[Implemented] Expire HFT grants that have not been claimed for over 60 days

Governance
1

Proposal Structure

  • Title: Expire HFT grants that have not been claimed for over 60 days
  • Author(s): @gxmxni
  • Related Discussions: N/A
  • Submission Date: December 22, 2022

Body Paragraphs:

  • Simple Summary: HFT is meant for users who engage with the protocol, and is a reward conveying governing power in exchange for loyalty and involvement. Some users never claim their HFT. The suggestion is to re-assign those HFT back to the DAO treasury an recycle them for future initiatives.

  • Abstract: Introduce and expand on the proposal. Highlight key points on how the proposal will improve stakeholder experience, protocol performance, and the overall implementation process.

  • Motivation: First off, remove rewards for users who do not interact with the protocol. Secondly, reclaim tokens that can be recycled for future activities (e.g. the Hashverse). The Hashflow Foundation has already implemented aggressive notifications in the UI that alert users when HFT is available for claiming.

  • Specification: On a daily basis, the HFT award service will monitor token unlocks that have been stale for over 60 days. For each such user, currently awarded (vested & unvested) HFT will be nullified. The user can still earn rewards in the future. The Hashflow Foundation engineering team will implement extra notifications to alert users when their rewards are within 2 weeks of expiry.

  • Benefits (Pros):

  1. Do not reward users who are no longer active.
  2. Increase DAO treasury, which enables more future activities.
  3. Save some HFT which would otherwise be locked indefinitely (e.g. wallets that are no longer active, or no longer accessible)
  • Downside (Cons):
  1. Some users who come back later and see their rewards gone may be pushed away. However, the current DAU is about 2K, which is orders of magnitude smaller than what we hope to build here.
  • Voting: “yes” to implement the above, “no” otherwise
5 Likes
2

Need some clarifications.

  1. “interact with protocol” means you need to claim at least once for last 60 days or interact with Hashflow DEX?

  2. Does it work for NFT and LP rewards too?
    I think we shouldn’t implement this for LP (and maybe NFT rewards).

  3. In case this proposal accepted, will all distributed & unclaimed rewards at Nov 7 be “burned” (send to the community treasury)?

  4. Does it work like:
    Date: March 1
    Earned n tokens for trading in December and haven’t claimed them yet.
    → Tokens “burned”

1 Like
3
  1. Interact with claiming – they would have to claim within 60 days of being awarded tokens
  2. It’s universal – reward type agnostic. I think we should incentivize people to claim and use their tokens to vote / participate, rather than accrue large virtual bags and be passive.
  3. Yup. It would be a no-op, since they’re currently hosted inside the claimer / multisig.
  4. Tokens burned + other existent rewards burned.
1 Like
4

Thanks.
Agree with this proposal.

1 Like
5

I really like this proposal. From this dashboard, HFT Stats, it looks like only 70M of 175M of HFT circulating supply has been claimed thus far - which is around 40%. While I think this doesn’t account for HFT tokens allocated to MMs to generate HFT liquidity, but it may still have sizable impact on HFT supply (likely more than stopping future HFT vests which this DAO loves discussing).

My only suggestion is that we make an announcement on HFT Discord and TG channels to ensure hashgang is aware of this before we execute the burn.

6

How does it work? Can we track those tokens on-chain? (e.g. backing to the treasury) Because I know all the allocations are off-chain till the moment user click to claim.

7

There would be no on-chain tracking, since the tokens would not be disbursed out of the treasury in the first place. It’s just that the IOU would be canceled.

8

I support this proposal

9

Agree with this proposal

10

I agree with the proposal but I think we need more transparency regarding the actions.

  • If it’s a burning action I would like to see an on-chain activity → a transaction that contains transferring unclaimed tokens to 0x0.
  • I would like to see regular reports so that we can follow things with proofs.

I think 60 days is a reasonable period of time.

11

I agree with that :fire:I think it will be better for dao