Metis MIP-4 Proposal: Decentralized Testnet Sequencer and Launch Community Testing

Author: Metis

This is a proposal for a decentralized Testnet sequencer and the launch of the community testing Season 1. Five innovative DeFi dApps will take the lead in this event, promoting interaction through activities and competitions throughout the entire Season 1.
Objective
The purpose of this proposal is to appropriately decentralize the sequencer infrastructure deployed on the Testnet and activate community testing to help Metis developers stress test the new architecture.

Background
The birth of Rollups aims to scale while leveraging the security and decentralization of Ethereum. To achieve this, rollups must inherit these guarantees from the underlying blockchain (Ethereum) and can only do so by implementing two key components: a decentralized proof system and a decentralized sequencer. Most rollups are currently developing or improving their fraud defense mechanisms, but until now, no one has worked on another critical 50%: the decentralized sequencer. Metis has been working on both fronts.

Later in 2024, Metis will launch a decentralized zero-knowledge proof system. This will enhance security, decentralization, and reduce finality time, which has always been a major pain point for optimistic Rollups. But let's return to January. Metis is about to launch the first-ever decentralized sequencer. This will eliminate all single points of failure currently faced by Ethereum L2 and will achieve:

• Enhanced censorship resistance

• 24/7 availability

• Improved security

• Revenue sharing

This is undoubtedly an exciting time for the Metis ecosystem, and the best part is: all community members can directly participate in the deployment of the decentralized sequencer without any coding knowledge, just by participating in community testing.

Proposal

Metis proposes to launch community testing Season 1 on Monday, January 15, focusing on incentivizing interaction with dApps.

Each dApp will have different actions that users can perform to earn points, such as swapping, opening long or short positions, etc., depending on each participating decentralized application (dApps). The dApps participating in Season 1 include:

• League.Tech

• Tethys Finance

• Midas Games

• Netswap

• Hummus Finance

League.Tech is Metis's upcoming SocialFi platform, built on existing players like Friend.tech, but also introducing innovative features such as a unique shorting mechanism, dynamic reputation and badge systems, alliance creation and staking, as well as a three-tier access model.

Tethys Finance is a perpetual contract trading platform (Perps DEX) that allows users to trade BTC, ETH, AAVE, and METIS with up to 50x leverage. Additionally, liquidity providers can stake TLP and bet against traders.

Midas Games is an on-chain prediction market game, starting with a new lottery game!

Netswap is a decentralized exchange and launchpad that enables swaps and allows users to provide liquidity in V2 pools.

Hummus Finance is a unilateral AMM focused on stablecoin swaps. Users can swap stable crypto assets with minimal slippage, and liquidity providers can fund with minimal impermanent loss risk. Hummus recently added weighted pools, allowing liquidity providers to pair stablecoins with BTC, ETH, and METIS, creating deeper liquidity.

Mechanism

The rules for community testing are quite simple. Everyone can participate, and users will earn points based on the actions and quantities they perform in different dApps. However, there are some important mechanisms to consider to ensure successful performance:

Token Minting

The table below describes the number of test tokens allocated to users based on how early they join the airdrop (distributed in different tokens):

Early participants:

In short, the top 100 users will receive $10,000 in test tokens; the top 500 participants will receive $5,000 in test tokens; the top 2000 participants will receive $2,000 in test tokens; the top 10,000 users will receive $500 in test tokens; all users who join afterward will receive $200 in test tokens.

Points

All participants will earn the same number of points by completing each action. But there’s a twist!
If the amount of test tokens held by a participant is greater than their points, their points will be replaced by their amount of test tokens. So, you want to join the community testing token minting as early as possible!

Repeated Actions

For repeated actions, whenever a participant completes an action after their first attempt, they will earn 75% of the points from their previous attempt. This will encourage participants to complete all tasks on the participating dApps, as the first attempt will earn the most points. However, it is important to remember that potential rewards will be proportional to the participant's points ranking, based on points. Participants will be encouraged to earn as many points as possible.

Boosters

Every day, the official Metis account will share a puzzle or question that will provide specific boosts. Some will offer a fixed number of points, some will provide a 1.25x boost to participants' points, and some will have different benefits. Please turn on notifications for @MetisDAO on X 4!

This proposal aims to decentralize the Testnet Sequencer and launch community testing. Assuming the community votes in favor, Season 1 of community testing will begin on Monday, January 15, 2024. Season 1 will encourage interaction with dApps and help Metis developers stress test the decentralized Sequencer. We encourage the Metis community to thoroughly review this proposal today and start voting!

Voting will begin on Thursday, January 11, 2024, and will last for 72 hours. Voting link: https://snapshot.org/#/metislayer2.eth/proposal/0xa888042ef52f175f01fab0ddaa4a17a7c574c084c97e009324d5083d3cff5ec4