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Custom Pricing Modules in Spaces

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Overview

In the Towns ecosystem, Spaces have the flexibility to define their own pricing strategies through custom pricing modules. These modules are smart contracts that comply with the IPricingModule Interface and are responsible for determining the price of memberships based on various attributes.

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Implementation of Custom Pricing Modules

To implement a custom pricing module, a contract must adhere to the IPricingModule Interface. This interface includes the getPrice function, which can be programmed to calculate prices based on different criteria, such as the total number of memberships minted or other programmable attributes. See more examples in [Recipes].

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Default Pricing Modules in Every Space

Every newly deployed Space in the Towns ecosystem is equipped with two default pricing modules:
  1. Dynamic Pricing Module (default setting):
    • Pricing Strategy: This module adopts a dynamic pricing approach, where the price is influenced by the number of members in the Space.
    • Price Calculation: The price logarithmically approaches $10 USD as membership reaches 1,000, and then again increases logarithmically to approach $100 USD as membership reaches 10,000.
    • Price Cap: Membership prices never exceed $100 USD.
    • Initial Offer: The first 100 memberships are offered for free.
    • Payment Method: Accepts ETH as payment.
    • Reference: For more details, see DynamicPricing.sol.
  2. Flat Fee Price:
    • Fixed Pricing: This module implements a straightforward fixed pricing strategy.
    • Minimum Price: Sets a minimum price of $10 USD for a membership.
    • Payment Method: Also accepts ETH as payment.

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Transaction Fee Distribution

An essential aspect of the pricing modules is the distribution of fees from transactions. These fees are split among key stakeholders:
  • Space Owner: A portion of the fees is allocated to the SpaceOwner, providing an incentive for maintaining and growing the Space.
  • Towns Community: At present, a share of fees contribute to the River Eridanus Association, supporting the overall development and sustainability of the ecosystem. Upon implementation of they buy-and-burn function, the remaining fees will be contributed to the Towns Lodge giving TOWNS tokenholders the decision on how to deploy those funds to further the Towns Protocol.
  • Referrers: Referrers, if any, are also rewarded, encouraging community growth and engagement. Referrers can be set for both members of a Space as well as for the client being used to interact with the protocol.