Status: Draft
Authors: @Eswak
Hi everyone! I have been working on “meta-governance” recently, meaning that our DAO will be able to use TRIBE to proxy-vote in other DAOs using the governance tokens held in the PCV, or more generally “play the game” of other protocols in a way that favor the Tribe. As of today, we hold AAVE, ANGLE, BAL, COMP, CRV, CVX, INDEX, and TOKE. I will release each meta-governance updates separately (1 token/protocol each time) to create a clean forum thread to discuss the proposed strategy each time, and introduce new contracts in the system gradually.
Context
The DAO currently deploy 10,000 ETH (27M$) in Tokemak, and hold 10,290 TOKE (~308k$).
Tokemak is a protocol that allows users to stake single assets in “reactors”. There are multiple reactors, one for each asset. Depositing 1 FEI in the reactor gives 1 tFEI. When liquidity deployment will be live, assets from “pair reactors” (ETH, FEI, DAI, …) will be paired with assets from “token reactors” (FXS, ALCX, SUSHI, …) in various AMMs. Reactors work in “cycles” of 24 hours now, but after liquidity deployment is live, cycles will be of 1 week. To withdraw tFEI back to FEI, a user has to “request a withdrawal”, and their funds will not be placed in an AMM on next cycle, and will be available to withdraw. tTOKE holders can vote to increase incentives on their chosen reactors, to attract more liquidity.
Summary
- Allow permissionless movement of TOKE farmed by our ETH pair reactor PCVDeposit to a new TOKE PCVDeposit.
- New TOKE PCVDeposit will stake TOKE in the tokemak reactor to get tTOKE.
- New TOKE PCVDeposit will use tTOKE to vote for incentives on the FEI reactor (initially).
Motivation
The TOKE incentives will attract more user-circulating FEI to be staked in Tokemak, and when liquidity deployment is live, a larger FEI reactor will increase liquidity of FEI against major DeFi tokens.
Specification
There is no need to define a “delegatee” for TOKE voting power yet, all voting behavior will be coded in the TOKE PCVDeposit contract, so it will be its own delegate. Voting will go through Tokemak’s L1 to Polygon bridge. Later, when a TRIBE reactor is up, the DAO or OA timelock will be able to change voting weights to 50% FEI / 50% TRIBE for instance, instead of the initial 100% FEI.
I suggest to keep this proposal simple and only about using our TOKE in reactor voting. Other threads/proposals can be created to discuss our current 10,000 ETH allocation on Tokemak, or minting FEI in the Tokemak reactor, etc (e.g. Fishy’s proposal).
Voting
The proposal will use simple choice voting. Voting options :
- Yes, use TOKE as described
- No, more discussions needed