BIP-1 : $BPRO Tokenomics change: Reward Liquidity Providers on Sushiswap and Uniswap
Simple Summary
The goal of this proposal is to enable better liquidity for the BPRO token as it would arguably attract new users to B.Protocol.
Abstract
This proposal aims to incentivize BPRO liquidity via a BPRO-ETH Sushiswap and Uniswap pools. This proposal suggests that 50% of the current BPRO rewards that are being distributed to users of B.Protocol as part of the Liquidity Mining Program, will be directed towards Liquidity Providers on the Sushiswap and Uniswap BPRO-ETH pools. This change will get into effect once it passes the governance vote on Snapshot, (roughly in 5 days) , and will run until the end of the current Liquidity Mining Program at block 14085231 (approximately 2 months).
Motivation
The current liquidity of BPRO on Uniswap is relatively low and diminishing. As a result, the main goal of the liquidity mining program that was voted by the DAO, is not met - new users are joining in very low numbers as the BPRO rewards can’t be utilized due to the low liquidity.
In addition, new players who would like to participate in the protocol governance, can’t purchase tokens on the market due to this very low liquidity.
As the current Liquidity Mining Program runs for exactly a month now, this proposal main goal is to re-adjust the rewards on BPRO in a way that will be better aligned with all stakeholders of the protocol (Users and Token Holders alike) in order to bring new traction both to the protocol and to the token itself as they now go hand in hand.
Specification
Overview
Incentivizing Sushiswap and Uniswap V2 BPRO-ETH liquidity providers with BPRO will increase liquidity for the BPRO-ETH pair and enable new (and existing) players to buy BPRO tokens.
Rationale
DEX choice: Though initially, and over Discord, the discussion was around Sushiswap only, Uniswap is still the most popular DEX and holds the current liquidity of BPRO. So though Sushiswap may have some incentive mechanisms that are missing in Uniswap, this proposal suggests rewarding LPs on both DEXes at this stage.
**Rewards:**The current Liquidity Mining Program distributes every block roughly 0.14 BPRO to the users of B.Protocol. This proposal suggests to re-adjust this distribution in a way that 50% (0.07 BPRO) will be distributed as rewards to SLP holders of the BPRO-ETH Sushiswap and Uniswap V2 pools. The remaining 50% (0.07 BPRO) will be distributed to B.Protocol users in each block under the same conditions of the current Liquidity Mining Program.
Duration: This new Sushiswap/Uniswap BPRO-ETH SLP/LP holders rewards will become part of the current Liquidity Mining Program and will end at the same time as it was voted upon initially by the DAO by the end of July 2021 at block 14085231.
Technical Specification
At every block the ETH-BPRO SLP holders on Sushi, and LP holders on Uniswap will be recorded. Further at every block it will be recorded upon how many BPRO tokens each user controls (i.e., eligible to withdraw from Sushi/Uniswap).
A total amount of 0.07 BPRO will be accrued, in every block, to the entire holders, proportional to their BPRO holdings at Uniswap and Sushi.
The accumulated BPRO will be distributed to the users once the current program ends (at block 14085231).
| Voter | Cast Power | Vote & Rationale |
|---|---|---|
 0x2ec2...f9812a | 75,000 | For BIP-1 |
 0x11be...3dE4Df | 75,000 | For BIP-1 |
 0x7B70...1C53C2 | 52,788 | For BIP-1 |
 0xE864...f189ce | 30,226 | For BIP-1 |
 0x61C8...310bD9 | 28,000 | For BIP-1 |
VOTE POWER
Proposal Status
- Mon May 24 2021, 06:45 pmVoting Period Starts
- Sun May 30 2021, 03:59 amEnd Voting Period
Current Results
1-For BIP-1
384,842.474
2-Against BIP-1
7,974.665