OLIP-4 Tokenomics Update Proposal

From the last Town Hall and discussion within the Core team, we are proposing the following changes to the current tokenomics setting:

1. Emission based on usage: a. Emission based on protocol usage, with 3m OLE cap. The reward will be diluted if it hits the cap. b. Keep the lending reward at the current level of about 1.1m OLE per epoch, which can be adjusted based on the TVL level. c. The trading reward is set to cover trading costs at par with the current OLE price. The covered cost will include the DEX LP fee and OpenLeverage fees. d. Extra emissions will be allocated when the protocol is deployed and launched on a new chain, subject to future community voting.

2. 30% of generated fees will buy back OLE, put back into the treasury, and be removed from the circulating supply. A smart contract will execute the buyback process.

3. Move $200,000 (in BNB/USDT) from the insurance fund to the treasury. Future use of the fund will be subject to community voting.

4. Clans Clash Invitational will end.

5. Referral program streamlined into our new Influencer Engagement Program. All influencers, as referrers, will be verified by the number of their Twitter followers, historical activity, and the active status of the promotion tweets. Influencers will enjoy 5%-10% of their referees' OLE earnings for the next 12 months.

6. 200k extra OLE to be distributed to position holders per epoch, based on the size and duration of their positions.

7. Team allocation vesting schedule to be changed from locking three months at listing then linear vesting five years, to locking 12 months from listing then linear vesting through four years, three months.

8. Reducing reward and Boost Cap: a. Disable trading reward for opening OLE short positions; b. OLE/BUSD extra rewards reduced from 50% to 5%; c. xOLE trading acceleration reduced from 140% to 20%; d. xOLE lending acceleration reduced from 140% to 20%. e. A boost cap for each epoch will be implemented for xOLE holders when accelerating OLE learning on lending and trading.