[BPD:02] Profit Distribution - Week 2

Background

Following the passage of [BIP:81], the DAO has been experimenting with a trial for distributing its Q2 2024 profits through user incentives. Part of the proposal suggests the implementation of holder-directed incentives, where holders of the $BIFI token vote on a regular basis to determine how all or some of the user incentives should be allocated amongst Beefy's different products.

For the remainder of the trial, we will operate weekly votes to allow holders to give input to the allocation of user incentives, and to feed back on this potential mechanism. We will alter the parameters of the vote each week, so that holders, users and contributors alike can evaluate the suitability of different models for holder-directed user incentives. The core team is keen to receive feedback and suggestions from all stakeholders on the trial mechanisms in the #-profit-distribution channel on Discord.

Week 2

For the second week, we are proposing an adjusted scope for this vote. The main difference is the introduction of multi-choice voting, allowing users to split their vote across multiple categories. We are seeking to understand how this may alter the dynamic and to what extend it empowers very large and smaller holders alike.

The parameters for this week are:

• Multi-choice (a.k.a. "weighted") voting
• 50% distributed by holder votes, 50% by core
• Only products on the OP Mainnet and Base chains
• 32 vote options
• Incentives to be paid out in $mooBIFI only
• No CLM Reward Pools to be incentivized where there is also a CLM Vault of the same pool
• A minimum of 5% of total voting power is required for selection, but with the caveats of: (1) no less than 5 boosts, with the largest options under 5% being selected if there is insufficient otherwise; and (2) the calculation of total voting power to be adjusted as describe below where any one option exceeds the maximum limit.
• A maximum of 20% of the total allocation to any one option
• Where the maximum limit is exceeded, those votes will be removed from the calculation of total voting power thereafter, to ensure other options are able to pass the minimum threshold.

The core team have whittled down excess options to provide a suitably diverse selection. For future weeks, please go to the #-profit-distribution channel on Discord to put in your requests.

This vote closes at Midnight UTC on Tuesday 12th November, with incentives going live on Thursday 14th November. The Week 3 vote will go live on Friday 15th November, and requests are open for submission on Discord from after the posting of this proposal.

Proposal

Beefy should allocate profits for the next week to the following products:

(To view the options on the Beefy app, insert the above ProductID into the following link to visit the corresponding product page: https://app.beefy.com/vault/{ProductID})