Saffron Staking Rewards Renewal (Addendum)

Hey everyone,

The latest governance proposal concerning Saffron Staking Rewards has finished, with Option 4: Sell treasury SFI for ETH and pool it to UniswapV2 and SushiSwap for DEX liquidity without staking rewards winning.

We need further discussion regarding that option on the forum because the specifics were not outlined in enough detail. As Psykeeper mentioned, with this new proposal a few options would be presented in snapshot. Here we can work with the community to generate ideas on what those options would be and how we can create a second and likely final governance proposal as to what to do about staking rewards for V2. Again, the more detail the community can come up with here and provide for a set of parameters, the better.

I still belive protocol-owned-liquidity coupled with the end of LP-rewards is beneficial for saffron and its investors in the long run. But as I said, this is not trivial to pull off and would need the commitment of the team and the devs. There are a few solutions, mainly Olympus Pro, but maybe also Balancer LBP. To avoid a lot of sell pressure on SFI, this campaign should take place over the course of at least 10 weeks, or maybe even longer. In order to get protocol-owned-liquidity in a meaningful way, saffron would maybe need to set aside the same amount of SFI it would have distributed for LPs in the next 2 years, meaning 2 x 3375. At current prices this would result in ~300’000 USD of liquidity. The team should evaluate the possibilities and make a dedicated proposal if it sees this proposal viable. If the team doesn’t want to do this then there is no reason in pursuing this road. Voting doesn’t make sense if there is nobody to implement the option. Of course the traditional rewards for LPs are an option as well. The team should launch another poll with only actionable options and then stick to the result. The question of rewards for single staking should be addressed in a separate poll.