FINAL-Proposal: Fanteasy

Treasury
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Fanteasy: Revolutionizing Adult Entertainment with Livepeer

Project Overview

Fanteasy is innovating within the adult entertainment industry by integrating Livepeer’s decentralized video transcoding and Storj’s distributed storage solutions. This combination significantly reduces infrastructure costs, enhancing our platform’s competitiveness by offering better pricing and revenue sharing with content creators. Our objective is to achieve user engagement on par with major platforms like Stripchat and Chaturbate, attracting thousands of concurrent users 24/7 and boosting demand for Livepeer’s services.

Impact of Livepeer Funding

While the adult entertainment industry is often seen as controversial, it is undeniably lucrative. For instance, Chaturbate alone generates approximately $1 million in revenue per day. The potential for revenue generation in this space is unmatched by any other content category. Securing a Livepeer grant would not only enhance our negotiating power but also reduce our dependence on traditional VCs, who often demand significant equity due to the industry’s controversial nature.

Moreover, we are in advanced discussions with a well-known adult platform that generates over $30M in revenue annually. This investor is poised to bring their substantial existing user base to our platform, which could dramatically accelerate our growth and market penetration.

The funding will allow us to expand our engineering team and hire a community manager, crucial for our planned launch by year’s end. This strategic expansion supports our ability to effectively manage growth and community engagement.

Current Platform Status and Development Expenses

A private demo of Fanteasy is already available on our development playground, featuring core livestreaming and chat functionalities. The platform has been under development for over a year, with current expenditures totaling approximately $200,000 USD. For a firsthand experience, you are invited to explore our Development Playground.

Token Launch

We are gearing up to launch our own token, $TEASY, by August of this year. This will be an Initial DEX Offering (IDO) aimed at funding the project and supporting its growth and development.

Current Team Members and Experience

  • Evgeny: Founder with extensive experience in the crypto sector since 2015, previously with firms like Citadel, Bakkt, BlockFi.
  • Arben: Tech visionary and entrepreneur with multiple successful exits over $100M.
  • Pietro: Senior Backend Developer with a strong background in scalable, secure backend services.
  • João: Frontend Developer, specializing in creating dynamic and user-friendly interfaces.
  • Multiple Design Partners: Assisting with UI Design and Branding.

Founders are self-funding their portion, ensuring that all grant funds are directed towards expanding our development team and operational capacities.

Roadmap and Launch Plans

Our roadmap is ambitious, aiming to launch the platform in production by the end of this year. We plan to open it up for private, invitation-only testing by August 2024. All interested Livepeer community members will receive early invitations to participate in this testing phase, providing valuable feedback and ensuring robust platform readiness.

Development Milestones

Several key features are already implemented: livestreaming and chat, user login, user profile, and landing page. Here is the breakdown of the remaining tasks into logical deliverables over 7 months:

Month 1-2

  • Sexting (Currently in progress, expected completion by mid-June)
    • Time Required: 6 weeks
    • Estimated Completion Date: June 15, 2024
  • Discover, Navigation, Filters, Search, Feed
    • Time Required: 9 weeks
    • Estimated Completion Date: July 31, 2024

Month 3-4

  • Payment Integration (Credit Card Processing)
    • Time Required: 8 weeks
    • Estimated Completion Date: September 30, 2024

Month 5-6

  • TEASY Token Launch, Smart Contract Work, and Integration
    • Time Required: 8 weeks
    • Estimated Completion Date: November 30, 2024

Month 7

  • Security Audits

    • Time Required: 4 weeks
    • Estimated Completion Date: December 31, 2024

  • DevOps Work for Deployment

    • Set up and configuration of servers, CDNs, and other necessary infrastructure: 4 weeks
    • Final testing and deployment: 2 weeks
    • Estimated Completion Date: December 31, 2024

Budget and Funding Allocation

We are requesting 11,000 LPT tokens from the Livepeer community over 7 months, tied to specific milestones. By the end of this period, Fanteasy aims to be feature complete and ready for the next phase of production readiness.

Funding Breakdown:

  • 1,000 LPT: Immediate bonus for our existing developers.
  • 10,000 LPT: Supporting platform development, including hiring two additional engineers and a community manager.

Smart Contract Vesting

The funding will be managed via a smart contract using Titan Node’s payment stream. This contract implements daily vesting over 7 months, ensuring that Fanteasy meets its milestones. If Fanteasy fails to meet its commitments, Orchestrators have the ability to withdraw the unvested funds from the contract. For a detailed description of how this works, please refer to this detailed description.

Revenue Generation for Livepeer Community

The revenue Fanteasy generates for the Livepeer community is based on the number of pixels processed per stream and the price per pixel in Wei.

Pixel Calculation Breakdown

The following breakdown is used to calculate the total number of pixels processed per day for different resolutions:

Resolution Pixels per Frame Frames per Second Pixels per Second per Stream Pixels per Day for All Streams
720p 921,600 30 27,648,000 2,389,248,000,000
480p 307,200 30 9,216,000 796,320,000,000
360p 172,800 30 5,184,000 448,128,000,000
240p 102,240 30 3,067,200 265,497,600,000
Total 1,503,840 45,115,200 3,897,953,280,000

The total number of pixels per day is multiplied by the Wei per pixel to get the Wei per day.

High-Level Daily Estimates

Below are the high-level estimates for daily revenue generation per stream:

Metric Value
Wei Per Pixel 150
Wei Per Day 584,692,992,000,000
ETH Per Day 0.000584692992
Price Per ETH $2945
Income Per Day $1.72

Revenue Estimations

Here is the estimated revenue for different numbers of streams per day:

Streams per Day Daily Revenue (USD) Weekly Revenue (USD) Monthly Revenue (USD)
500 $860 $6,020 $25,800
1000 $1,720 $12,040 $51,600
2000 $3,440 $24,080 $103,200
5000 $8,600 $60,200 $258,000

Doubling Current Livepeer Revenue

Assuming the current Livepeer revenue is $5,000 per 7 days (approximately $714.29 per day), to double this revenue, Livepeer would need to generate an additional $714.29 per day. Using the income per day per stream of $1.72, we can calculate the required number of streams per day:

Required Streams per Day = $714.29 / $1.72 ≈ 416

Therefore, approximately 416 streams per day would be needed to double the current Livepeer revenue of $5,000 per 7 days.

These calculations demonstrate the significant revenue potential for Livepeer through Fanteasy, with even conservative estimates showcasing substantial financial benefits. Top 5 platforms generate well over 10,000 streams per day, making our goal of reaching 1,000 to 5,000 streams per day a very realistic target.

Our Commitment to the Livepeer Network

Fanteasy proudly holds 31,000 LPT tokens, which are fully delegated, demonstrating our unwavering commitment to the Livepeer project. Since 2018, our founder has been a dedicated member of the Livepeer community, showcasing a strong belief in its potential by not selling a single token in six years. This long-term dedication reflects our deep-rooted confidence in Livepeer’s vision and our commitment to supporting its growth and success. You can find our delegated holdings at this link.

Our Commitment to Communication

Fanteasy commits to joining the Livepeer watercooler chat twice a month to provide status updates on development, milestones, and answering any questions.

Additional Resources

2 Likes
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Thank you for all your previous feedback, I tried to incorporate as much of it as possible.
There a few new things here, but primarily:

  • vesting contract used for payment where guardians will be able to withdraw back to Treasury
  • milestones added
  • revenue estimates
  • disclosed LPT holdings by founder

I’ll also be joining WCC on Monday to answer any questions and planing to kick off voting either on Monday or Tuesday of next week.

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Who is gonna choose the guardians?

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@Titan-Node for guardians. Afaik, 2 Orchestrators.

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Are my calculations correct that the average stream length is estimated to be 172.8 seconds, a little under 3 mins?

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In my calculations, it is based on 24hour streaming, I used excel spreadsheet provided to me by the community and just adjusted the numbers.

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How will $TEASY tokens be distributed? Would part of these be airdropped to Livepeer network participants? I’m not sure if launching the token should be a milestone of the proposal if it provides no value to the network.

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On another note: what part of the project will be open-sourced? I think guardians would want at least read access to the repo’s to get a good idea of development progress

3 Likes
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Oh yes, guardians can have read access and if they choose to, we can invite them to weekly-biweekly stand-ups with the team to cover progress.

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I had airdrop to Livepeer in the original proposal, got mixed feedback with regards to how this effects the proposal. But 5% of the token supply is allocated to partners, most of it I expect to be airdropped to Livepeer.

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How are the other 95% of tokens allocated?

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This is still subject to change, price per token is dynamic other than Seed Sale, no guarantees here.

Screenshot 2024-05-22 at 8.37.51 AM
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1 Like
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First of all, thanks the proposal, your continuous commitment to the Livepeer community over the years, and your engagement in this governance process through Water cooler chats, the forum, and the actual proposal submission. Ultimately the community will have a chance to weigh in and decide whether to fund the proposal through the treasury governance process.

I do think this proposal raises a couple key issues that the community will have to take into account.

1) Should the treasury fund end-users directly?

The social conventions of the community treasury, voted on and accepted in LIP-90 indicate that proposals would be valid from special purpose entities, or programs, that had a public goods mission, and would then distribute funds to the end recipients. This was adopted to avoid needing to do community governance votes on every end user or app that wanted to access public goods funding. Programs like Grants, or Retroactive funding programs like LID, are examples of these sorts of programs. And end user apps could access funding directly through them.

It’s worth noting that this specific proposal and the amount its asking for does fit directly into the frameworks of those existing programs, and hence why it is likely applying directly.

  • Though has a program like grants learned over the years that offering this level of proactive funding to an unlaunched app up front, may not be effective?
  • In order to avoid breaking this convention, it might be more palatable if the proposal was for an actual lightweight SPE with the mission of funding high-potential apps at this level, with an acknowledgement of the first app to be funded is the one in this proposal? Would it be better if the guardians proposed as a “guardian SPE” for this purpose? Without any further commitment to re-apply in the future for more apps, though with the option to?

2) Is this a public good?

This one is pretty subjective. I think at a greater scale of adoption, it’s likely that individual apps seeking to build out their own app, business model, token, etc, would have a hard time justifying that public goods funding should be used to fund their self-serving initiative. But at this earlier stage of network adoption, simply bringing demand at scale could potentially be viewed as a public good by the orchestrators on the network who value the work, the design partnership in testing their capabilities to meet this new use case, and as a potential successful case study in a different industry. However it might be worth it to look at the use of funds…

Funding credits to stream back into the network for transcoding payments are more likely a public good than the design/development of an apps new custom tokenomics for example.

Again, ultimately the community will decide whether to evolve the social conventions of Livepeer treasury governance. I hope that even if this proposal doesn’t pass, this app gets its public goods funding needs met by other mechanisms in the ecosystem…such as existing or new programs, lightweight SPE, staking rewards, orchestrator transcode subsidies…and if necessary, that it finds alternate funding sources for its more commercial needs such as investment by members of this community or externally.

5 Likes
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Thank you for your detailed response and active involvement in this process. It’s clear that you’re genuinely considering what is best for the project. We’ve explored the option of a lightweight SPE and discussed modifying the existing Grants program to accommodate larger applications. Ultimately, the decision to proceed as planned was driven by timing and the need to work within the current framework.

Implementing changes to existing programs would take several months and requires community support. For Fanteasy, timely access to these funds is crucial. With the assurance that LPT will be unlocked by the vesting contract over the next seven months, we can hire additional resources and pay for Livepeer Studio’s technical support.

That said, we recognize concerns about setting a precedent. However, without an existing process to handle this situation appropriately, it is vital that we get approval now. We are pleased to have initiated these important discussions and are committed to working with the community to refine this process in the future. We hope that our request can be considered within this context, ensuring that Fanteasy doesn’t become a sacrificial goat for future improvements.

We understand that the community genuinely likes our project, and we appreciate that the discussion is strictly about the process. We hope that the outcome of this vote is determined by the community’s belief in how much Fanteasy will benefit Livepeer by bringing demand, rather than semantics and potential future improvements to the process, which may or may not happen. The app is real and happening right now.

1 Like
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Thank you for your response. I have a few more questions about the proposal regarding marketing, user acquisition, projected growth, and revenue projections.

Marketing Plan: Could you elaborate on your marketing strategy to achieve user engagement levels comparable to platforms like Stripchat and Chaturbate? Specifically, how do you plan to attract and retain thousands of concurrent users 24/7?

User Acquisition: What methods will you employ to bring users to the platform? Are there specific channels or partnerships you have in place or are planning to leverage?

Projected Growth: What are your user acquisition targets during the first 12 months of operation, and what milestones do you plan to achieve to reach these targets?

Revenue Projections: What is the basis for your revenue projections per stream? Are these based on industry averages, historical data, or other benchmarks?

Lastly, can you provide more detail regarding how the infrastructure cost savings will allow Fanteasy to offer better pricing and revenue sharing with content creators compared to existing platforms? Specifically, what are the pricing and revenue share percentages, and how do these compare to those offered by your competitors?

Thank you

3 Likes
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  1. Marketing Plan:

    • Big Bang Strategies:
      • Investor Selection: We’re carefully selecting our seed round investors, aiming to include at least one investor from an existing adult platform with a significant user base but lacking streaming capabilities. This could help us attract their existing users to our platform.
      • TEASY Token Launch: We’re planning a major marketing push for the TEASY token launch through a partner with access to a community of 700k. This campaign will span multiple channels.
      • Exclusive Contract with an Adult Star: We’re negotiating an exclusive contract with a well-known adult star with at least 600k followers on Twitter. This contract, contingent on a successful token launch, would involve an investment of $1-1.5M USD per year.

  2. User Acquisition:

    • Our big bang strategies include the careful selection of investors, the TEASY token launch, and signing exclusive contracts with popular adult stars.
    • Additionally, we have more traditional methods in place:
      • Hiring: We’re looking to hire the former community manager of OnlyFans, leveraging their industry expertise and connections.
      • Social Media Marketing: We’ll actively market our platform on various social media channels to reach a broad audience.
      • Conferences: We plan to attend industry conferences to network and promote our platform.
      • Outreach to Adult Stars: We’re reaching out to adult stars to bring them onto our platform, leveraging their fan bases to attract users.
      • The adult industry is highly competitive for creators, and they often welcome the opportunity to be early adopters on new platforms. This eagerness can drive significant initial growth.

  3. Projected Growth:

    • With our big bang strategies, we could attract thousands of users from the start. The TEASY token and significant cost savings on infrastructure will give us a competitive edge.
    • Our growth strategy is flexible, allowing us to capitalize on both rapid initial adoption and sustained long-term growth due to our lower operational costs.

  4. Revenue Projections:

    • Our revenue projections per stream are based on industry averages and data from platforms like Statbate, which uses bots to gather revenue information from top adult C2C platforms.
    • For more details, you can refer to Statbate.

  5. Infrastructure Cost Savings:

    • Currently, creators keep only 15-20% of every dollar they make due to high infrastructure costs. By using Livepeer and our DePin technology, we can cut these costs by 50-80% and pass the savings on to creators and users.
    • These savings, combined with the TEASY tokenomics, set the foundation to significantly outcompete our competitors.

Thank you.