HarmonyNodes: The First DAAS on the Harmony Ecosystem

Harmony Nodes Launch Grant Proposal

Project name:
Harmony Nodes

Application type:
Launch Grant

Project Overview:


I want to start off by thanking the hosts of the Harmony ONEPitch event for providing the opportunity of innovation to creators. It was truly an amazing time. Devin, Gabby, Kudz, Nora, Stephen and Flu I am thankful I had the chance to connect and spend some time with you all at the presentations, rooftop after party, and during the TGI dinner at Mohawk Bend. I look forward to helping strengthen the future of the Harmony Ecosystem together.
Harmony Nodes is the first DAAS (defi-as-a-service)/NAAS (nodes-as-a-service) on the Harmony blockchain. Our project aims to provide users with a sustainable stream of passive income; the way this will be accomplished is by allowing users to obtain yield bearing virtual nodes, from 4 different tiers ranging from 1-1.75% daily. Users can create these nodes by using our native token HONE. Within one month we have achieved over 11k members on discord, 6k followers on twitter, and have raised over 110k from our community during presale. Interest in our project is high and we feel we can help onboard many new users to the Harmony ecosystem. We are seeking a 85K launch grant, as well as, a long term partnership with the Harmony foundation, which will allow us to access developer + marketing resources to help expand the platform with new features and onboard new users.

Project features:

Multiple Node Tiers

Tier → Size → Daily ROI → Days to Breakeven
Nano → 10 $HONE → 1% → 100
Pico → 20 $HONE → 1.15% → 87
Mega → 50 $HONE → 1.35% → 75
Giga → 100 $HONE → 1.75% → 58

Node Merging

Users will be able to upgrade their respective nodes into higher tiers as well. For example, if someone exchanged 10 NFTs for 10 Nano nodes in the presale, they would be able to then upgrade those 10 Nano nodes into 1 Giga node to earn the highest possible interest rate. This applies to any combination of nodes whose combined value adds up to another tier. If someone had two Pico nodes and one Nano, for instance, they’d be able to merge them into one Mega node. The total supply of HONE will be 600,000 tokens. These tokens are the only coin which can be exchanged for our unique nodes and will be used to pay the interest earned by nodes.

Rent-A-Node Feature

There will be a unique feature on our dapp that allows node holders to rent their nodes to other users. They will be able to receive a fixed monthly payment by the rentee in exchange for the returns on their nodes. This would be for holders that want an initially high, yet ultimately smaller return up front instead of receiving smaller returns daily that end up leading to more returns overall in a given month. For example, A Giga node owner who would be projected to earn 52.5 HONE over the course of a single month, might prefer receiving the 1USDC value equivalent of 35 HONE up front from a rentee instead of waiting to earn the eventual larger amount.

Treasury investments

Thus far 110k has been raised from the community during our presale. The allocations of the funds raised is as follows: 47.5% is being used to provide liquidity, another 47.5% is to be utilized for the treasury, and the final 5% is being allocated towards further development of the project. Via a monthly maintenance fee and 15% sales tax, the treasury grows.

The treasury investments will include Harmony validator nodes, stablecoin farming, precious metals, and preseed investing opportunities in projects that are building on the Harmony ecosystem, voted on by the community. Validator nodes will bring conservative but slightly volatile returns. The stablecoin farming and precious metals will hedge against this volatility while simultaneously providing moderate returns. The community driven seed investments have exponential potential in both directions.
As for our private investment program, Harmony Nodes will be allocating 15% of our treasury funds towards funding and incubating up and coming projects that are building on the Harmony ecosystem. After going through our vetting process, communicating with founders and auditing code in house, our core team will select the most promising projects to present to the community. The final selection process will be done via community voting on snapshot.com using our governance token GHone, as a proxy for voting shares.
As for token distribution, for projects we invest in, we will be using a modified launchpad style model; we will airdrop a portion of incubated project tokens to node holders and store the rest in our treasury as a long term investment.
After a project is successfully nominated, users will receive an airdrop of that project’s token - in proportion to nodes owned- based on an agreed upon vesting schedule. We will continue to follow up with projects we’ve invested in, providing technical and monetary resources to ensure long term success.
This mixed investment approach gives us broad exposure while also allowing us to diversify risk. The distribution of the treasury investments will be as shown in the graph below:

5% - Annual Salary
15% - Seed Investing
5% - Precious Metals
35% - Harmony Validator Nodes
40% - Stablecoin farming


A key factor of sustainability is incentivizing node owners to hold, earn rewards, and build more nodes. The team has implemented several taxes to sustain liquidity and to have a constant flow of funds to the reward pool. To prevent inadequate liquidity and maintain a stable treasury, we will be implementing a 15% sales tax and a 40% transfer tax on our native token, HONE. When nodes are created 25% of the HONE used will be burned, 65% will be sent to the reward pool and 10% will be used to add to liquidity. To limit the sell pressure, members will only be able to sell HONE if they own a node. Additionally a monthly maintenance fee in stablecoins will be levied for each node a user owns, with these funds used to cover the platform’s operational expenses. The monthly maintenance for each tier will be $10, $15, $25, and $45 per month, respectively. These monthly maintenance fee(s) will be paid using 1USDC.

As well as taxes, we’re applying a unique emission decay mechanism where when users have broken even after around 60–100 days, every time users claim and sell, their effective daily rewards reduce by 5%. This does not apply if a user compounds, so when a user breaks even, if they continues to compound rewards, and not claim or sell, their daily return will remain the same. These measures will encourage patience and protect new buyers as well as those with smaller holdings.


Our funds are stored in a Harmony Gnosis safe multi-signature wallet. As of now there are 4 governors, who are signers, on the wallet. We are working to transition the project to meet all the DAO requirements. The next steps will be adding 5 additional governors/signers. Additionally we will be using a DAO based governance structure using snapshot.org. This will be accomplished by airdropping members our governance token based off of the amount of nodes a user holds. 1 GHone per node. This will allow for an equal distribution of voting power across our node holders.


Community Building

:white_check_mark: Website
:white_check_mark: Open up discord & work on growing the Harmony Nodes Community.
:white_check_mark: Release First Medium Article
:white_check_mark: Release Whitepaper and Gitbook Docs


:white_check_mark: Complete NFT art and contract
:white_check_mark: Release DAPP that will be used during presale
:white_check_mark: Complete HONE contract
:white_check_mark: Complete node contracts
:white_check_mark: Complete DAPP that will be live starting at public sale
:o: Antibot measures to be put in place prior to public launch
:o: Complete the testing process of all contracts and DAAPs
:o: Create contract for our governance token (GHone)
:o: Set up a Harmony validator node on the test net

Community Security

:white_check_mark: Aduit by Coinscope
:white_check_mark: KYC by Assure Defi
:white_check_mark: Harmony Gnosis safe multi-signature wallet

Marketing campaign prior to presale

:white_check_mark: Focus on marketing the community organically and word of mouth
:white_check_mark: Form partnerships with large accounts on twitter and youtube.
:white_check_mark: Conduct Community AMA
:white_check_mark: Live community AMA hosted by James Pelton


:white_check_mark: Conduct NFT presale (each NFT minted will be redeemable 1:1 for a Nano node at public launch)

Marketing campaign prior to public sale
:white_check_mark: Run node giveaway for WL members
:o:Connect with 4 twitter influencers to run a node giveaway
:o:Connect with 1-2 youtuber(s) for a node giveaway
:o:Reach out to Discord server promo service
:o:schedule AMA with two more influencers
:o:Create incentives to increase discord activity(mini games/giveaways)


:o:Add an additional 5 signers/governors to multi sig
:o:Airdrop node holders 1 Ghone (Governance Token) per node that is owned

Public Sale

:o:Public sale, with node creation and merging immediately available on launch.


The team is all US based. HarmonyMan#1653 is CTO, and the front-end dev working along side our solidity dev. SenseiCrypto#2121 is CEO with a focus on community management and high level strategy for the project. CryptoGremlin#6067 is CMO in charge of marketing, partnerships, and outreach. Harmony#9529 is CFO and he is in charge of treasury management as well as additional revenue generating strategies.

Proposal ask

For launch, we are seeking a 85K launch grant, subject to certain milestones being met, as well as, a long term partnership with the Harmony foundation; which will allow us to access developer + marketing resources to expand the platform by adding new features and onboard new users.


The 85K will be used as follows:

  • 27K to pay the salary of the governors:
    With 9 governors earning $75/hr and contributing 10 hrs per week our burn rate would be 750/person/week which is equivalent to 27k/month from salary.

  • 12K to retroactively pay the salary of the developers:
    With our current development costs at $3k/week, with 2 developers at 1500/developer/week, our burn rate would be 12k/month from development costs.

  • 10K to be used towards our marketing campaign:
    3k for paid promotion directly from twitter, 1k for paid discord promotion services, 3k for 5-10 paid influencer promotions. 3K for visual marketing development

  • 12K to be used towards future development (adding new features):
    Expanding the dev team

  • 24K allocated to the treasury:
    One of the main focuses of the treasury is to obtain a Harmony validator Node. Adding these funds will bring us one step closer in doing so.

Our next audit, and one week of development work, will be paid for by using 5% of the funds raised at presale.

Metrics for success

As stated before, since starting 35 days ago, we have achieved over 6k followers on Twitter, 11k Discord, and raised 110k during our presale. Many of these are first time users of Harmony.


  • $17K after launching a feature-complete product on our testnet

  • $17K after forming a DAO with 5-out-of-9 multisig

  • $17K after launching on our mainnet with audit

  • $17K after 1K daily active users (with launch video, full PR promotion)

  • $17K after 10k daily active users (with a detailed roadmap, governance process)

External links

Harmony Gnosis Multisig


The Harmony Nodes team is highly fortunate to have the opportunity to work alongside Harmony One. As a team who believes in radical social change, it is encouraging to see an influential organization, like Harmony One, take the initiatives they have. We look forward to strengthening our relationship with Harmony, and helping provide the recognition Harmony One deserves within the space.

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Thanks for your proposal, it has been assigned to @cheualx, who will review and respond shortly :blue_heart:

Thank you. Looking forward to hearing back from the Harmony team.

Hi @S3nseiCrypto,

I would like to learn more about your defi protocol and how 1.75% daily ROI is achievable?

Thank You

We will have to close topic given inactivity. Please reapply once project is ready given Grant and Investment Guidelines.