Governance Overhaul and Future Rewards - Proposals / Discussion - yearn.finance

Authors

Summary

Move fully to off-chain voting hosted by Snapshot. Enable voting with your YFI from everywhere, be it wallet, staking contract or providing liquidity on Uniswap. Distribute the rewards based on voting participation without vesting. Open up the way for yUSD 7 rewards and gYFI 9 proposals.

Abstract

Signal and YIP votes migrate fully to off-chain governance on Snapshot 5. Voting results are submitted on-chain.

Leverage the new Snapshot strategies 4 feature to enable users to vote with YFI locked in other protocols. Centralized exchanges and malicious staking contracts will be barred from voting with users’ funds.

Vote results are persisted on-chain along with a merkle root in the new Governance v3 contract. The upcoming Treasury Vault v2 contract attaches the rewards to the finished votes.

Governance stakers can claim the rewards from multiple votes they’ve participated in by providing merkle proofs.

Motivation

Pressed by the gas price surge we have already de facto deviated from the initially outlined YIP process. I believe it’s an opportunity for a complete governance overhaul.

This proposal addresses many common complaints like:

  1. not being able to vote with your YFI sitting in a vault or some protocol
  2. or fears of that protocol voting with your YFI
  3. the rewards not covering the gas costs for smaller voters

Given the increased participation in other DAOs, we’ll have more proposals from them flowing in. For example, YFI holders will soon be able to cast a combined vote in Curve DAO 3.

Specification

TBD

Vote

For: Move forward with the proposal

Against: Reject the proposal

Poll: (verysoon)