After an initial proposal (https://gov.timelessfi.com/discussion/11143-trc33-making-velit-a-cashflow-asset)
and an extremely extensive and engaging discussion (https://discord.com/channels/986277978776420413/1089403574435446834)
an acceptable initial plan has been proposed to take WETH that is flowing into the treasury through oLIT redemptions and distribute it to veLIT holders.
Specific details of the plan: 50% of past and future oLIT redemption WETH will be disbursed proportionately to all veLIT holders on a weekly basis over the course of 24 weeks (6 months).
To avoid a lump sum payment for past oLIT redemption WETH, of what has been collected so far (~360 ETH at time of writing), 50% will be spread out over 24 weeks to all veLIT holders.
Additionally, once this proposal goes into effect, for the next 24 weeks, 50% of all incoming WETH from oLIT redemptions will be distributed to veLIT holders.
At the end of 24 weeks, all distributions will stop. A new proposal can be initiated at (or just before) that time to determine the future direction.