due to Rally’s sidechain design.
That said, all Creator Coins are backed by $RLY, an ERC-20 token on Ethereum mainnet. While the day-to-day interactions on Rally happen on the sidechain, all the $RLY liquidity is on mainnet and is backstopped by the security of Ethereum. Users can use $RLY to “bridge in” and “bridge out” of the sidechain at any time.
There is a growing tension between creators and the social media platforms that they homestead on. While creators drive the value and engagement for these platforms, they face significant issues such as lack of control in their fan relationships, poor economics and monetization, unpredictable policy changes, and censorship.
The Rally Network opens up new monetization opportunities for creators that they themselves control, while also creating better alignment with fans by removing gatekeepers. It also empowers creators to let fans be a part of the economy being created around a creator’s brand.
Rally currently has a variety of Twitch streamers, influencers, musicians, artists, brands, Discord server communities, and other types of content creators on the network. To provide a few quick examples:
If you successfully participated in the $RLY token sale and distribution and received an allocation, you will be able to see your $RLY tokens in your CoinList Wallet sometime in Q2, 2021. Please note that those tokens will be locked and will not be released until October 4, 2021. You can find more information about the release schedule here.
The Rally community is committed to expanding the reach of $RLY in a compliant way. ns. Due to the regulatory uncertainty in the U.S, Canada, and China, $RLY tokens will not be available for purchase during the $RLY token sale and distribution to prospective participants in those, and other CoinList unsupported jurisdictions.
We will display payment information once the Sale and Distribution Period starts. You can pay with USDC, BTC, or ETH. Payments made in USDC (“USD Coin”) will equate to the value of one U.S. Dollar ("USD") regardless of fluctuations in USDC.
If you fund your account and purchase tokens with USDC, there are no fees. You can deposit USDC into your CoinList Wallet anytime at https://coinlist.co/wallets.
If you fund your account and purchase with ETH or BTC, it will be converted to USDC at the time of purchase. An estimated conversion rate will be shown at the time of purchase and you will also incur a 0.50% transaction fee from CoinList for converting such funds. All purchases will be denominated in USD. You can deposit ETH and BTC into your CoinList Wallet anytime at https://coinlist.co/wallets.
Expect to see significant growth in Rally’s developer community that will drive a multitude of new and interesting use cases. Additionally, core functionality on Rally.io will continue to evolve, as well as Community Activity Rewards. Expect to see new and interesting influencers and creators launch their own Creator Coin, as mass market adoption of social tokens continues.
Rally is a decentralized project and, as its community continues to grow and mobilize, the community treasury and $RLY grants approved by the community will continue to incentivize individuals, agencies, developers, and organizations to build revenue generating businesses on top of the network.
The token price will be determined with the reference price set based on a trailing average methodology of the 15 to 45 day window prior to the launch. CoinList will set a markdown from the reference price within the range of 10-30% that will be applied in exchange for lockup and release restrictions on all $RLY distributed. The exact timeframe, methodology, markdown, and price per token will be announced within 24 hours prior to the launch.
Tokens purchased from the $RLY sale and distribution will have a 12 month release period with a 6 month cliff. 50% of the tokens will unlock after 6 months after which tokens will follow a monthly linear release schedule.
The final price of $0.60 per token was determined by taking $RLY’s 20-day trailing average from March 11, 2021 to March 30, 2021 and applying a 30% markdown to that. The 20-day trailing average is $0.86. After applying the 30% markdown the final price came out to $0.60. The March 11 starting date was chosen as that was one day before Rally’s CoinList Distribution Community Treasury Snapshot Proposal was published. Price data was pulled from CoinMarketCap and the calculations can be found in this spreadsheet.