Trial $150,000(Max Payout $150,000, Min. payout $50,000) in KPI options to be used by the grants committee in the upcoming quarter. My hope is upon successful use of the KPI options by the grants committee we can expand the use of options in future grants budgets. Grants committee would attempt to pay some contributors. If the options aren’t used then they come back to treasury but it would be great to see if we can pay contributors with options even if its for a portion of the payment.
How would this work?
- Maximum possible payout amount of POOL tokens is locked up in the options contract and options tokens are sent to the grants committee.
- Expiration date set for 1 year from the end of the quarter.
- Options set with max payout of 1.5 POOL per option which is unlocked if Pooltogether is at 1B or more TVL upon expiration. Minimum payout is technically 0.5 POOL per option but the TVL would be added on so if at expiration the TVL was 177MM then the options are redeemed for 0.677 POOL (0.5 POOL minimum + 0.177 POOL value in the TVL).
- Grants committee then offers the options as a payment option to those applying for grants.
What would be the benefit of doing something like this?
- Incentivizes builders to continue to grow the protocol even after work is complete.
- Defers sell pressure by over 1 year which helps in our early growth phase.
- First steps in an amazing partnership with UMA one of the leaders in DEFI products.