[PIP-46] Cross-chain emissions redistribution

authors: @larrythecucumber, @leekuanjew

---

Background

Pickle is committed to a multi-chain, multi-layer expansion strategy.

We are an Ethereum-native DAO and protocol, yet our community supports expansion to other chains, as evidenced in our Discord history as well as polls like this one, as well as Ethereum scaling solutions (aka Layer-2 solutions or "L2s"). So far, we have deployed to Polygon, and are ready to deploy to Arbitrum and OKExChain (OEC) pending the closing of some business matters, one of which is emissions. Previously, cross-chain emissions were explicitly supported in PIP-36, which also lead to a temporary increase in PICKLEs/block from 0.1 to 0.3 until EOY. Currently, we provide 0.1 PICKLEs/block to Polygon, and keep 0.2 PICKLEs/block in the Ethereum mainnet.

This Proposal is to set a new direction on how to allocate cross-chain emissions between the Ethereum mainnet and other sidechains and L2s, including Polygon, and is of particular importance to the impending launch in Arbitrum and OKExChain. Lessons have been learnt since the defeat of PIP-43 where some voters were uncertain cross-chain emissions distribution would be revisited (the answer is YES). Moreover, the passing of PIP-45 has shown tremendous willingness by the DAO to let the Core team follow a strategic and dynamic approach to emissions distribution when it comes to pool 2s, a logic that is worth extending to cross-chain emissions. This strategic flexibility has already started to pay off as the Core team was able to negotiate with Balancer Labs a 400 $BAL / week incentive for a PICKLE-ETH Pool on Arbitrum.

Proposal

Following a period for public comment on the Forum, we have refined the most well-received and viable option in order to produce a simple binary vote, given the time-sensitive nature of developments in cross-chain incentives.

We propose to empower the Core team and the SCCOC to decide on cross-chain emissions distribution.

Similar to how PIP-45 was passed. We propose this split between mainnet and non-mainnet farms to the DAO now:

• Ethereum mainnet: 0.20 PICKLE/block
• non-mainnet/L2s/sidechains: 0.10 PICKLE/block

Under the oversight of the SCCOC, the Core team would administer the non-mainnet portion strategically. Should this PIP pass, the above distribution would apply. The 2/3rd mainnet portion will be distributed according to the existing Gauge system.

The Core team is committied to using the non-mainnet portion to attract quality non-mainnet TVL on the chains where it makes most sense and on the farms where it makes most sense within those chains. After this PIP, all subsequent changes in distribution would be proposed to the SCCOC, which could then approve/veto them. All resolutions by the SCCOC would be of public record and the SCCOC will have a period of public comment lasting no less than 72 hours any time it is faced with questions on cross-chain emissions distribution. Note that the SCCOC is two-thirds community-elected and subject to recall by the DAO through the use of the PIP mechanism.

We are committed to building the Gauge system so DILL vote-lockers can decide directly. However, this process will take time.

We understand the popularity of the current Gauge as it is more decentralised and generates utility for PICKLE and DILL. However, as it was not designed for a multi-chain Crypto-verse, it is currently not applicable to non-mainnet farms. Its expansion cross-chain is a technically complex undertaking for which we are expanding our Engineering capabilities.

Note this Proposal would expand the SCCOC's Mandate, as follows:

• approving or rejecting any changes to cross-chain distributions;
• overseeing the Core team to implement due diligence in proposing non-mainnet emissions distributions; and,
• securing the resources to build out the Gauge system to include non-mainnet farming.

Vote

This is a binary vote. The vote is binding on the DAO.

• Proceed with Proposal
• Do Nothing - will keep emissions as-is and imply that we will launch on Arbitrum and OEC without PICKLE rewards.