Include insurance takers in the governance process

NOTE: This proposal does NOT affect the rewards for current Liquidity Pools! The rewards discussed in this proposal are only additional to the existing rewards.

For a healthy governance process, it is important that all active parties in the Opium network are represented. Section 5.2 of the Opium whitepaper describes the $OPIUM token economics, and states that 60% of the tokens will be distributed to “active users”.

The definition of active users will be decided by governance as well on a regular basis.

With this proposal, insurance takers will be considered part of the active users. Therefore, $OPIUM rewards will be allocated for insurance takers in past and future insurance pools. This will not only benefit the governance process, but also provide an incentive to buy insurance on Opium.

A poll in the forum regarding the allocation amount showed the majority of voters was in favour of a 25/75 distribution in favour of insurance sellers (https://forum.opium.network/t/proposal-opium-rewards-for-insurance-takers/81/7).

Concretely, passing this proposal means the following amounts of $OPIUM will be distributed to insurance takers:

• cDAI Leverage (Junior tranche): 1'667 $OPIUM
• USDT Protection 24 FEB: 1'667 $OPIUM
• USDT Protection 05 MAR: 1'367 $OPIUM
• USDT Protection 13 MAR: 667 $OPIUM
• Future insurance pools will also allocate 25% of the $OPIUM rewards for insurance takers

The rewards will be distributed to insurance takers in these pools proportional to their stake in these pools using the DR.OPIUM mechanism.

Read discussion on governance forum: https://forum.opium.network/t/proposal-opium-rewards-for-insurance-takers/81