Proposal 5 - Distribute ETH or FODL from Tax Wallet

When FODL was launched, the team made the overture to the community that all protocol revenue/fees gained by the tax wallet https://etherscan.io/address/0xfF6062AAc9A6367Ce2F02C826C544a130baBCf32 would go to FODL stakers, by using the assets to buy FODL and distribute it to xFODL stakers.

Times change. The team believes that a more powerful approach to utilizing the protocol revenue would be to convert protocol revenues to WETH, and make said WETH claimable by xFODL stakers on a monthly basis.

The exact Merkel mechanism would still have to be ironed out (as we wouldn’t want whales to buy & stake FODL just before distributions only to sell right after), but we would suggest something along the lines of “accumulating xFODL power”, such that the longer your FODL is staked the more impact it has when calculating awards.

The team proposes a “LooksRare”-like model for WETH distribution, where FODL stakers would get to see their claimable WETH amounts on the staking page.

We’d target once a month WETH distributions, starting February 28.

Some form of weighting mechanism to avoid whale / sibyl attacks immediately before distributions would have to be implemented.