I trying to find ways to help the DAO earn funds instead of a select group of individuals and take care of possible liquidity issues once the lunch bowl on Minswap ends and this is one possible solution.
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We can farm the PoL we already have once the Dao has access to the wallet. I have suggested this several times in multiple places. Ada from the farm into the treasury. Min that is farmed sold for ada. We are on the same page with revenue generation, however you have to understand the on chain vote just recently passed to give Indigo Labs a bunch of indy from the treasury. They will have to sell that eventually. If liquidity leaves the trading pool once the LBE, the sheer number of tokens and slippage will produce less than favorable outcomes for everyone involved.
This proposal, while isnât a lot of indy, is better than nothing in an attempt to try and retain some liquidity that will exit once the LBE is over. Itâs not about âtaking care of a select groupâ, this proposal only furthers options that all indy holders can use to earn more indy while helping the protocol.
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Iâm just not convinced this will have enough impact to make a difference in keeping liquidity on MInswap from individuals. With the small amount of INDY available and small amount coming in per epoch, I donât believe this will make the APY very high, have you done any calculations on projected APY? This is why I prefer the DAO keep the INDY and use it to add liquidity to Minswap as DAO owned LP and eventually farm it for MIN to get ADA for the DAO to use for expenses.
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I agree that there wont be enough of an impact to encourage liquidity providers. I also donât think this will generate any practical revenue. Personally I just see this as a small âfreeâ (unclaimed) reward that should be allocated to active voters. Governance is equally as important as liquidity and revenue. With the amount up for grabs being so small, I think it would be better used to reward those that are reading, discussing and voting to actually help guide Indyâs way to success.
unclaimed rewards, we can vote to create a new treasury pool and use the unclaimed rewards for advertising or future hires. my point is to use the unclaimed rewards for future protocol development.
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So we seem to be in agreement that liquidity will leave once APRs have decreased from LBE ending. You
say you want to use the unclaimed indy for revenue generation by letting the DAO use it to provide the liquidity and farm. This is well and good, however, the dao wont have access to any of these funds for a minimum of 6 months since they will be locked up in our treasury wallet. Another point to make to this, Iâd assume you mean we âZapâ the indy into the pool since the treasury doesnât have the ada marry to the indy directlyâŚ
So even with todayâs numbers⌠selling 2500 indy has a 1%! price impact. This is before liquidity has even left the pool and all the extra unclaimed indy gets accumulated while we wait to get access to the Treasury. This is only a $4300usd trade that has that much effect on the liquidity pool. How can we expect adaption if the top liquidity pool doesnât have the ability to facilitate trades of more than a few hundred ada at a time?
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If liquidity is equally important as governance, then why wouldnât we try to encourage it? Governance already receives 10% of the total supply of indy emissions, where providing liquidity receives zero. So we should give governance even more indy while liquidity providers get nothing? Doesnât sound equal.
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I just donât think there is enough unclaimed Indy to offer any real incentive to LPs. I like your idea and would have no push back if the amount of unclaimed Indy was larger.
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The amount unclaimed grows every epoch, and something is better than nothing.
These numbers alone will not encourage anyone to stay.
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Thank you for this proposal DrOctaFunk!
Since the DAO is already providing almost 1.5 million ADA worth of liquidity (did I get you right there?). And the DAO treasury walled is locked for 6 more months, I fully support your proposal!
On a sidenote I think everybody should start providing a bit of liquidity, not for profit, but to strengthen the Cardano ecosystem. Everyone will actually profit from it.
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This is a good idea. As I read the comments I wish people would think of it more from a GROW INDIGO first perspective instead of looking at it as a grow my personal pockets first. Liquidity is extremely important for our ecosystem and this gives a good opportunity
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I think itâs an excellent idea
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Lp should earn indy because they are the ones taking the main risk and so i believe all LP deposit across cardano should have opportunity to earn
I ahd all things in order until my health was not oaky i couldnât reclaim my airdop in time where to go reclaim
PLEASE ENLIGHTEN ME ?
CAN PLEASE some one tell me where can i get them ?