The Crystal Initiative

The Crystal Initiative

Reference the current Treasury balances here: https://debank.com/profile/0x97e82cb67d77d0f697a9a4ac419fdaad5b342d5e

If this proposal passes it will grant the DAO permission to:

1. Transfer 10,000 $CANDLE to the Crystal Staking Contract for pools 1 & 2
2. Sell all $MIKUL for $WFTM and transfer to the Crystal Staking Contract for a new pool.
3. Mint an additional 100,000 Familiar Dust and transfer to the mining contract.
4. Adjust the emission rates of each pool without further votes to rates that are funded for no less than six months and no more than two years.

(1) & (2) are straightforward requests.

(3) If we do not increase the supply of familiar dust, new users cannot mine the resource. We expect them to be less likely to use Shrines if this is the case (because Shrines are used to forge Familiar Crystals from Familiar Dust).

Most of the familiar dust is owned by Shrine owners, and Shrine owners are most likely to use their own Shrine. The inflation of Familiar Dust supply should not negatively impact Shrine Owners because this new supply should generate new shrine users, which translates into $CANDLE income. The inflation benefits the new users because they do not have to purchase a new resource, they can earn it using their Familiars.

Keeping this well filled should benefit all ecosystem participants. Familiar Dust mining provides use for idle Familiars without transferring ownership. So even just $FAM holders should see the value in increasing the supply.

(4) For a laundry list of reasons, the Crystal Staking rewards do not consider the total size of the pool (which is counter to how most farming contracts work). Example: User enters pool at time t0 with n crystals staked. The current emission rate is R $CANDLE/s User calls harvest or deposit or withdraw at time t1. The user receives: nR(t1 - t0) $CANDLE

All the users staked amounts add up to N crystals. The pool is emitting NR $CANDLE/s and so (31.5e6 sec in 1 year) the pool emits NR*31.5e6 $CANDLE in 1 year.

The condition is then that available reward token balance B is between the six month and two year emission total.

NR63e6 >= B >= NR15.8e6

As this proposal allocates 10,000 $CANDLE to two pools, we require both: 0.000316 >= N*R >= 0.0000791

We will make these calculations weekly on Fridays at 3 PM EST, and adjust the rates accordingly before 4:20 PM EST.