Linkage Finance passive earning & governance program
Summary (TL;DR)
Introducing a passive earning mechanism will give the $LIFI token a more sustainable utility. The solution aims to tackle downward pressure that reduces the token retention rate. The overall procedure encompasses the following steps:
- Create a Governance stake pool.
- Stake your $LIFI in the Governance stake pool.
- Platform fee sharing to developers and stakers in every 3 months. After costs %10 to DAO treasury, %20 for devs, %70 for stakers. Devs can stake their token like everybody else for more profit.
- Gain Voting power and Passive earning share by the formula (Staked amount x staked days) during a period. (Passive earning from collected fees)
Introduction
This thread aims to introduce a simplified incentivize the holders’ strategy to the $LIFI protocol. The latter will tackle $LIFI’s price volatility and serve as an incentive for the token holders.
Motivation
The initial $LIFI token utility was to serve as the centerfold tool of allegiance with the project, as well as participation and improvement of the protocol through DAO voting. However, those features proved too idealistic and insufficient to retain a steady token price.
Aim of this proposal;
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Incentivize holders and encourage new holders.
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To make $LIFI token more sustainable
Benefits of the abovementioned strategy:
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Utilizing the $LIFI locked in the platform smart contracts in favor of the community.
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Token holders will be incentivized to hold their $LIFI and take part in the DAO more actively.
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Token holders will be incentivized to hold their $LIFI and receive part of the platform profit.
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This will create buy requests and $LIFI will be bought off the market, which will offset excess price volatility.
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The DAO will be able to propose and increase the treasury holdings.
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Preventing manipulation of the system by purchasing tokens during voting time and selling after voting period.
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Reduce $LIFI price volatility
