We propose that ~100,000 TRU per day (15.4 TRU per block) are rewarded to TRU stakers over the 90 day period following the contract upgrade.
This would represent an increase of ~16x from the current average rate (~6,000 TRU per day). After the 90 days, the intent is not to end this incentive distribution, just to formally revisit this decision.
Increasing this incentive to TRU should drive more demand for staking and start a positive feedback loop for the entire TrueFi protocol. Increased TRU staking can lead to more TFI-LP deposits farming TRU, more loans approved and issued, more fees generated for the protocol, and improved security for the TrueFi lending pool.
In context of TrueFi’s other farming incentives, it seems the TRU staking farm adds the second most value behind the TFI-LP farm (which is currently emitting ~150k TRU per day). The TFI-LP farm and TRU staking farm are the only farms intended to run long-term, and thus they should account for the lions’ share of TRU incentive emissions.
We’re excited about the TrueFi v2 launch and believe being adequately generous in TrueFi’s most important incentives will pay multifold dividends in community size and engagement.
To understand TrueFi’s broader tokenomics plan, and how this proposal fits into it, take a look at this document.
Let us know how you feel about this idea via the vote and discussions below. Community signal and feedback are essential in these decisions on liquidity incentives.
- Yes, I like this plan and it should move to a formal vote
- No, I do not like this plan and it should be further discussed