I bring this topic here for open discussion regarding setting new params for the following;
-Community Pool (currently 2%)
-Total bonded rate, negative inflation mechanism (67%)
I would urge prudence when thinking about making changes to these params, as I’m sure we all agree the economics of a project will make or break us long term.
I’ll pick these off one by one and throw my opinions in the ring.
-The community pool will have increased usage due to committees going on-chain (experimentally for now) and increased demand for various reasons set forth later on in this thread. I say we increase this param. I suggest 5%
-The Foundation tax is harder for me to gauge given the concern with confidential information leaks and certain company dealings that require discretion. There is also a growing community sentiment that the foundation model is not the best path forward albeit a minority voice at this time. Having said that I’d like to use this param change as a chance to change the narrative of the Foundation back towards one of collaborative growth within the community. In short I would like to see the community and foundation pools work together in tandem. Each pool has their own pros/cons, speed at which capital can be deployed and nuanced disclosure requirements etc. I would also like to suggest we set up an unpaid oversight committee for Foundation spending that includes trusted community members (NDA’s ?). This would give increased confidence in the trust model and possibly solve many community transparency concerns.
I say we decrease this param. I suggest 7-10% range.
-Bonded rate (INFLATION) As of now I suggest we leave the bonded rate as is or decrease this param ever so slightly. 2% max drop at this time. I am going to take out my crystal ball and admit I don’t have enough data to determine the source of true downward sell pressure. I don’t think rewards coming from bonded accounts selling is the culprit. We want to maintain the highest ROI and prevent unbonding for a plethora of valid reasons. If we assume more exchanges are coming, and those new exchanges, along with Binance will eventually offer staking. Then my only conclusion is that we will hit our bonded rate sooner than later and inflation decreases from there. This is why I would hesitate on making changes that hasten this deflationary event.
Jay | 𝕊hadowRealm | 𝕊CRT Node