OCP-14: Amendment to OCP-8 Rewards Distribution

Voting ended about 1 year agoSucceeded

ABSTRACT

This proposal requests approval to amend OCP-8 to transition from a linear to a non-linear rewards distribution model for 150,000,000 $EDU Tokens designated for node operators on EDU Chain. The shift to a non-linear approach is essential for fair compensation and maintaining sustained engagement within the EDU Chain network.

MOTIVATION

The rationale for this amendment is that a linear distribution lacks the flexibility to adjust node reward emissions according to the ecosystem's needs.

For instance, if demand drops, increasing rewards can boost attention and demand for EDU Chain nodes. Conversely, if demand is too high, reducing rewards can help control excessive token emissions.

By adopting a non-linear approach, we aim to encourage continued engagement with the EDU Chain nodes, adapting emissions based on the supply and demand.

This adjustment will incentivize ongoing participation, promote fair compensation, and prevent excessive token emissions..

SPECIFICATION

The proposed amendment to OCP-8 will entail a strategic shift from the existing linear distribution mechanism to a non-linear model. This transition will promote sustained engagement and fair compensation among participants within the EDU Chain network.

After the 3-year distribution period concludes, any remaining undistributed EDU tokens can be utilized for purposes on EDU Chain such as increasing total value locked (TVL), serving as loan collateral, and providing liquidity for mainnet dApps.

DECISION MAKING

The revised rewards distribution model will be validated by OC Council members before implementation. A comprehensive announcement will be shared to specify the reward allocation method for the Open Campus community, following consensus from the council.

Open Campus Council Members