Burn the timelock on the YFI token so that no minting can ever take place again.
Abstract:
Set governance to 0x0 on the YFI token, preventing all future issuance.
Motivation:
On-chain governance will soon be finalized and deployed. This will be ready within the next ~2 weeks, pending on audits. As the first official on-chain enforced governance vote I want to propose burning the minting capability permanently, thus permanently capping YFI.
Specification:
After on-chain governance is deployed. Multisig will transfer all system rights to governance. The first official on-chain enforced vote is proposed to be permanently capping YFI.
“Mint more” is one answer to some important questions about the future of YFI and this community — but it’s not a great answer. I am convinced we will find better answers and unlock even more interesting opportunities if we take this path forward.
(edit)
Having issues about casting vote (“Voting power = 0 YFI”). As suggested, moved the conversation to more relevant channels/threads, so this can be about the proposal itself.
See Issues trying to cast a vote?
YFI supply never exceeding 30,000 is very exciting to me. At the same time, I think being able to bootstrap markets with token based incentives is very powerful and we might want the ability to do this in the future. While we don’t need to bootstrap yVaults since they don’t rely as much on network effects, we might find offering token incentives to be useful for other products/markets in the yearn ecosystem down the line which are more dependant on network effects.
The alternative to minting new tokens for bootstrapping a network would be to finance incentives via the treasury. We might be able to have enough in the treasury to be able to do this effectively in the future, or we might not. We don’t know.
So to me, it seems like the best option here is to wait and see as I don’t think we have a large immediate benefit from permanently reducing financing options, and this potentially creates a meaningful handicap.
I think my favourite part of this proposal was the timing. Right when price was at resistance forming a double top. Just needed something to punch 40k.
