[POLL] $YFI Inflation & Reward Distribution Policy

[rgalloway]

@n00b

By increasing inflation and supply, do you believe that will have no impact on the price of YFI? I may agree that total MC may end up being the same, but I would argue that increased supply/inflation would in fact decrease the value of YFI (or at least put significant selling pressure on YFI that could only be mitigated by new demand).

I think that this may cause the current price of YFI to go down. I acknowledge that and in many ways that is bad for me (I have fomo’ed in at 3k too). But If we (the community) are going to consider ourselves stewards of the long term interests of the project then the distribution policy of YFI should focus on the long term benefit of that distribution and not the short term price implications. Any decision will alienate some group of holders. It is our responsibility to pick the most sustainable long term strategy. YFI will represent the value of yEarn as a whole and it is my belief that a higher max supply will be beneficial to the overall value, even if painful in the short term for the YFI price. We must be forward thinking.

@n00b

On a separate note, I think creating demand for the product (YFI yield farming product) is by far the most important initiative. If Andre is able to create a competitive product, the users will come which will increase TVL which will drive value to YFI. If there is enough revenue from those fees (and fees from other yearn products), I argue that there will be enough incentive for people to buy and stake YFI.

I agree that yEarn should be able to stand on its own without any more issuance. This is why I am trying to frame the conversation not as one in which we need YFI farming as a crutch, but to use it as a way to help distribute YFI in a way that has not been possible before.. This is the main point in my post here.
Attracting liquidity is a beneficial side effect, but if all the liquidity goes away after the farming stops then the product isn’t worth it and we have just re-created Fcoin.

@n00b

Andre has already shown that he can be innovative. With each product that gets created, YFI will have another revenue stream. And if those products are good, people will use them regardless of what they think of YFI.

100% agree. see point above. Also applies to your last paragraph. I want to stress that this is not about creating money or creating some eternal yield farming pyramid scheme, but distributing the token as fairly as possible so everyone who wants to be an owner of yEarn can be an owner of yEarn.