Finance: Changing payment distribution

Current payment situation

During pre-season a standardized payment process was proposed that contains a 70% USDC / 30% ANT reward payment distribution.

Problem

Aragon Association has a limited amount of ANT in the treasury which will shrink relative faster as we keep imbursing contributors in the same distribution, due to recent market circumstances (price drop of ANT).

Proposed solution (short term)

Changing the reward distribution rate from 70/30 towards 90/10 which will ultimately not result in receiving less ANT tokens as the price dropped significantly. In addition, distribution in the treasury is right now also 90/10 as there is 76.5M worth of USDC & 8.5M worth of ANT.

With this solution we still can get contributors involved with Aragon as we still pay out in ANT, we protect contributors better against price volatility, and the ANT treasury will shrink slower.

We acknowledge that this is only a short term solution, as sooner or later the ANT treasury needs to be refilled (a long term solution will follow later on).

2 Likes

This is a very good foresight. Also, the selling of part of the ANT received by contributors (not all contributors) might not help matters in the current market situation. I totally support this move. Well-done @Ricktik6 and team.

3 Likes

Vote result: Aragon Voice