YIP: Yam Contributor Manifesto and Compensation

In my opinion, USD from yUSD reserves is a even worse option. 70k yUSD a month, the current reserve can only last for about 2 years for only paying for the team without supporting any investment. To be honest, i would rather expect the team to mint YAM for the compensation. There was a proposal for minting 800k BoU YAM for 3 years for team compensation, why this is directly ignored? Actually 800k BoU is still more or less enough for the above compensation plan for 1.5+ years…

I think people still hold a 95% loss token are expecting the treasury can generate some revenue for the holders and the marketcap. If they saw a large part of the treasury will be used for contributor compensation they will be despaired. You could argue that the compensation is for the team to build products to general revenue for the treasury. I agree with that, so I do suggest we wait until Umbrella releases and see how much it helps with the treasury and the marketcap. If Umbrella could prove that the product road will increase the treasury and the marketcap by a large margin, people will be convinced for the treasury compensation.

But if they do sell, and the token price wavers at all then I think it’s highly probable that parts of the community will grow resentful of the team for selling their Yam, cast aspersions that they could be responsible for the price fluctuations, and make it sound like the act of selling Yam means they don’t believe in the project.

Team don’t want to take YAM as the compensation shows more or less the same signal. For the selling part, if the team communicate the reasons (living expenses) thoughtfully, i think most of people will accept it.

I strongly agree to pay the team, but how to pay needs to be reconsidered to some extent.

what’s the fucking opinion!

One more solution would be reduce the USD proportion. For monthly compensation, may pay up to 5k $USD/mo, then the rest is YAM.

The YAM in the proposal are coming from this 800k BoU. That proposal was to mint YAMs that would be used to align the long term incentives of contributors and that is how it is intended to be used here.

This is just a trade-off that needs to be discussed. In my opinion, paying more in YAM will lead to more YAM being sold to pay for expenses. I think that is just the reality of the situation. If you have bills to pay and only YAM to pay with then you will sell the YAM to pay. If there is a general consensus that this is preferable to paying from the treasury then that’s something that we should discuss.

I think a mix like this could make sense. We can also modify and adjust as things move forward.

I’m actually not concerned about the payment from the treasury, however. In October, we paid about $210k to contributors for approximately 3 months of work, averaging to $70k per month, similar to what is proposed here, and the treasury is currently at $3M – higher than it was prior to that payment.

Additionally, the Contributor Vesting Pool was originally intended to be for… vesting. Providing contributors upside over the long term in addition to payment for their immediate services. The current value of the YAMs for vesting is about $2M, which means payment only in YAMs gives us even less runway than from the treasury. If we run out of this pool, we’d have to mint more YAM to refill it. I think the original hope was that we would not have to mint additional YAMs in the future and I generally think we should try to safeguard this allocation as best we can.

There is a reason protocols and companies pay in a currency and not just stock. It’s even more important when most of the protocol’s token is actually already owned by the community.

It’s important to recognize that paying in YAM now means minting more YAM and/or switching to treasury payment later –– likely both. I think it’s a good deal for the contributors to get paid in YAM currently, but I think it’s shortsighted.

Long story short: I’m comfortable being paid in YAM, a base USD-based salary would be nice, and I think its important to keep the vesting YAMs additionally to incentivize long-term commitment and incentives, but I also think paying from the treasury makes the most sense.

Also, if we go that route, the base assumption should be that contributors will sell their “salary” YAM to pay for various life expenses and savings. If they don’t, great, but that should be treated as the exception not the rule.

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To Everyone, this is open for discussion nothing is set in stone.

In this horrible market time, in this yam price choking point, let’s put our strength temporally into yam’s long term growth and yam’s mcap building up. To-be-honest we have such little mcap value now with such a large team, do we think everything is right? Let’s have our lunch based on how much penny in our pocket. We need everyone to put more effort to build a great community and great product with little payment at this time.

If we just want to show off yam has a large team with strength and power. You can include me to the core. You added one more member to the LONG list and you don’t need to worry about paystub (FREE, yes, I am).

I work for the community is for my belief in yam’s vision of rebasing + treasure + insurance which could make a lot of difference to the blockchain world. If you come to yam world is for all kinds of payment and salary at this hard time, I do believe you could find a better paying job in silicon valley or other high-tech companies. This job is not suitable for you at this stage.

So, let’s return to the original point of why we create and start YAM project and focus on building up value, and put all kinds of other thoughts into your pocket temperally.

my 2 cents

5 Likes

The current compensation plan has very limited incentives for the team to enlarge the treasury and increase the marketcap. Building products is a good experiment, but no one can guarantee the market reaction.

This is a quite good point. I think we need some performance metrics. For instance, we may change monthly salary to half YAM half USD. If the treasury value grows more than the USD salary amount, team gets full USD pay. If the value grows but not as high as the salary, they got the growth percentage USD. If the treasury shrinks, there is no USD salary only YAM part. Other things stay the same. It is not a high target to reach a 35k growth per month with a 3million treasury. We can make a contract about it, then everything onchain…

Just some quick ideas to inspire some real good ideas…

i dont think for this case selling YAM is a problem. I think the problem is even the team dont have the confidence in YAM as a token. No one wants to hold the bloody token even the team…

When we don’t have any compensation, what the team wants is to issue additional yams for development expenditure. After we issue additional yams, the team hopes to take an extra part of the base salary from the vault. The team wants too much , But it’s really difficult for us at the moment. We only have a small market value and cannot maintain a positive foundation.

Where is the USD/mo comes from?

current it comes from the treasury i think.

Then I suggest paying salary by YAM and use this 70667USD/month in treasury to buy back YAM in the market when negative rebase.

Good feedback. I appreciate the consideration that we need to align the long term goals of Yam with contributor compensation.

Some relevant calculations:

SUSHI returns since 11/14 (2 weeks): 13k SUSHI ($18.2k at current value)
INDEX returns since 11/19 (1 week): 1.5k INDEX ($8.1k at current value)
yUSD interest return last 30 days: 1.06% on $2.2M = $23.3k

This means that in the month of November thus far with only 2 weeks of SUSHI farming and 1 week of INDEX farming, the treasury has generate ~$50k in value. If we had farmed SUSHI the entire month, that would be ~$70k revenue for November, bringing our revenue in line with proposed expenses from compensation.

This is not even to mention the ROI we’ve seen from DPI and ETH appreciation, which are both up considerably, even with the recent dip.

2 Likes

Do you want to say that all our current investment income is to serve the team and provide more financial support to the team.

All discuss here only focus on how the team should get their compensation and full salary. There’s not a little bit about the goal they should achieve, not even mention investor’s interests. Does that mean the team can get what you want and the investors deserve to get huge loss?

“This is a long term project.” Please do~not say that again. That’s the most common excuse of those fail projects. If this project happened in Wall street or Silicon valley, all investors won’t buy it.

Yes the treasury is increasing, just a little bit, I can’t believe you are proud of it but ignore the mcap being free falling. What is the treasury for? Only for the team’s spending? If so, why should we pay the tax? Many Chinese investors are crying, even facing a broken family due to this should be good but incredibly failed project. It’s a disaster.

Now this project almost has no reputation at all outsides. If the core team keep sucks a huge money with a giant team form a shaking project, I don’t think the core team has any ability to led this project!

You even ask for extra bonus! When all the investors are crying. Jesus!

  1. You should understand that all our losses come from trust in yam. 2. If we invest three million dollars, the return will not be worse than you. 3. Do you mean that after all of US investors paid $100 million and dropped 90% in order to let you take $3 million for your own?

We invested more than 100 million dollars and lost more than 90% in order to get you three million dollars to invest and pay yourself?

不提保险,这几个月除了使用金库买了点理财你们还做了什么呢?有提出什么可以让yam投资人受益的想法吗?什么都没做,就买了点理财,还想用理财收益发工资?

团队工资绩效还不与市值挂钩?你要清楚,这是dao,如果你以创始人的身份想要求自己获得yam的股份,我想社区大部分人会同意,但你要用这几个月简单将金库理财收益来付给团队,我想绝大部分人不会同意,因为你们做的太少