[DOMANI-2] TVL Rewards Proposal

INTRODUCTION

After the DOMANI-1 proposal of December 2021, the community decided to distribute 13,000 $DEXTF per day in rewards split as follows:

• 3,000 $DEXTF per day for providing liquidity on the DEXTF/ETH pool
• 3,000 $DEXTF per day for providing liquidity on the DEXTF/AVAX pool
• 7,000 $DEXTF per day split up proportionally across all chains for providing liquidity to the fund token/token pools

In this proposal (DOMANI-2), both of the DEXTF/ETH and DEXTF/AVAX LP rewards would remain untouched. However, we are proposing changing how the remaining 7,000 $DEXTF per day will be distributed, changing from liquidity provision to the fund token/token pools to instead reward users who hold fund tokens.

The decision to put this proposal forward is based on the fact that reward distribution on the fund token/token pools has become increasingly difficult and will also incentivize natural TVL growth. If this proposal is passed, the 3 month vesting period will also become a thing of the past, and we will instead distribute rewards monthly, aiming to airdrop rewards the first week of the following month. It is important to note that this will not affect inflation in any manner and will simply change the way the already existing rewards are distributed.

Objectives:

Simplify reward distribution and incentivize natural TVL growth on DOMANI.

THE PROPOSAL

• Option 1: Reward users who hold fund tokens in their wallet by giving out 7,000 $DEXTF per day across Avalanche and Ethereum proportionally to the total TVL of both chains.

• Option 2: Keep rewards as they are.

Happy Voting!

The Proposal is open for voting from 27th January 00.01 UTC to 31st January 23.59 UTC. If approved, the change will apply effective 1st February 2022.

CONCLUSION

We, therefore, ask the community to vote on this proposal choosing one of the two options.