A few weeks back, the team contributed 2,000,000 $SWISE (0.2% of the supply) from the Future Fund towards a farming campaign in the $SWISE/$1INCH liquidity pool. Following some initial community feedback to the idea of bootstrapping liquidity in this fashion, we would like to present SWIP-2 up for the community vote.
This SWIP will ask the forum members to vote on whether the amount of tokens that was used for seeding the 1st farming campaign with 1inch (2,000,000 $SWISE) should be refunded to the Future Fund from the Treasury, considering it is a better source for such disbursals.
As was previously outlined in the unofficial proposal, the farming campaign was meant to bootstrap the initial liquidity in the $SWISE token in order to achieve price discovery and decentralize ownership beyond just the airdrop participants. The chosen amount (2,000,000 $SWISE) was believed to strike a good balance between a sufficiently good incentive to offer liquidity and not overpaying for price discovery and decentralization. The team needed to act quickly and so made a choice to commit the said amount of $SWISE from the Future Fund, instead of a lengthier process of initiating a public quorum to disburse the tokens from the DAO Treasury.
Given the circumstances, the team proposes that a refund of said 2,000,000 $SWISE be made to the Future Fund from the DAO Treasury. The rationale is simple: 1) by design, the Treasury is a better source of tokens for the liquidity mining incentives, and 2) drawing from the Future Fund for liquidity mining incentives means less funding would be raised in the future, limiting the development runway. If this SWIP is approved, the funds in the Treasury would be put to their intended use, and the Future Fund would be replenished to support the future fundraising activity.
If the proposal is approved, the StakeWise DAO Governance multisig would submit one transaction for a transfer of 2,000,000 $SWISE from the DAO Treasury to the Future Fund’s wallet. The link to a Snapshot Vote specifying the transaction for the transfer will later be published in this thread.
- No - I don’t agree with the amount
- No - I don’t support the idea of a refund
Let your opinion be known!