[BPD:04] Profit Distribution - Week 4

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 4

For the fourth week, we are proposing a further adjusted scope for this vote. We will move back to multi-choice voting to test out the impact now that almost all of our available chains are included in the vote.

The parameters for this week are:

• Multi-choice voting
• 60% distributed by holder votes, 40% by core
• Any products on any chains save Ethereum Mainnet
• As many vote options as are requested, or otherwise up to the limit of Snapshot's capacity
• Incentives to be paid out in $mooBIFI where possible, and stablecoins otherwise
• No CLM Reward Pools to be incentivized where there is also a CLM Vault of the same pool
• A maximum of 15% of the total allocation to any one option, after all adjustments
• A minimum total distribution amount of $100, after all adjustments
• 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
• Where the minimum threshold is not met, those votes will be removed from the calculation of total voting power thereafter, to ensure other options are able to pass the minimum threshold
• An abstain option to allow voters to demonstrate attendance without needing to use their entire voting power

For future weeks, please go to the #-profit-distribution channel on Discord to put in your requests.

This vote closes at Midnight UTC at the end of Tuesday 26th November, with incentives going live on Thursday 28th November. The Week 5 vote will go live on Friday 29th November, and requests are open for submission on Discord from after the posting of this proposal.

Recommendations

Having surveyed the available and requested options, the core contributors team recommends the following choices for key product categories:

• Stablecoin Product - curve-lend-fraxtal-sfrax-crvusd
• Bluechip Product - uniswap-cow-poly-wbtc-weth-rp
• ETH-correlated Product - aerodrome-weth-mseth
• BTC-correlated Product - curve-op-tbtc
• Best Protocol Revenue-generating Opportunity - aerodrome-weth-ox

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})