Jade Protocol DAO

Summary

Jade Protocol is currently the fastest-growing DeFi project/community in the world. This vote intends to address the scarcity, emissions, and supply of $JADE as the project reaches Escape Velocity.

In order to make an informed vote, you must read our latest Medium post.

Motivation

At a certain point, the rising supply of $JADE (from high APYs) will surpass demand, creating perpetual selling pressure. APYs of 100,000,000%+ are an effective marketing and “new user” onboarding mechanism but are unsustainable over a long-term time horizon as they will inevitably cause the price to slip.

Now that we’ve validated the market’s rabid interest in the idea of a “Decentralized VC Fund”, we believe that unsustainable yields are no longer a good idea. We’re going after a multi-billion (trillion) dollar idea; the long-term upside is much more exciting than short-term yield.

The reason we’ve grown to over 65,000 wallets in less than 3 weeks is not because of high APY. Plenty of OHM Forks have similar APY percentages.

Our unusually fast growth is because of market demand for our utility vision: a massive treasury that serves as a Decentralized VC Fund; for the people, by the people.

The signal from other founders and the community is: transition into utility mode ASAP.

This means SLOWLY reducing APY and focusing on creating paradigm-breaking, real-world utility and value for our ecosystem (which we’re implementing at break-neck speed). The reduced APY would still be high enough to be very attractive in terms of rewards generated (we aim to eventually stabilize APY at a number significantly higher than $TIME).

As our community base grows and we continue to develop our vision, we believe it is imperative to address the matter of sustainability now. If the community votes to reduce APY to sustainable levels, our team would adjust to allow for at minimum a 1-year runway.

Proposal

We propose two options to the community as follows:

1. Keep APY percentages as they are. This is an effective marketing mechanism and will continue to attract short-term investors. However, there are serious long-term implications for the sustainability of the protocol at current emission levels.

2. Reduce APY to sustainable levels that allow for at minimum, 1-year of runway. This will increase the scarcity of the $JADE token and solidify the long-term sustainability for the project, as a whole. This would also increase the odds of significant price appreciation of $JADE because demand would dramatically outweigh supply over time.

Voting

The vote has a “warmup” period. This is intentionally designed to foster community discussion before the vote goes live.

The vote will go live on December 12th, at 6:30 PM PST. It will be open to voting for 24 hours and will conclude on December 13th at 6:30 PM PST.

• If you agree with our proposal to reduce APY, select “IN FAVOR of slowly reducing APY.”

• If you disagree with our proposal to reduce APY, select “NOT IN FAVOR of reducing APY."