[BIP-18] Proposal for Adjustments to oBTC Minting Rewards

Recently, we have witnessed some deflationary effect in such a volatile market through the gradual progression of emission reduction to a few of our farms. Therefore we want to propose cutting the oBTC minting rewards by no longer providing any $BORING rewards to users when minting oBTC, to further control the number of $BORING tokens in circulation.

Since oTunnel has been launched, in total, about 9,000+ BTC has been minted and 8,000+ has been burnt. Therefore, approximately more than 30 million $BORING have been minted through the coin mining process. It is clear that continuously distributing such a huge amount of rewards will aggravate the inflation of $BORING tokens. Hence, incentives for the oTunnel users to mint oBTC will be ended. Such part of the saved rewards can be used for the Curve War to accumulate more power to boost the APR of the oBTC pool on Curve.

Pros: stop providing $BORING rewards to oBTC minting will be conducive to further mitigate inflation on $BORING tokens. We can save the fund for us to participate in the Curve War and bribe more CVX holders to vote for the oBTC pool, which as a result would increase the chance of winning and possibly boost the staking yields.

Cons: no extra rewards for the oBTC minting process. oBTC farms won’t be affected by this.

PS: if this proposal gets passed, minting rewards for oLTC and oDoge will also be adjusted, and the previous proposal to lower the pledge ratio allocated to oLTC will be implemented with this one together.