New Stake & Farm Rewards for 2023 Q1

Discussion
#1

This is a proposal for transferring 200 000 KACY from the DAO to Team Multisig to allow the deployment of new KACY rewards for the next year’s quarter.

Rewards Distribution

  • 10k KACY for staking KACY without withdrawal delay
  • 20k KACY for staking KACY with 15 days of withdrawal delay
  • 60k KACY for staking KACY with 45 days of withdrawal delay
  • 40k KACY for staking LP of KACY-AVAX
  • 35k KACY for staking aHYPE
  • 35k KACY for staking K3C

Reasoning

Last quarter we had 250 000 KACY distributed as rewards, this new quarter we propose lowering the new rewards in 50k. Lowering especially the rewards for aHYPE and K3C, since even with high rewards we haven’t managed to bring new liquidity to those pools. This is a small step in an ever-lowering plan on rewards.

One may argue lowering it even more, giving market conditions, but remember that distributing rewards is part of our plan to decentralize decision-making to those who support the DAO in these early stages.

1 Like
#2

One important note:

For the first time since our DAO inception, we’ll experience a small downtime on rewards. This Proposal will take some time until accepted (or rejected), and unfortunately the ongoing rewards will end tomorrow (January 17).

This was not planned, but a mistake on our side as the lead dev team.

3 Likes
#3

I voted against :no_entry: because I would like to keep the same rewards for upcoming quarter (if possible)

2 Likes
#4

I voted in favor for the following reasons:

  • Rewards are very high on dETFs right now and don’t seem to be bringing in new users. If we can maintain the same investments while the DAO spends less KACY this would be favorable in my opinion. I do recognize it is good to reward early adopters though.
  • The finished product of the DAO is not ready. It would be nice to save KACY and boost rewards for a time once the team is ready to market.
  • I very much believe the team is highly competent and does thorough research in their decision making. As the team has brought this proposal forward I am confident in the research they have done.

I’d like to point out this proposal is only for the quarter. So, there is always opportunity to change this next quarter. But, as stated the plan is to continue to lower rewards making KACY a scarcer asset.