Trent Elmore and Brock Elmore submit the following proposal to increase delegator rewards.
While I believe the initial proposal was well in line with the expectations set, it has become apparent that many in the community disagree with the existing reward structure. Delegators showed great faith in the team and project, took on risk in showing this support, and are extremely valuable community members.
Many argue that delegators should not only be recouped for opportunity cost, but rewarded more generally for their commitment to the project. I agree and believe that, in return, it is fair that the community ask for their continued support of the project.
I propose a modification to the flat + scaled approach proposed in YIP-2: All delegators with votes equal to or less than 20 votes will receive a flat 20 YAMv3 reward, while all delegators with over 20 votes will receive a 1:1 reward. This ensures every delegator receives at least a 1:1 reward, whereas the original YIP-2 allocated some delegators significantly more than 1:1 and some significantly less.
Equal to or Under 20 YAM Delegated: 2,100 delegators * 20 YAM = 42,000 YAMv3 Over 20 YAM Delegated 1:1 = 290,665 YAMv3 Total Delegator Rewards: 332,665 YAMv3
In total, this is a 92% (~159k) increase in delegator rewards, and delegators will receive 6.6% of the network, not including the potential community fund.
Rather than being immediately vested, however, these rewards will be unvested over a 1 month period, streamed on a block-by-block basis. This will promote the continued engagement of the delegator community.
In order to keep the total V3 supply in line with YIP-2 and YIP-12 potential supplies, I also propose to decrease the total LP Pool rewards from 1.1M to 940,923, following the same distribution scheme leading to ~282k in rewards the first week, decreasing by 30% each week.
I also propose that any rounding necessary to bring the supply to a whole number be left to developer discretion.
Finally, I propose that should this proposal be passed, additional proposals relating to delegator rewards will be considered invalid.
Delegators with equal or under 20 votes receive 20 YAM
Delegators with more than 20 votes receive 1:1 reward
Total Rewards 332,665 (92% increase from YIP-2)
Rewards unvested over 1 month timeframe
Decrease LP rewards from 1.1M to ~941k
Rounding discretion to developer
No further delegator rewards proposals