Proposal #35

Adjustment to Vault Reward Schedule on Interlay

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1yr ago
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Hi,

Contrarily to what is described in the description, the only thing this proposal does is divide vault block reward by ~4.5, thus directly decreasing vault APR from 65% to ~14% (and not 25%)
The planned proposal of applying the new capacity-based reward formula - which I am in favor of - will further reduce by 10% to ~13%, all other things being equal.
Changing secure threshold level as described in the description (but not in the proposal) has ultimately no impact on APR - elaborated here (https://interlay.subsquare.io/post/12)

As is, this will be a NO for me.

I would recommend:

  • Pass first the proposal on new capacity-based reward formula
  • Recalculate the emissions required to reach a 25% APR based on current state and with the new capacity-based reward formula
    Without detailed calculations it seems to me that this means a vault block reward of ~20
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In our opinion, more efforts should be put on increasing the demand for INTR/KINT.

As for the price, no matter whether the block reward is reduced or not, as long as there is no demand for INTR/KINT, it will keep falling.

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Agree with the sentiments above. This is a rushed proposal that does not give anything close to adequate consideration to the many issues raised in the discussion.

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