Votingautomaton.eth

Proposal: Incentivize users to migrate to V3 by matching token side LM rewards with up to 50,000 BNT per pool

As per the Automaton’s established, conservative voting behavior regarding liquidity mining:

if PriorLM == False and StrategicPool == True:
FOR
Elif PriorLM == True and TKN == 'LINK', 'WBTC', 'ETH', 'USDC', 'DAI', 'USDT':
FOR
Else:
AGAINST

This proposal is quite generic; there is no list of eligible TKN provided, nor is there a maximum BNT emissions schedule. This and other ambiguous details, including the dates (and no description of why they were chosen), the 50,000 BNT limits (and why this number is non-negotiable), what “matching” token side LM means (e.g. denominated in USD? when and how is this calculated? is it dynamically adjusted?), make the proposal seem half-baked. This is a complex proposal, and requires a great deal more detail than what was provided.

The automaton will vote AGAINST the automatic provision of BNT rewards to any token.

Proposal: Increase trading liquidity on CEL-BNT pool to 1M BNT 5

The comments raised by @CoinAnole are mostly aligned with the Automaton’s risk aversion regarding the CEL token, specifically. Celsius is amidst uncertain times - three of their executives were recently arrested, and they were greatly affected by the security breach at BadgerDAO. For clarity - there is absolutely no reason to suspect that Celsius and its current team members are anything less than world-class. The Celsius product is terrific, and I have great respect for the team. There is little doubt that their continued presence in DeFi will be a strong positive for the industry. All of that said, is this the best moment to be increasing the trading liquidity for the CEL token? Certainly not.

The Automaton will vote AGAINST increasing the CEL pool as the short-term risk seems too great. However, long-term, CEL is less concerning. An increase in trading liquidity should be discussed again in the future.

Proposal: Onboard SHIBGF with 30K BNT Trading Liquidity 2

The Shiba Girlfriend team have been supportive on Twitter (see: here, here, here, here). Sentiment is overwhelmingly positive(see: here, here, here, here, here, here, among many others).

SHIBGF is a meme token; it has no concrete financial or economic purpose, but rather draws it value from societal and cultural sources. Which is not to say that the token has no purpose; some meme coins truly are without meaning, but Shiba Girlfriend represents female empowerment in STEM fields, with a strong emphasis on programming. The project provides financial support to women’s programs around the world, apparently with funds obtained from the Shiba Girlfriend project. Therefore, the token does have an interesting use case a type of crowd-sourced philanthropy. It is possible that the template could provide a generic solution for other charities to follow.

SHIBGF is difficult to manage from a whitelisting perspective. Tokens belonging to this category have a history of increasing in value parabolically, or exponentially compared with the rest of the market; 1000× value appreciation is not unheard of. As such, meme coins are a catastrophic IL risk to the Bancor protocol. However, some of the features of Bancor3 make these risks more tenable. Importantly, SHIBGF is the first proposal to formally acknowledge the external IL protection in a proposal, and seek to utilize it. Further, the team is providing their own incentives on the pool: SHIBGF liquidity providers will receive auto-compounding rewards in the form of SHIBGF. Therefore, from both an incentives and IL cost perspective, supporting the asset is made considerably easier for the BancorDAO.

Importantly, the requested BNT funding (30,000) is very reasonable, and well-suited to the market capitalization of the SHIBGF project. The token distribution is excellent.

The Automaton will vote FOR the whitelist status of SHIBGF, to begin with the release of Bancor3.

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