FIP-28: FeiRari TRIBE Updates

Proposal: FIP-28
Stage: Last Call

Single-sided TRIBE staking rewards should be coming to FeiRari this week. This will represent a substantial amount of rewards, and likely drive over 50m TVL to the FeiRari pool.

This change will lead to some interesting behavior, such as making TRIBE cheap to borrow while subsidizing lending. This could lead to dangerous recursive leverage which reduces rewards for average users.

Proposal:

  • Make TRIBE unborrowable on FeiRari
  • Allow fTRIBE (FeiRari TRIBE) to vote on snapshot

These two changes will mitigate any risky behavior brought about by these new incentives, and simultaneously increase governance participation through snapshot.

  • Yes, both unborrowable TRIBE and fTRIBE voting
  • only unborrowable TRIBE
  • only fTRIBE voting
  • No to both

0 voters

1 Like

Totally agree with this proposal. Voting with fTRIBE is essential to stimulate participation in snapshots. I also agree that TRIBE borrowing on this pool do not bring any benefit to Fei Protocol.

2 Likes

I support this as well. People can still short TRIBE elsewhere, so we don’t seem to lose much from disallowing TRIBE borrowing on FeiRari.

1 Like

in support and voted

1 Like

I agree with this proposal, however I do not think that disallowing TRIBE borrowing is the correct course of action. I think allowing people to borrow TRIBE allows for building hedged portfolios to be able to stake and earn APY without exposing to negative price movements.

1 Like

Totally agree, The proposal is very nice :grinning:

1 Like

I agree that there is no need to give Tribe borrow. I vote for the first point

1 Like

I agree to both

May we add also, in the same proposal, an increased deployment of FEI in the FeiRari ? Seems like these ~50M governance tokens will have to borrow something :slight_smile:

1 Like

I think we should see if borrowing demand spikes before committing to this. As an alternative we can increase the FEI allocation to FIP-29: OA Multisig Updates to 50m or so. This should be safe because the funds are behind a timelock.

This gives more flexibility to support for example a future Compound integration and increasing FeiRari FEI while keeping some extra.

3 Likes

Linking discord discussion: Discord

TLDR blocking TRIBE borrowing is the lesser of two evils and we can pursue more TRIBE liquidity in other lending markets as an alternative

good idea, I think we should be prepared for a quick increase in borrowing demand for Fei in our Fuse pool.

1 Like

moving proposal to last-call

Snapshot here: Snapshot

DAO vote queued! https://www.withtally.com/governance/fei/proposal/22

1 Like