The structure described in this paper provides a template, but many variations and augmentations may be imagined. TPTs may be combined and mixed with other token distribution methods and may be modified in numerous ways. These are some of the regularly expected variations:
Expiring TPTs. TPTs may be programmed to have an expiration period on their “treasury protected” status. It may be beneficial to incentivize some churn of TPTs so that the treasury can recharge and have more runway to issue additional TPTs.
Partial Implementation. An OCO may choose to only implement either TPTs or IDTs. It’s possible to segregate these structures. It’s quite likely that many OCOs will choose to use TPTs.
Mixed Payments. An OCO may choose to pay with a blend of TPTs, treasury assets (i.e. USDC), and regular tokens (unprotected by treasury)
Tranched IDTs. An OCO may choose to have multiple tranches of IDTs with differing seniority. The more “senior” IDTs simply receive preference in a liquidation waterfall. Therefore “junior” IDTs will command higher prices to compensate for higher risk.
TPT Repurchase Rights. TPTs may be issued such that the OCO has the right to repurchase the TPT at an elevated price.
Mixed Treasury. It is expected that both TPTs and IDTs may be denominated in multiple assets like USDC, ETH, BTC. Mixing these assets in the treasury adds complexity, but is very feasible. Many treasuries may choose to be primarily USDC-backed or ETH-backed, depending on the preferences of OCO members.
Transferability. IDTs or TPTs may be designed to be transferable. It’s more likely that an OCO chooses for IDTs to be transferable, if anything.
Lockups. Although there is an inherent incentive to hold IDTs, there may be an additional programmatic lockup.
Debt Replacement. The OCO may vote to retire a tranche of debt with better debt conditions (i.e. decrease the amount of outstanding IDTs per unit of asset)
Debt Enrichment. The structure of IDTs may be modified such that the corresponding treasury assets stay in the same asset pool when IDTs are sold (and converted to regular tokens). This effectively enriches the per-token liquidation value for IDT holders, increasing their incentive to hold.
Constant Payments. Using protocols like Superfluid, contributors, vendors, etc can receive TPTs in a continuous fashion, rather than getting paid once a week or month.