Official White Paper
Last Updated: August 31, 2022
Carrot is a global messaging platform designed to provide users with a uniquely incentivized and genuinely enriching social experience!
This iOS and Android application rewards users with digital tokens, called Carrot Coin (CRTC), for answering questions. Users can then spend these tokens by sending their own questions to friends and reward them for responding. The token functions as an incentive to prompt a response from another party and can be transferred from the app’s ledger directly onto the blockchain. This function provides a normie1 utility for the coin which can easily be understood and embraced by users!
A user’s in-app tokens are held within a custodial on-chain wallet by Carrot so long as they are being used on the platform. These tokens are recorded as coins using an API within Carrot’s own centralized ledger and linked to a user’s specific account to be spent in the app. However, once a user decides to transfer their coins out of the app, the tokens are transferred from Carrot’s custodial wallet to the user’s own wallet to be employed however they wish, on a 1-for-1 basis. Users can transfer tokens back into the app if they choose to do so, in which case the tokens on the blockchain will return to Carrot’s on-chain wallet and appear in the user’s in- app account for use.
Users can spend Carrot Coins in-app to collect original media such as NFTs on the blockchain and share these NFTs with other users or even transfer them to the secondary market. Like the coin, ability to share these NFTs within the app provides a normie utility1 for the NFTs!
A fixed supply of 1 trillion total tokens will be minted pre-launch, never to be increased. Tokens can be purchased either in-app, or externally on the secondary market, for use in the application. Carrot intends to continuously sell the Carrot Coins for a pre- determined price which may be adjusted periodically. Additionally, Carrot will limit the purchase of Carrot Coins in the app to a daily amount based on its assessment of daily usage.
Half of these tokens, 500 billion, will be distributed in the application to Carrot users for answering daily questions, for collecting thumbs up on their responses, and for earning additional coins through in-app activities or purchasing.2 Users can then use their Carrot Coins to send messages to their friends, redeem them for in-app NFTs, or transfer their coins out of the app into their external wallet to exchange tokens for other cryptocurrencies. The 500 billion tokens will be controlled by a multi-signature Gnosis Safe3, with five keys, three of which are required to transfer the tokens, and three of which are Ledger Nano cold hardware devices, stored offline, along with their security phrases, in secured depositories. Carrot’s founder will hold one key, co-founder another, and the remaining three keys will be held by Carrot shareholders and/or employees unrelated to the two founders.
The other half of these tokens, 500 billion, will be held in Carrot’s treasury, with a plan for use by future corporate partners as adoption grows. Carrot Coins in the treasury will be vested to the company at 5% quarterly after launch, to ensure equitable distribution. At a price of $0.0001/token, this equates to $10M annually to drive the ecosystem. Tokens will not be distributed to company founders or shareholders.
The 500 billion tokens in treasury will be controlled by a multi-signature Gnosis Safe4, with seven keys, five of which are required to transfer the tokens, and four of which are Ledger Nano cold hardware devices, stored offline, along with their security phrases, in secure depositories. Carrot’s founder will hold one key, co-founder another, and the remaining five keys will be held by Carrot shareholders and/or employees unrelated to the founders.
NFTs will be controlled by a multi-signature Gnosis Safe5, with three keys, two of which are required to transfer the NFTs, and two of which are Ledger Nano cold hardware devices, stored offline, along with their security phrases, in secure depositories. Carrot’s founder will hold one key, co-founder another, and the remaining key will be held by a Carrot shareholder or employee unrelated to the founders.
Carrot Coin is a Communications & Social Media token and will be minted on the Polygon blockchain using Solidity-based smart contracts. However, Carrot is blockchain-agnostic and may consider bridging to other blockchains or Layer 2 solutions over time. Carrot Coin will be featured as a liquidity pool on Uniswap at launch, but Carrot will consider listing on other exchanges as well, to allow users to swap their Carrot Coins with other cryptocurrencies, if they choose not to use in the app. Users will always be able to purchase Carrot Coins on the app at a constant price subject to periodic adjustments. Carrot smart contracts have been audited by Certik.6
Carrot will employ Wallet Connect for direct transfer of coins and NFTs in and out of the application, initially supporting MetaMask and Trust Wallet.
Carrot Group Inc. is based in Los Angeles, California, and was founded by James Tashjian and Olivier D’Arceaux in 2020. The pair of seasoned entrepreneurs worked together on several endeavors beginning in 2004 before starting collaboration on Carrot, and have prior experience at Varga Capital, J.P. Morgan, Goldman Sachs, Spark One, EdCuration and DG Entertainment. Their vision is to connect people in an authentic and meaningful way, as an alternative to existing social media options.
1 New York Times https://www.nytimes.com/2022/02/06/technology/helium-cryptocurrency-uses.html
2Ownership of tokens should not be viewed as an investment contract between Carrot and its users, and there is no expectation that tokens will increase in value.
3Gnosis Safe Distribution public address: 0xA6D2e0e8DCBEFaf01c60F8E0df5C77f4e138e402
4Gnosis Safe Treasury public address: 0x16Da983eaF255356d8a1Bd825d6cA1098EFe4FBd
5Gnosis Safe NFT public address: 0x9608172448f070AbdFBA66a988441a2E0f2ee94D
6Certik Audit: https://www.certik.com/projects/carrot-coin