Summary
We propose to allocate 5% of TTS (5m CVP) to the PowerPool team as a long-term incentive for project development.
Terms of allocation: lock-up for 1 year and 18 months linearly vesting after starting from the date of vesting contract deployment if this proposal passes. The voting power of locked tokens will be linearly vested for 18 months, starting from the same date.
Motivation
The PowerPool’s team originated the project and developed it without any external funding, declining all investment offers. The team delivered several mainnet audited products with “first-ever” functions and tech on the market, research and educational materials, built community, and attracted attention from top-tier DeFi professionals during four months of full-time work. Two main products got initial traction (PowerIndex, PowerOracle). The main product, PowerIndex, is successfully delivered to the market and has $4.6m TVL in less than 24hrs of operation.
According to the project progress and team achievements (read below), the team demonstrated its capability to deliver reliable tech, conduct research, and build an ecosystem around the project. Token allocation as a long-term incentive for the team will secure a great future for the project, create solid DeFi products, and finally deliver the first-ever meta-governance protocol.
The 5% TTS allocation will not dilute liquidity mining incentives and voting power from a long-term perspective and represent a fair incentive for the team.
Project progress and team achievements
The PowerPool project was launched in late July with the idea of a meta-governance value creation pattern. The idea was to accumulate voting power from several protocols into one proxy token and establish a meta-governance system with minority token holders, whales, and protocol politicians. From the team’s perspective, such a system could contribute to solving the unfamous Voters’ Apathy problem and combine governance tokens stakes of minority token holders, becoming a new force on the DeFi governance market.
The first idea was to use the lending market model as a host model for implementing the meta-governance value creation pattern. Taking into account high gas costs, the team decided to use L2 networks such as xDAI and Matic for that purpose. After successful testing of the L2 lending market product on xDAI and Matic, the Delphi Digital team approached us and proposed to use Balancer AMM and create an ETF-like DeFi index - PowerIndex with a meta-governance function. A bit later, they added Vault strategies for pooled tokens to improve the capital efficiency of the index and offer an additional source of income for the index token holders (PIPT token holders).
The Baby version of the PowerIndex was delivered three weeks later with a $550k liquidy cap, which was filled almost instantly by our discord community. Now the main version of the PowerIndex is launched after Mixbytes audit. The PowerPool’s team delivered an additional infrastructure product - decentralized cross-chain oracle PowerOracle, which operates in Ethereum mainnet providing 12 price feeds based on the economic model for independent price reporter and fishermen. PowerPool has serious support from the DeFi community (tweets, retweets) and was noticed by crypto media.
Tech
First L2 Defi protocol in mainnet (xDAI, Matic chains).
Audited by Pessimistic.
https://t.co/lxlEw2G6bY?amp=1,
https://twitter.com/xdaichain/status/1296835183015059456, https://twitter.com/Daryllautk/status/1296760568917852160, https://twitter.com/VENTURE_DAO/status/1299102477418029056, https://twitter.com/xdaichain/status/1299357179259105280, https://twitter.com/maticnetwork/status/1306937553086418944
Smart ETF-like Defi index - PowerIndex
Index can use pooled tokens for voting in composite protocols (meta-governance), use them in Vault-like strategies and also is entirely governed by the community. Read A complete guide to PowerIndex and use it: powerindex.io. Audited by MixBytes. The idea of the index was proposed by Delphi Digital:
Re-imagining The PowerPool, Power Index Proposal: Team Statement, https://twitter.com/DeFi_Dad/status/1306786212980678656, https://twitter.com/powerpoolcvp/status/1307451752720076800, https://medium.com/powerpool/baby-power-index-is-launched-8b3cdcf2f43f, https://twitter.com/powerpoolcvp/status/1314706728068489217, https://twitter.com/powerpoolcvp/status/1316478543958863879
PowerOracle - truly decentralized cross-chain oracle, aimed to deliver price feeds to Ethereum mainnet, xDAI, Matic, NEAR, and BCS.
Now it is operating in Ethereum mainnet reporting 12 price feeds. Now more than $600k of CVP tokens is staked in the oracle to perform price reporter’s job. https://medium.com/powerpool/power-oracle-a-decentralized-cross-chain-price-oracle-b94e453f5580
Partnerships, integrations and collaborations
Matic partnership and grant, xDAI collaboration, Delphi Digital collaboration, The Graph, Boardroom, Synthetix ecosystem partnership, YFI ecosystem partnership and integration, AAVE meta-governance integration
Community
The most active governance in Defi protocols: 3 proposals in one time
The first-ever case for changing token distribution by the community. The participation rate in voting was ~50% of TTS and >75% of registered votes. https://twitter.com/mediodelphi/status/1311454207640297472, https://twitter.com/powerpoolcvp/status/1312890074393083904
First CVP-based Vault for farming created by an external project
Grant program for engaging communities of every PowerIndex composite protocols was launched: https://twitter.com/powerpoolcvp/status/1321936180116656129; 7 governance forums and described value propositions for each project
Collaboration with Delphi Digital, resulted in creation of PowerIndex
https://www.delphidigital.io/reports/a-power-play-for-powerpool/, https://twitter.com/mediodelphi/status/1300099619104358402,
And also dedicated PowerPool research group, Governance Forum, community translators (RU, ES - Getmegone and alb2001), memes creators
Governance
Boardroom partnership (CVP is the second project after COMP which was completely integrated with the Boardroom):
https://twitter.com/boardroom_info/status/1305590549399744512, https://app.boardroom.info/
Advanced governance system for PowerPool from a Defi composability point of view.
Users can vote using CVP, CVP-ETH Uniswap/Balancer LP tokens, PIPT token, PIPT-USDC LP tokens, and also use L2 network xDAI for zero-cost transaction signing. So, users can vote without pooling out the liquidity which means high liquidity and high engagement into the governance at the one time. It also unifies usage of all Powerpool products: https://medium.com/powerpool/the-power-universe-understanding-powerpools-ecosystem-50f9d7f0be5
Political Parties and vote delegation: https://medium.com/powerpool/powerpool-update-vote-delegation-and-q-a-674fd3767723
Research
Invention of new concepts and academic research work in collaboration with best minds from Defi space.
Invention of meta-governance concept to on-chain governance and Defi market, supported by other projects, influencers, and media:
an initial vision: https://t.co/jRmnmo0ui9?amp=1
vision update: https://medium.com/powerpool/powerpool-the-tool-for-meta-defi-democracy-8bb82f02f40, https://twitter.com/1inchExchange/status/1299353260172742657, https://twitter.com/Cointelegraph/status/1301909648891494407
Meta-governance as the “augmented governance” approach: https://medium.com/powerpool/powerpool-meta-governance-as-augmented-governance-for-effective-protocol-management-d681260ca09b
Brand new model of Defi index in collaboration with Delphi Digital Re-imagining The PowerPool, Power Index Proposal: Team Statement
Brand new “meta-governance value creation pattern” invented. It is contributing to academic science of economics of decentralized systems (Token Engineering): https://medium.com/powerpool/understanding-value-of-cvp-token-and-meta-governance-value-creation-pattern-a530d1a1dec1
An idea of dynamic weights changing in live AMM pool was developed and implemented (in collaboration with 1inch.exchange co-founder Anton Bukov): https://medium.com/powerpool/dynamic-weights-changing-model-for-powerindex-the-amm-pool-of-8-tokens-6213f24f56f1
Roadmap
The team plans to keep building and delivering as they did it from the first day of the project. The future roadmap includes*:
note, that this roadmap is preliminary and can be changed according to community decisions
PowerIndex
PowerIndex is a meta-governance smart AMM pool that will get a serious share of voting power in composite protocols serving as an ETF-like DeFi index at the same time. We definitely see an ecosystem with more than one index, so PowerIndex is just a first step. Proposed roadmap:
- Composite protocols governance systems implementation. COMP, UNI are ready. YFI was recently implemented but will need an upgrade for YFI v2 in the future. AAVE is on the way. Next will be NXM and MKR. For SNX the team is waiting for an update of their governance system.
- Vault strategies for composite tokens. Currently, AAVE and YFI strategies are developed. Strategies for other tokens (where it is possible to create some sort of strategy) will be developed.
- Governance ecosystem development. PowerPool needs strong inter-protocol relationships as we stated before. For that purpose, there is a PowerIndex grant program to attract Protocol Politicians and keep them involved.
- TVL growth: marketing, working with our tester’s network. Partnerships.
- Launching the next indexes according to the community vision and integrating these indexes into the PowerPool index ecosystem and meta-governance protocol. Now there is a community interest in governance tokens of NFT projects and small-cap DeFi projects. Let’s see how it goes via proposals.
PowerOracle
Our vision for PowerOracle is to build a cross-chain data network based on DEXes TWAP (currently Uniswap is used) and an economic model based on CVP staking for reporting price feeds. Such a data network will work as an infrastructure cross-chain brand, providing additional utility for CVP tokens and acting as a liquidity sink. Also, it will help to establish necessary partnerships and tech integration with other chains and projects based on them:
- Upgrade of staking smart-contract, adding a feature of using staked CVP in oracle for voting in PowerPool governance
- Implement slashing mechanism for Fishermen
- Provide price feeds to xDAI, Matic, NEAR, Binance Smart Chain, Polkadot
- Oracle promotion/adoption/ecosystem building
Community
We plan to engage more people in our community activities and make it more autonomous:
- Community content creation grant program
- CVP Protocol Politicians program
- Co-funded research grants for tech PowerPool is interested in with top-tier Defi professionals and projects
- Protocol Politicians grant program for index composite protocols
This roadmap is a preliminary one: (1) Defi space develops rapidly (2) our community has its own opinion on ecosystem development.
Best regards,
PowerPool team
