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Zero Collateral DaiZero Collateral Daiby0xEE3A8cFf0ed07B2301d873272B61Acd70C97BB7D0xEE3A…BB7D

Fix hyperinflation (definitive poll version)

Voting ended about 5 years agoSucceeded

🚧 How do we fix Zai after a bug inflated our supply from 100M to roughly 400M ? This vote is to gather community sentiment and can be voted on if you are bonded or staged in the DAO.

After long discussions, we think we have narrowed down our options to two paths :

1️⃣ Start work on a V2 migration

First, we will need to hire a solidity coder and pay this person with the Community fund wallet (ZCF multisig). Solidity coders are hard to find, and we need to make sure the transition is bug free. Thus, we cannot give a clear ETA (release date). This Zai V2 would primarily consist of a token migration that resets the supply back to a certain ratio that will need to be decided in a future poll (4:1 ? 5:1 ? 10:1 ? etc.) Here is an example: you have 4 ZAI V1 worth $1, you then migrate to 1 ZAI V2 worth $1. This V2 could also feature new and improved coupon mechanisms.

2️⃣ Start work on a V2 migration AND temporary re-peg to 0.25 (4 ZAI = 1 DAI)

This solution is the same as #1, except that while V2 is being developed, we temporarily re-peg to 0.25 (a quarter, so 4 ZAI = 1 DAI).

Re-pegging to 25c will in essence return us to the system dynamics that were in place before the inflation bug. 100mm tokens attempting to reach a peg of $1 is equivalent to 400mm tokens attempting to reach a peg of 25c. It's not pretty, but it's the most stable, quick, easy, temporary fix we have at our disposal right now until we can finish programming the migration. After this patch is deployed we can begin the longer process of implementing and migrating to ZAI V2. The temporary re-peg is only one line of code and it has the highest guarantee of having no effect on other system mechanics.

3️⃣ None of the above. Something else than re-peg and/or V2 migration.

Continue the debate on what to do.

Off-Chain Vote

1. V2 no temp peg
0 11.3%
2. V2 with temp peg
0 85.6%
3. None of the above
0 3.2%
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Timeline

Jan 11, 2021Proposal created
Jan 11, 2021Proposal vote started
Jan 13, 2021Proposal vote ended
Oct 26, 2023Proposal updated