IIP-9 Upgrade INSURE tokenomics

This document proposes to upgrade INSURE tokenomics to bring more benefits to ve/vlINSURE holders. You can see more details in the link below. https://commonwealth.im/voteescrowed-insure/discussion/7289-iip9-upgrade-insure-tokenomics

TL;DR

• The revenue distribution: 20% of the revenue from insurance selling goes to ve/vlINSURE holders in the form of the LP of the reserve pool

• Increase the maximum boosting rate to 10x We are proposing to make adjustments to the maximum boost from 2.5x to 10x

Proposal

1. A portion of the revenue goes to ve/vlINSURE holders with the LP of the reserve pool

• 20% of premiums from smart contract vulnerability insurance
• 20% of supply interest from depeg insurance

Once the proposal is passed, 20% of premiums/supply interests will be distributed to ve/vlINSURE holders on a weekly basis. The proportion of fees that each user is to receive is calculated based on their ve/vlINSURE balance relative to the total veINSURE + vlINSURE supply. This amount is calculated at the start of the week.

The actual distribution occurs at the end of the week based on the fees that were collected. As such, a user that creates a new vote-lock should expect to receive their first fee payout at the end of the following epoch week.

2. boosting rate 1-10x Once the proposal is passed, veINSURE holders will earn a boosting power of up to 10x on the token rewards for your underwriting. We make adjustments to the maximum boost from 2.5x to 10x, in order to bring more strong incentive to lock INSURE.