Summary: the APY has been observed to cycle as approximately: 12k -> 4k-> 4k -> 12k -> 40k -> 40k. The proposal is to replace the current APY with an average return reflected as a 6-period simple moving average. The next rebase amount would remain unchanged to accurately reflect the amount an investor would receive in their next rebase.
Motivation: reduce FUD
Specification: Smooth APY using 6-period simple moving average
Pros a. Allows for a gradual change in published APY b. Reduces FUD c. Focuses on longer-term HODL return
Cons a. May confuse investors when rebase amount doesn’t reflect average
Keep unsmoothed APY only (I.e. no changes to current STAKE dashboard)
Pros a. Aligned APY to next rebase yield
Cons a. Continued focus on short term behavior of protocol