1 - Mint 12k new YFI and distribute to multisig/DAO for further action by governance votes.
2 - Sell 2k of those 12k YFI on the market over a multi-month time period (e.g., 250 each month for 8 months). Use some proceeds for immediate needs such as audits and put the remainder in yearn yield earning products.
3 - Stake the remainig 10k YFI in the reward governance pool for earnings from the yearn ecosystem. This would collect about 24% of the total earnings (10k/42k).
4 - Determine what to do with yield from sold YFI, earnings from governance pool, and 10k YFI in future votes. For example, incentives to LP providers can be selected to be paid in YFI or non-YFI tokens (e.g., yCurve, yUSDC, aDai, etc.) from any of those sources. As another example, those funds could be used to buy YFI from the market.
This adds 2k YFI to the market on a defined schedule but lets the project enjoy some of the value from that distribution. It gives funds to the project. It retains flexibility to distribute 10k YFI and other assets in the future subject to governance votes. If the minting keys were burned as well, it would provide a cap and clarity to existing and potential future holders of YFI.