The first proposal about the future inflation of YFI is about to go live. This might be a good moment to start a discussion about how to spend/allocate certain parts of it. YIP-30 allocates 25% of YFI emission to Multisig // DAO for security, development etc.
Since yearn is a project by and for the community I think it’s a good idea to reserve a generous part of the emission and use it to start a grant program. We can use it to fund projects/ideas that add value to the yearn ecosystem and beyond. I would have liked to see a bit more emission, not because I think more incentives are necessary, but because we could use that extra capital to fund projects like a grant program.
One of the strengths of yearn is its/the community, investing in it will pay off massively in the long run. We have created a lot of “funds” out of thin air, let us use it to make the ecosystem/Defi community/world a better place.
We could, for example, have rounds like the Ethereum foundation. Or donate funds to gitcoin grants to support the wider community. I might make a concrete proposal at a later point, but for now, I’m mostly interested in what the community thinks.
let me know what you think!
Very much in favor of this.
If the inflation model and 75/25 split are passed, there will be 1,412 YFI emitted to the Multisig in the first year. At current prices that allows for ~$5m of value to allocate. Not bad.
Quick note: though discussed as one proposal, the allocation of 75/25 LP/Multisig split will likely be in a separate YIP, for governance housekeeping more than anything.
Keep an eye out!
Extremely biased opinion:
As one of the active participants, I would bump Multisig/DAO allocation as high as possible – more money is good. ¯\_(ツ)_/¯
25% allocation at current price seems more than enough. Looking forward to what other people think.
If the price keeps increasing it will be much more. It’s probably a bit early to start the discussion. Looking forwards to all the good we can do!
It is definitely not early to start the discussion cause there should be a way to cover audits, now.
Most of the code used does not have formal audit.
Agreed. I would support a significantly higher percentage of all YFI released going to the Multisig/DAO. Some would likely be sold right away to cover immediate needs. The rest could be staked for non-YFI rewards (if that is where we go), and we would have flexibility with respect to using those rewards – audits, dev grants, or even LP distributions.
I was talking about the grant program. I agree. After the migration and inflation decision, securing funds for dev and security should have the highest priority.