Sushi

This proposal’s expectation is to produce an implementation. Full details and discussions thus far can be found at:

https://forum.sushi.com/t/multichain-expansion-operational-fund/4549

In order to maintain and expand an expansive list of sidechains and layer two solutions, this proposal recommends that 2% from the 5 basis point fee bridged back to SushiBar be reserved under operational management. As a result of community signaling in the linked forum post, the community recommends 2% of the 5 basis point fee and this percentage will be applied to only All Networks except Ethereum Mainnet.

The rationale for this operational fund stems from the need to acquire additional human, infrastructure resources, and align technical objectives. Currently bridging and converting the accumulated LP positions reserved for SushiBar are strategic actions. This operational fund allows for not only the expansion of relevant operational tools to scale these actions, but also ensures bridging is happening often and strategically amongst other ongoing initiatives.

The current model for multichain expansion is quite frankly not sustainable. A mechanism currently does not exist to derive funds from each expansion to sustain subsequent operations. Additionally, it would be a naive assumption that expansion is only a matter of deploying contracts - rigorous infrastructure, monitoring, community building, incentives management all are necessary for successful and sustainable deployments. The goal of multichain expansion is to grow potential fees for xSUSHI holders. There is no cannibalization of existing yield, rather ensuring each subsequent expansion can be sustainable