The Democratized Meme Credit Union • Whitepaper v1.0

Root5DAO

The First Democratized Meme Credit Union on Solana

Abstract

Root5DAO is a decentralized autonomous organization designed to become the premier democratized meme credit union for community-driven meme tokens on Solana. By leveraging a unique two-tiered governance model—token locking for access rights and token burning for voting power—Root5DAO creates a deflationary ecosystem where value accrues to holders through supply reduction and revenue generation.

1. The Meme Ecosystem Problem

The meme coin space represents one of crypto's most vibrant yet problematic sectors. While meme tokens have created billions in market value and passionate communities, they suffer from fundamental structural issues including centralized control, lack of sustainability, and zero formal incubation.

Root5DAO solves this by creating a transparent, democratic, and economically sustainable credit union where the community itself makes collective investment decisions.

2. The ROOT5 Token & Governance

Token Specifications

Blockchain: Solana

Total Supply: 1,000,000,000 ROOT5

Launch Mechanism: Fair launch bonding curve via Pump.fun

Token Distribution

Initial Structure: 1 billion ROOT5 tokens minted in Pump.fun liquidity pool. DAO purchases 200M tokens (20%) at launch:

80% (800M) - Pump.fun Public Liquidity Pool
10% (100M) - DAO Treasury
8% (80M) - Community Airdrop to ROOTS holders
2% (20M) - Development Team

Two-Tiered Governance Model

Tier 1: Access Rights (Locking)

Lock tokens to gain governance access. Locked tokens remain in your ownership.

Vote on Proposals: Lock 5,000 ROOT5 for at least 1 week before vote and for more than 30 days
Submit Proposals: Lock 10,000 ROOT5 for at least 1 week before submission and for more than 30 days

Tier 2: Voting Power (Burning)

1 ROOT5 = 1 Vote - Burned tokens are permanently removed from circulation.

3. Tokenomics & Revenue Model

Pump.fun Dynamic Creator Fees

Root5DAO captures creator fees from launched tokens:

0.95% - Early Stage (Market cap < $300K)
0.5-0.7% - Growth Stage ($300K - $1M)
Scaled - Maturity ($1M - $20M)
0.05% - Mega Cap (> $20M)
0.5 SOL - Graduation bonus per token

Fee Allocation by Phase

Phase 1 (launch-Bonding): 50% Buyback to add liquidity, 50% Development

Phase 2 (Bonding to Platform Launch): 40% liquidity, 50% Development, 10% Marketing

Phase 3 (Post Platform): 50% Treasury, 50% "Staking" For holders

4. Economic Security & Attack Mitigation

Attack Vector: Whale Domination

Progressive Vote Decay - Voting power diminishes with concentration:

First 10K tokens: 1.0x multiplier
10K-50K: 0.8x multiplier
50K-200K: 0.6x multiplier
200K-500K: 0.4x multiplier
500K+: 0.2x multiplier

Example: Burning 1M tokens yields only 352K effective votes (35% efficiency)

Attack Vector: Sybil Attacks

Multiple wallets are economically irrational due to per-wallet locking requirements (50 wallets = 250,000 ROOT5 locked vs 5,000 for single wallet)

Attack Vector: Meme Virality Verification

Three-Phase Approach:

Phase 1 (Mo 1-6): Community curation and Platform Development
Phase 2 (Mo 7-12): Reputation-weighted voting
Phase 3 (Mo 13+): Oracle integration with community override

5. Community Airdrop: The ROOTS Migration

The Story

Root5DAO emerges from the community of "Roots," a previous project that was discontinued when its original developer departed. The airdrop rewards those who stayed loyal, making them founding members of this democratized meme credit union.

Airdrop Details

Snapshot Date: October 29, 2025 (00:00 UTC)
Allocation Formula: ROOT5 = ROOTS × 0.5
Total Allocation: 80,000,000 ROOT5

Example Calculations

ROOTS Holdings	ROOT5 Airdrop	% of Supply
100,000	50,000	0.005%
1,000,000	500,000	0.05%
10,000,000	5,000,000	0.5%

Important: This is NOT a token swap. ROOTS tokens remain unchanged. ROOT5 is distributed IN ADDITION to existing ROOTS holdings.

6. Technology & Roadmap

Technical Architecture

Smart Contracts

ROOT5 SPL Token (via Pump.fun)
Token Locking Contract
Voting & Proposal System
PDA Treasury Management
Fee Distribution Contract

Front-End dApp

Wallet integration
Proposal browsing & creation
Voting interface
Token locking dashboard
Treasury transparency

Development Roadmap

Week 1-2 (November 2025) - Genesis Launch

ROOT5 fair launch on Pump.fun
Community airdrop execution
Token locking contract deployment
Governance website launch

Month 2-3 (Dec 2025 - Jan 2026) - Governance Activation

Full voting dApp launch
First governance proposals
Security audit completion
Community growth campaigns

Month 4-6 (Feb - Apr 2026) - Credit Union Expansion

First community-approved meme launches
Revenue generation begins
Reputation system deployment
PDA treasury transition start

Month 7+ (May 2026+) - Full Decentralization

Complete PDA treasury control
Advanced governance features
Multi-chain exploration
Root5DAO Launchpad development

7. Risk Disclosures

⚠️ Important Notice: Participation in Root5DAO involves significant risks. Only participate with funds you can afford to lose entirely.

Key Risks Include:

Platform Dependency: Revenue depends on Pump.fun's continued operation
Smart Contract Risk: Bugs could result in permanent loss of funds
Regulatory Uncertainty: DAO tokens may be classified as securities
Market Volatility: Token price may experience extreme volatility
Governance Risk: Concentrated holdings could enable attacks
Tax Obligations: Participants responsible for tax treatment
No Guarantees: Roadmap subject to change, no profit expectations

8. Conclusion: Building the Democratized Meme Credit Union

Root5DAO represents a paradigm shift in how meme tokens are created, curated, and sustained. By combining deflationary tokenomics with democratic governance and sustainable revenue generation, we've built a credit union where creativity meets collective accountability.

We are not launching another meme coin—we are building a democratized credit union where members collectively invest in meme culture.

Key Features:

Economic Sustainability: Continuous revenue funding treasury and buybacks
True Decentralization: Anti-whale protections and fair governance
Members First: Airdrop rewards founding members
Aligned Incentives: Success benefits all token holders

You stayed when others left. You believed in the community when the developer didn't.
This is your DAO. Let's root for the future together.