The proposal is already live and you can cast your vote starting as of now
The proposal is prepared and launched by @Sergey
- Reduce the LM rewards by ~50% for all mining pools in January-2021
- Keep voting on the next month’s mining rewards for the next 3 months (incl January-2021) at the end of each month
This separate proposal is required as YETI pool rewards will be 0 next month if we don’t set it up
For the next 3 months which will be critical for PP development, I suggest ruling the LM rewards manually and see what gives results and what doesn’t give the results.
The main goal - don’t allow the overinflation of CVP and the price drop to go beyond the point of no return.
The actions proposed are SUPER SIMPLE (please see below the summary and specification)
As everything is pretty clear here and due to the urgency please see just brief facts below, would be happy to share more info on abstract and motivation at the end of the next month
Current rewards structure creates inadequate returns, CVP oversupply and deflates the value of CVP
- The team works on a new design of the mechanics behind the index
- The community is about to launch at least 2 indexes
Why should we keep having such enormous returns?
Either the product has its product-market-fit and TVL grows naturally or the product has failed and nothing helps in this case.
In both situations, artificial inflation should be implemented manually, not by default.
We are trying different ways of how to increase the TVL, and at the moment it looks like the CVP overinflation doesn’t work.
Please don’t forget that in case we keep these high returns and the price falls down due to overinflation (and looks like it will) the APY will decrease anyway
So I believe it would be better lower price and no inflation than lower price and overinflation
The current pool rewards planned for the next month
PIPT (Staking + Balancer)
Month 1 rewards will be 1m CVP
Month 2 rewards will be 700k CVP
Month 3+ rewards will be 400k CVP
-> SET UP 500K CVP PER MONTH IN JANUARY
Month 1 rewards will be 182k CVP (per week)
Month 2+ rewards will be 91k CVP (per week)
-> SET UP 91K CVP PER WEEK IN JANUARY (AS IS)
Month 1: Staking 200k + ETH/YETI balancer 250 (450k total)
Month 2: Zero
-> SET UP 300K CVP PER MONTH IN JANUARY (SAME PROPORTION)