[PIP-62] KPI Option for DOUGH Staking

Full discussion can be found in this forum thread https://forum.piedao.org/t/pip-62-uma-kpi-options-for-dough-staking/1004

Summary This is a proposal to use UMA’s KPI options 2 to align community incentives and boost the percentage of DOUGH staked in recently announced DOUGH Staking & Governance Mining 1.

The Relevance to PieDAO With the launch of Staking, the efforts of the PieDAO community are concentrated towards the ‘north star’ metric that has been defined as having at least 30% of DOUGH circulating supply locked in the staking contract. I believe issuing KPI options is a great way to coordinate these efforts and add cryptoeconomic incentives on top.

Specification Below is the proposed scope of the KPI Options for DOUGH staking:

• Proposed Airdrop targets: pro-rata to all veDOUGH holders
• Proposed Airdrop date: at first reward Pie minting
• Options expiration date: in 6 months, ie. 31st March 2022
• Metric tracked: total amount of DOUGH staked
• KPI Option backed by: DOUGH
• Proposed total amount of KPI options: 10 million units
• Maximum option converting value: 0.5 DOUGH per option, if 15m or higher ‘staked DOUGH’ KPI is hit.

Total option payout per KPI hit: growing in a step function, as below:

• 1M DOUGH Total Payout, with 7,5M DOUGH staked
• 2M DOUGH Total Payout, with 10M DOUGH staked
• 5M DOUGH Total Payout, with 15M DOUGH staked

In case this proposal gets accepted, a total amount of 5M DOUGH should be moved out of the PieDAO Treasury in order to be used as collateral for the minting of the 10M KPI options at this page https://projects.umaproject.org/0x79b6BD0FC723746bC9eAEFeF34613cF4596E6dEF

You are called to give your support to this initiative:

• a YES approves the initiative of using KPI Option Tokens as incentive for the upcoming DOUGH staking initiative
• a NO rejects the whole initiative