[RFC] Use treasury funds for Delegations on ETH

Hey Lonser here,
that idea came up multiple times already and I wanted to take the initiative and make a gov post and a possible PTIP for it.

The idea is to deposit X amount of treasury funds ($500k - 1 million) into the Multi Delegator and make groups (or single people) representative so they can make delegations using the treasury funds on ETH.

The risk is minimal, the funds stay in custody of the PT treasury contract and the representatives just have the ability to make delegations.

Possible Representatives:
Grants Multi Sig
Executive Team Multi Sig
Community Team Multi Sig
A new ETH Delegation Multi Sig
@tim
@Lonser
@Tjark

Multi Sig representatives are more flexible because the address is fixed and members could change. But single addresses could make delegations faster in some cases.

@tim probably already has some usage for this feature if we can implement it.

Technical details (WIP, never did a PTIP before so please take a look if you have knowledge):
TWAB Delegator:
https://etherscan.io/address/0x5cFbEE38362B9A60be276763753f64245EA990F7
Treasury:
https://etherscan.io/address/0x42cd8312d2bce04277dd5161832460e95b24262e

Action #1

  • Contract address: 0xdd4d117723C257CEe402285D3aCF218E9A8236E1
  • function: approve
  • spender address: 0x5cFbEE38362B9A60be276763753f64245EA990F7
  • amount uint256: 1000000000000

Action #2

  • Contract address: 0x5cFbEE38362B9A60be276763753f64245EA990F7
  • function: stake
  • _to: 0x42cd8312d2bce04277dd5161832460e95b24262e
  • _amount: 1000000000000

Action #3 - #X

  • Contract address: 0x5cFbEE38362B9A60be276763753f64245EA990F7
  • function: setRepresentative
  • representative: address
  • _set: True
Do you support this idea?
  • YES
  • NO

0 voters

Pls vote but also comment, what opinions do you have about representatives, total staked PTaUSDC?

4 Likes

I’d love to see this become a reality. It’s been mentioned a couple times, but never taken to the forum to get to an actual PTIP. So thanks for this Lonser.

Delegations is one of the easiest and cheapest ways for us to publicize ourselves. With this we can do special campaings to attract new depositors or incentivize existing ones.

Just one small but, if we want to do the delegations outside of Ethereum, we cannot use the timelock to hold the funds. Therefore we would probably have to use the Exec team instead.

1 Like

I think this is a great idea.

Would be a great way to showcase to new depositors and new people coming into PoolTogether to see how winning works.

Like if they only have $20 deposited and then get delegated $1/2/3/4/5k for a few weeks.

The chances of them winning at least once drastically increases and I think the likelihood of them increasing their deposit amount during or after the delegation ends would also drastically increase once they see how it all works and get a win or two.

I like this idea, but I’d like us to start with a smaller amount of funds. AFAIK contributors were currently playing around with about $100k PtUSDC. I think a sensible next step would be around $250k. We can always increase it later if the program is successful. Let’s step into this gradually.

Each delegation needs to be undelegated before funds can be withdrawn. It will take work to unwind delegations, depending on how many were made. That’s another reason I’d like to start with an amount that ideally doesn’t need to be withdrawn for a long time. A smaller amount will keep most of our treasury liquid.

1 Like

Removing delegations is a single transaction with Bulk Delegation ser! I’ve done it and it’s beautiful. I think I might have teared up! (But this was with Optimism for 15 users so mainnet might be different)

Could we start small at the management level but still allow for the deposit of 1-2 million? This is something that we’re asking of other treasuries (actually 5+ million in some cases).

Not sure what you mean here? Maybe you could clarify this a little.

Our situation is different than other treasuries, who may have millions of dollars to play with. We only have 2.5m in stables, and we are going to have Team Budget Requests occurring every quarter. Placing 1-2m into a contract that can tie those funds up (even somewhat) would make the treasury much more illiquid.

I’m all for increasing delegations, but let’s not pour a huge portion of the treasury into them! Let’s start slow and iterate. No need to rush into it, IMO.