How Routines works

‌Covenants Routines contracts allow Ethereans to fund their magical projects in a fair and safe way. Anyone can set one up to inflate any variety of tokens at daily, weekly and monthly intervals via minting, swapping, and transferring. Don’t depend on ICOs or worry about soliciting investors anymore.‌

The Basics

Routines contracts can be used to automate token supply inflation, treasury management, and any other financial operation that needs to be executed in precise, block-based intervals. Contracts are customizable with one or more entries that define these operations and intervals.‌

The protocol can mainly be used to manage the inflation of a token but, from a wider point of view, it is a tool of fundamental importance to manage the entire tokenomics of a project. Besides deciding the amount of periodic inflation, it also allows deciding to whom to send the new tokens issued. This means that for example a part can be sent to the treasuryManager of the Organization, i.e. the public treasury, and a part to one or more operation wallets, i.e. private wallet managed by the team that carries out the technological development of the project that in this way has the funds to carry out the development. Consequently, if used in this way, part of the inflation serves to self-finance the team working on the project in a completely autonomous manner with respect to institutions or corporations.

Operations‌

All operations are fixed, and involve any combination of the following:‌

1. The minting of token(s)‌

2. The transferral of token(s) from address(es) to address(es)‌

3. The swapping of token(s) within or among AMMs‌

4. The burning of token(s)

Intervals‌

The minimum amount of block-based time that must pass between operation executions.‌

Rewards‌

Contracts can reward the manual execution of operations. Rewards are customizable as a % of all tokens involved in the operation. In the case of swap entries, the executor can choose to be rewarded with either the input token or the output token.‌

Hosting‌

Like Covenant Farming contracts, Routines contracts are designed to be hostable by any DAO, dapp or customized smart contract.‌

The hosting logic of a contract, embedded in an Extension, defines the permissions for setting up and managing entries, operations and executor rewards, as well as managing inflation via transfer (if interacting with a treasury) or via mint.‌