YIP-79 Remove The Great Yam Wall
The Great YAM Wall is bad for long term holders and sacrifices the health of the treasury for the gain of those looking to sell their YAM. We should remove it.
I have written a long explanation of why the Great YAM wall is a ineffective and counterproductive mechanism here: Tear down the Great YAM Wall
- The Great YAM Wall was designed around the rebasing mechanism for YAM, which is no longer active, and because of that the core principals of it are no longer valid.
- The “value” of YAM comes from the community and core contributors using the treasury to build products that return value via revenues to the DAO. The GYW reduces our ability to do this by using assets that are productive to buy assets which are not productive. (YAM is not “productive” for the treasury because it cannot sell it or use it to make money. By using it for expenses we are further depressing the price.)
- There is little evidence that it will make any difference to the price in the long run as those who were looking to sell anyway do so at the expense of the treasury.
- Other one time buy back examples (sushi, dxDAO) have not been effective in impacting the price of the token at all.
I believe in what we are building at YAM. I know the rest of the core team do to. We view what we are doing as a marathon and not a sprint, and we should structure our decisions around that viewpoint. While the YAM price is important in the long run, selling off the treasury to make a short term impact on the price is like running a sprint in the middle of a marathon. It is pointless at best and counterproductive at worst.
We removed the rebase mechanism to pave the way for a better YAM. We should do the same with the Great YAM Wall.
There is no current in-code implementation for the Great Yam Wall now, so there is no active change that needs to be made.
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This vote is open until July 28th @ 4PM UTC