veEXTRA Staking Emission Review - 2024 Q3

Background

• As per proposal [ExIP-01], 30% of the fee buyback is matched as additional staking rewards. This will be reviewed on a quarterly basis. Governance will determine whether adjustments are necessary.
• With the introduction of borrowing fees to reward veEXTRA holders, there are now more organic and real yields for veEXTRA holders.
• This proposal aims to reduce inflation by decreasing emissions and mitigating sell pressure for the entire EXTRA community.

Rationale

• Inflation Control: Reducing emissions can help control inflation, thereby preserving the long-term value of EXTRA tokens.
• Sustainable Yield: With borrowing fees providing additional rewards, a reduction in emissions ensures yields remain sustainable without over-inflating the supply.

Execution

The chosen allocation percentage will be implemented in the next quarterly distribution epoch following the conclusion of this vote.

Proposal

• Option 1: Reduce the emission of the buyback match to 10%
• Option 2: Reduce the emission of the buyback match to 15%
• Option 3: Reduce the emission of the buyback match to 20%
• Option 4: Reduce the emission of the buyback match to 25%
• Option 5: Abstain