New proposal to move community treasury to SNF

Secret Governance
1

As has been discussed at length (Redirect Community pool to SNF), there is a proposal on chain at the end of voting to redirect community tax to SNF, along with increasing the total tax combined to 20%, all of which will be managed by SNF.

It looks likely that this proposal will pass later today with over 54% participation.

The next planned step is to post a proposal to move the funds previously collected by the community pool over to SNF for management.

Please read the full thread linked above for context.

Of the 900k SCRT in the pool, there is a proposed plan from Shade to deploy the tokens into various pools and lending protocols on Shade.

We propose to use the community funds along these lines, with some minor modifications - namely to preserve a portion of the tokens (around 100k) for the network. These tokens will be used to pay for network functions over the first three months of the new tax along with any new community requests that may come up.

Shade and SNF will work together to determine the best deployment of the adjusted amount.

We have not yet discussed how the different rewards from the staking and lending will be used - I would like to hear from community members how you think this could be handled.

We welcome discussion from the community on the plan in general. We plan to put the proposal on chain tomorrow, after the first proposal vote is complete.

(We’re not doing another full week of discussion before putting the proposal on chain because this is really a continuation of the topic we’ve discussed for the past month.)

I look forward to hearing from the community.

Lisa
for SNF

6 Likes
2

It might be good to have some reserve and possibly balance the stkd-SCRT/sSCRT price.

Because of the distribution of Shade pools, sometimes there is a parity swing even if stkd-SCRT is fully covered, the SNF could use some of the funds to offset this price, which will bring more stability to the price of stkd-SCRT during large price volatility, and potentially the SNF can make some money without having to affect the onchain staking APR.

3

Given the likely infrequent submission of POC grants (which SNF mentioned they wanted to handle), yield from lending, liquid staking, or swap fees could be used as funding for micro grants, with the principle deployed remaining as an “emergency fund” of sorts for SNF.