Proposal #397

Phase out Incentives for EEUR

Exec Legacy Content
passed
Expected result
Passed
Turnout / Quorum
62.37% / 20.00%

Voting period

Voting ended100.0%
Voting start 2023.01.16 at 12:33:32
Voting end 2023.01.21 at 12:33:32

Vote distribution

80.27%
103 787 587 osmo
Yes
0.03%
40 853 osmo
No
0.00%
869 osmo
Veto
19.70%
25 475 753 osmo
Abstain

Details

logo
Proposer
-
Total deposit
1 600 osmo
Submit time
2023.01.16 at 12:31:21
Deposit end time
2023.01.30 at 12:31:21

Description

This is a proposal to phase out OSMO incentives to taper the liquidity of the EEUR stablecoin in light of the e-Money team announcement on the 9th of January 2023.\n\nBackground\ne-Money has ceased further issuance of its Euro stablecoin, EEUR, as of an announcement on the 9th of January 2023. Redemption mechanisms continue as usual until the 6th of March 2023 along with continuing arbitrage mechanisms that maintain the peg.\n\nThe full announcement can be found here: https://medium.com/e-money-com/eeur-stablecoin-unwind-cf945820fb3f\n\nPlan\n\nAfter this proposal has passed governance, incentives for pool #481 will be removed according to the following schedule:\n\nThis Proposal: Directly removes Superfluid Staking from Pool 481 (~5.9% APR reduction)\n\nRoutine Incentives proposal on 23rd January, Effective epoch of 29th January: Incentives set to 50% of the existing allocation (~5.5% APR reduction at current liquidity)\n\nRoutine Incentives proposal on 30th January, Effective epoch of 5th February: Total removal of OSMO incentives (~5.5% APR reduction at current liquidity) and removal of EEUR from the list of Stable assets\n\nJustification\nWithout lowering OSMO incentives on the EEUR pool, it remains an attractive place to provide liquidity, attracting new users to use EEUR as a stablecoin despite one aim of the unwind period being to reduce the number of holders to those who need to redeem directly with e-Money.\n\nTapering allows users time to see the announcement and unbond manually while using the maximum setting to prevent the incentives from increasing due to any additional volume the pool may see from holders exiting.\n\nCommonwealth Thread: https://commonwealth.im/osmosis/discussion/8888-phase-out-incentives-for-eeur

Votes

Voter
Answer