Call for Founders: A Stock Market for Anything
# Call for Founders: A Stock Market for Anything
This has already led to an explosion of exciting permaweb apps (for example, [Bandplay](https://www.youtube.com/watch?v=zEzxw-6CX6g) and [ArcLight](https://www.youtube.com/watch?v=7es4cHzvTLg)), where anyone can invest in any profit stream in an app, and creators can more easily monetise their work.
From app stores to book stores, this concept can be applied almost anywhere.
Platforms that utilise profit sharing tokens share a distinct set of advantages:
1. Creators on the platforms can access future profits from their released works, early, by selling associated tokens. This allows them to reinvest that profit in the creation of further, higher quality creations sooner. This cash-flow efficiency can yield much greater returns for the creators over the long-term.
2. Fans and investors are incentivised to find undervalued creations, purchase pieces of them from the creators (see point 1), and then _spread the word_ about them. This greatly aids creators in getting the initial distribution of their works.
3. Given the incentive for profit sharing token holders to spread the word about high quality items on the platform, the platform itself gains significant distribution and awareness as activity on the markets grows.
In this call for founders, we are looking to _invest_ in individuals and teams building exciting new permaweb apps seizing these opportunities by purchasing associated profit sharing tokens (PSTs). This is not a normal hackathon, bounty, or contest. We want to help you found a viable startup community pursuing these opportunities on top of Arweave.
## So what is Arweave and the permaweb, anyway?
The permaweb is the new, decentralised, and permanent web built on top of the [Arweave network](https://arweave.org). The permaweb enables builders to launch new forms of [web services](https://www.arweave.org/technology#permaweb), backed by [fairer and more equitable organisations](https://coinmarketcap.com/alexandria/article/profit-sharing-communities-a-deep-dive-by-arweave). You can check out some of the amazing profit sharing community apps already live on the permaweb [here](https://medium.com/@arweave/the-arweave-open-web-incubator-demo-day-2020-recap-c477a62dfbe4).
## How does this process work (for founders)?
This contest is for you to build your first permaweb app and community, inspired by the theme outlined in this call for founders.
There will be three recipients of this investment. Rather than receiving a traditional flat reward, winners of the competition will sell a portion of the tokens in their new [profit sharing community](https://www.youtube.com/watch?v=3u77RejWFNk) to the Arweave core team and other interested investors. We are excited to become your first backers!
During the contest, any other members of the permaweb community that are excited by the idea and your build can also signal their interest in purchasing [profit sharing tokens](https://medium.com/@arweave/profit-sharing-tokens-a-new-incentivization-mechanism-for-an-open-web-1f2532411d6e) from the apps. Once the contest is over, valuations will be calculated based on the entire pool of interested capital purchasing a 5% stake.
As a founder, this mechanism ensures that you receive a minimum valuation for your app if you come first, second, or third, in the contest, but also allows you to gain a higher valuation if there is additional community interest in your project.
| | Min. Purchase Size | Purchase % | Min. App valuation |
| ------------ | ------------- | --- | -------------------- |
| First place | >=10,000 USDC | 2% | >=500,000 USDC |
| Second place | >=3,000 USDC | 2% | >=150,000 USDC |
| Third place | >=2,000 USDC | 2% | >=100,000 USDC |
After the competition and token purchases are complete, you will still own 98% of the profit sharing tokens in the community backing your service. This will allow you to further build and expand on your permaweb app, bring in new community contributors, builders, and investors as you progress. The core Arweave team may also offer to purchase additional profit sharing tokens as your application gains traction post-launch!
## How does this work (for token purchasers)?
As a community token purchaser, this new mechanism allows you to support high quality permaweb apps alongside the core Arweave team at a fair market valuation, as they are being built.
If you would like to signal your interest in purchasing PSTs from permaweb apps in the contest, simply reply to this Github issue! Alternatively, you can contact a member of the core Arweave team via email@example.com. Remember to specify your desired purchase size (in USDC terms).
## The permaweb app
This call for founders is simply a guideline for the type of profit sharing communities we would like to see. Feel free to iterate on it and explore different approaches with us on the [Arweave developer Discord server](https://arweave.chat/stockmarket)!
- You can read about profit sharing communities [here](https://coinmarketcap.com/alexandria/article/profit-sharing-communities-a-deep-dive-by-arweave) and [here](https://www.arweave.org/profit-sharing-communities), and read the announcement post for profit sharing tokens [here](https://medium.com/@arweave/profit-sharing-tokens-a-new-incentivization-mechanism-for-an-open-web-1f2532411d6e).
- You can find the documentation needed for getting started deploying a permaweb app [here](http://bit.ly/35M6Lwn).
- Documentation for ArweaveJS library that allows you to read from and write to the permaweb is available [here](http://bit.ly/2MnqBGA).
- We're providing free tokens for you to get started building and deploying your app - grab your pre-filled wallet [here](https://tokens.arweave.org). For guidance on how to use the Chrome/Brave/Firefox web extension wallet, check out [this user guide](http://bit.ly/31sLHYl).
Don't forget to join us on our developer [Discord server](https://arweave.chat/stockmarket) to chat and get feedback/assistance from the Arweave core team and community!
- Click "Start Work" and get founding!
- Hack and [join us on our developer Discord](https://arweave.chat/stockmarket) if you have any questions!
- Publish your app to [ArweaveApps](http://arweaveapps.com). You can generate a permaweb URL for the app by appending the transaction ID of your deployed app to this gateway link:
11:59pm EST on Feb 8th, 2021.
The token purchases will be made in the applications that the Arweave core team believes are most likely to generate the highest volume of usage and tips over the long-term. Factors contributing to this decision include...
* User Experience
* Ease of use for creators
* Ease of use for purchasers
* Virality of markets; creation and sharing
* Unique strengths of the communities and founders who are launching it
* Clear vision for 'what's next' for the team & project, plus a road map covering your go-to-market strategy (or existing traction!)!
* Shipping a technical MVPP ('minimum viable product you're proud of' 😊 )
Purchase Announcement Date
Feb 16th, 2021.