Back in December, the Tribe (Fei Protocol’s community) discussed and voted to pursue vertically integrating the entire DeFi stack as part of a broader growth strategy. The decision was made to merge with Rari Capital, a permissionless lending market protocol, after many successful protocol integrations. Both projects used on-chain token voting to approve the merger, with the intention of supporting each other and building towards the same vision while keeping the teams separate.
The merger of Fei Protocol and Rari Capital projects created the Tribe DAO. There were high hopes for the merger, but unfortunately things deteriorated.
The goal of the merger was to join forces and create synergistic products underneath the Tribe DAO. However, shortly after the merge, two of the Rari Capital founders and most of the core Rari Capital developers stopped significant contributions to the newly formed Tribe DAO. The vesting timelocks put in place to incentivize long-term commitment proved insufficient to keep them from abandoning the project.
The departure of two founders and other key core devs had a negative impact on the capabilities of the Rari Infrastructure team. The code forked by the Rari team is open source. The main benefit of the merger was the developer talent, who agreed to build for the benefit of the Tribe DAO, only to stop contributing shortly after the merger. To give perspective, 80% of the original Rari team departed shortly after the merger, and 100% of the original technical talent. As a result, other contributors stepped up to fill the gap they did not expect to be there.
It was agreed that vesting would stop for any Rari core contributors who left the project, which is a normal departure procedure for every core team member.
Given these circumstances, this forum post proposes to stop the vesting of TRIBE, which is currently vesting to the Rari founders and developers who have abandoned the project and Tribe DAO, and to put the Rari Infra timelock FEI & TRIBE in a vesting contract with a clawback.
Every other core team member, including the entire Fei Labs team, is on an aggressively back-weighted 5 year vesting schedule, and it was agreed that the Rari team would take similar vesting through a quadratic vesting contract or the same 5 year back weighted. Those who are no longer contributing will receive what has been vested until the day it is cut off pending a successful DAO vote.
Rari Infra’s timelock was incorrectly deployed during the merger and was supposed to have the clawback. This post fixes that error and also stops the vesting from those who no longer contribute.
This proposal must execute through the Tribe DAO Timelock, so this proposal will go straight to an on-chain vote, and won’t attempt to go through the Tribal Council / Veto path.
Prior to the on-chain vote, the Rari Infrastructure Team set the pending beneficiary of their vesting contracts to the Tribal Council Timelock:
- Rari Infra Team multisig calls setPendingBeneficiary on their FEI and TRIBE vesting contracts, to set it to the Tribal Council Timelock
Then, the on-chain TRIBE vote would execute the following actions from the Tribe DAO Timelock:
- Mint FEI and allocate TRIBE on newly deployed vesting contracts for the Rari Infrastructure Team, under the same conditions as the currently deployed contracts (these contracts are only migrating for technical reasons of not being able to clawback in the future if needed).
- Clawback Jai Bhavnani’s and David Lucid’s TRIBE vesting contract (1, 2, and 3)