TranchessDAO #003 - To Add a Gauge Allowing Users to Vote on CHESS Emission Distributions Across the Funds of Tranchess (Voting Ended)

Proposal
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#1

Summary

To add a gauge allowing users to vote on CHESS emission distributions across various funds of Tranchess. The gauge effect lasts on a per-week basis until the next gauge reweighting.

Abstract

As Tranchess increases underlying assets and expands cross-chain and gradually transitions into a community governance protocol, it is only natural that emission distribution across the different funds should be decided by TranchessDAO. This would be done via a gauge where users cast their voting power in deciding the % allocation to each fund. At the end of each weekly voting period, the ratio as reflected by the final votes will determine the allocation between each fund.

The purpose of voting on a weekly basis is to provide a balance between allowing sufficient time for the effective realization of the gauge itself, as well as maintaining the flexibility of adjusting to market demand amongst different funds. The gauge vote would determine 50% weight of the next weekly period, whilst the other 50% weight would be drawn from the current week’s fund allocations. This 50-50 split would ensure a smoother implementation of the gauge vote results on the CHESS emission distribution across the various funds.

Motivation

Given our gradual approach in promoting decentralized governance of the protocol, it is essential for users to contribute a tangible impact to the earnings distribution of Tranchess. This gauge structure allows CHESS holders to:

  1. Dynamically adjust to the demand of each respective token.
  2. Accommodate for newly added tokens without causing large disparity.
  3. Incentivize the community to seek out new funds to add with autonomous governance.

This could also lead to a boost in liquidity within the order books of Tranchess Swap. As the Tranchess community adjusts to maximize CHESS returns across funds, the liquidity within the order books would improve as users aim to fill their bids/asks at optimal levels.

Finally, gauge voting potentially normalizes the distribution of CHESS within the community so the best interest of the veCHESS holders is represented.

For

  • Ability to affect emission distribution across funds moving forward
  • Dynamically adjusts to the needs and demands of any new fund.
  • Increases liquidity within Tranchess Swap order books
  • Normalizes CHESS distribution across funds

Against

  • Should there be strong short-term demand for one fund, it may skew votes towards it in extreme.
  • Early supporters of Tranchess may have stronger voting power

Please click here to vote on Snapshot.

2 Likes
#4
#5

I will vote for anything that benefits CHESS stakers. I feel our voice has been under heard for a long time. Thank u for finally giving us governance. Appreciated, Frog ~

#6

I’d like to encourage voters to vote No. I think a consistent, stable and reliable emission policy is very important. If we keep changing the rules of the game during the game, we lose credibility. I worry that the emission policy will turn into a political theater. We don’t need the drama.

Kind Regards,
Drever

#7

This is somewhat the same reason why I voted “NO”
I think it should be evenly spread out, no matter the asset.