QIP 010: How to Distribute Revenue to Qi Holders

Summary

This proposal is to decide how to distribute 30% of repayment fee revenue to Qi stakers. As background, in QIP 004 the community decided to distribute 30% of protocol revenue to Qi stakers, with the rest of the revenue being kept in the treasury. At that time, there wasn’t enough consensus on how the distribution would take place, so we want to revisit the topic in this QIP.

This vote is to decide whether to (1) distribute revenue in the same tokens the protocol received or (2) to buy back Qi and distribute it to stakers.

Example: MATIC vault repayment fees are paid in MATIC. Qi stakers could be rewarded in the MATIC received by the protocol or in QI that is bought with the MATIC received.

The revenue received by Qi stakers would be the repayment fee revenue from all vault types. The repayment fee is paid by users when repaying their stablecoin debt to unlock the underlying collateral. This fee is denominated in the collateral token.

Motivation

• Start Qi staking for revenue sharing
• Encourage Qi staking

Option 1: Distribute revenue in the same tokens the protocol received Option 2: Buy back Qi and distribute it to stakers