Skip to content

Latest commit

 

History

History
26 lines (16 loc) · 2.54 KB

TIP-18.md

File metadata and controls

26 lines (16 loc) · 2.54 KB
Raw
id Title Status Author Description Discussions to Created
TIP-18 Pause SNX based distribution Implemented BigPlutus/BigPenny (@RealBigPenny) Pause SNX based distribution in preparation of TIP-17 https://discord.gg/8bzFdpGTrp 2022-01-01

Simple Summary

This TIP aims to pause the weekly SNX based THALES distribution until the community decided on a final draft for TIP-17 and the Thales Council approved it.

Motivation

After observing continuous sell-offs of linearly unlocking THALES retroactive distribution for several months by large SNX holders, who do not participate in the protocol and severely hurt THALES price and project valuation, the Thales community decided to overhaul the rewards mechanism for weekly SNX based THALES inflation. The goal is to create a more fair inflation distribution model and to reward SNX stakers who support the Thales protocol. The resulting TIP-17 is a work in progress and currently worked out on the Thales Discord. The current iteration can be seen here: TIP-17

Current projections suggest that implementation of TIP-17 will take 4 weeks from now, so it is best to pause the currently ongoing weekly THALES inflation for staking SNX, to prevent further damage to the Thales project and the THALES stakers. The fact that the necessary changes cannot be be done immediately should not prevent the Thales community to take action and protect itself, especially in the current market situation. The new rewards mechanism will be very generous to everyone staking THALES and SNX at the same time so a temporary pause is not hurting anyone who is already in alignment with the Thales project.

Specification

  1. THALES weekly distribution for staking SNX is reduced to 0 (from 125k) until TIP-17 is passed and implemented.

  2. 500k THALES (4 x 125k THALES) will be set aside into a separate pool (managed by Treasury) to be used for L2 rewards like for example increased THALES staking rewards, increased LP rewards and possibly other rewards.

  3. The exact distribution of the 500k THALES set aside by TIP-18 must be worked out by the Thales community (community governance!) and passed by the Thales Council as a separate TIP. The purpose is to empower the Thales community to directly participate in shaping the projects future on L2.

Test Cases

Implementation

Copyright

Copyright and related rights waived via CC0.