Governance updates is a weekly post that collects all information regarding governance into one forum post; the focus will be proposals going to Snapshot and those that have passed Snapshot. The aim is to inform all community members of what happened in the previous week and bring them up to speed on proposals set to go live in the upcoming week.
My goal is to get as many community members as possible involved in the governance process, as it is we who run the Index Coop and therefore should have a say or, in this case, a vote in all things regarding the direction of the DAO.
Index Improvement Proposals
This Week
Three new proposals are going live today.
IIP-84: Index Coop OTC Sale (Update to IIP-32) Final Close (Proposed by: @BigSky7 @oneski22, and @neilh)
This proposal suggests the final steps to the process laid out in IIP-32. Continue with the OTC Initiative laid out by IIP-32 and approve selling 92,759 INDEX tokens to Sequoia Capital, White Star Capital, and Blockchain.com Ventures for $24.26 USDC per INDEX. This will bring the total amount raised to $10,000,000 which is the limit authorized in IIP-32, fully completing Index Coop’s treasury diversification efforts .
The voting rights for the INDEX sold in this close of the OTC sale will not have its voting rights activated until an IIP addressing community ownership is passed, or block 13635000 is mined (expected on Nov 15), whichever comes first.
Snapshot : September 13th, 2021 to September 16th, 2021
Quorum: 104,285 INDEX
IIP-80: Meta Governance Proposals (MGP) Process [Second Submission] (Proposed by: @oneski22 and @Lavi)
This IIP seeks to create a structured process for Meta Governance Proposals. This will allow external parties to use the IndexCoop’s meta governance power in any way outside of voting on existing proposals.
This proposal introduces a large change to our governance structure and therefore the authors are requesting an elevated quorum of 10% circulating supply, with 60% voting FOR to pass this IIP. These thresholds are in line with the DG2 requirements, which is the most major decision we presently make via governance.
This is the second submission of this IIP. After one of our voters (1kx) revealed to the community that they had voted mistakenly, causing the IIP to fail. A community call was held and it was decided that the vote be run again. The second IIP has been edited to reflect the new community consensus changing the passing threshold for MGP’s, from 80% FOR, to 66% (2/3) FOR.
Snapshot : September 13th, 2021 to September 16th, 2021
Quorum: 208,571 INDEX
IIP-81: Meta Governance Autonomy [Second Submission] (Proposed by:@oneski22 and @dylan)
This IIP requests authorization for Index Coop to delegate all of its voting rights to the elected Meta Governance Committee instead of the present team of Set employees. All votes will be delegated to two addresses, depending on if the underlying governance is conducted on-chain or via snapshot. By delegating to the Meta Governance Committee we will be giving the protocol more autonomy as its elected committee will be responsible for executing the Index Coop’s Meta Governance actions, instead of representatives from Set. The Meta Governance Committee will faithfully execute votes in accordance with all IndexCoop IIPs, MetaGov Votes, and processes, both current and future.
This is the second submission of this IIP. After one of our voters (1kx) revealed to the community that they had voted mistakenly, causing the IIP to fail. A community call was held and it was decided that the vote be run again.
Snapshot : September 13th, 2021 to September 16th, 2021
Quorum: 104,286 INDEX
Last Week
IIP-082 - Use IndexCoop’s AAVE to list FEI on Aave V2 Market 2 (Proposed by: @Joey , @Brianna @Matthew_Graham, and @oneski22)
This proposal seeks to use the $AAVE (>118,000 tokens) held in our DPI contract to submit an AIP and then separately vote FOR listing FEI as a collateral asset on Aave V2. FEI will be added to the Aave V2 market for supply and borrowing only. That means there will be a 0% Loan to Value, 20% Reserve Factor, and the same slope curve as sUSD with Slope 1 of 4% and Slope 2 of 100%.
Fei Protocol is currently an Index Coop partner, providing approximately $18M DPI-FEI on-chain liquidity via Sushiswap after purchasing $10.1M of DPI on the 10th of August 2021. The remaining $1M DPI, along with $1M FEI, was deposited into the Index Coop Rari Fuse pool. Once listing FEI on Aave V2, Fei Protocol would like nothing more than to provide the liquidity for the next round of leverage products. Fei Protocol can ensure there is sufficient liquidity for future leverage products. Over $300M of TVL is in the FEI-ETH pool on Uniswap V2, ideal for the iETH-FLI product.
Status: Passed [212,296 INDEX has voted with 99.7% FOR.]
Number of voters: 57
IIP-083 - Wintermute Market Making Proposal 1 (Proposed by: @fallow8 and @wishful_cynic)
Wintermute Trading Ltd is a leading global algorithmic market maker in digital assets. They create liquid and efficient markets on centralized and decentralized trading platforms and off-exchange. This proposal incentivizes one of the largest market-makers in our industry to work on behalf of our protocol.
To facilitate the market making Wintermute will be doing on the community’s behalf; the proposal aims to lend 1% of the $INDEX supply (100,000 $INDEX) for market-making purposes as a loan to Wintermute Trading. Wintermute Trading will have to return in 1 year:
- The entire loan amount in INDEX; or
- $5 million (USDC/DAI/ETH or mutually agreed upon currency) if any Index product or INDEX itself is listed on a Tier 1 CeFi exchange (defined below) with the aid of Wintermute’s efforts; or
- $7.5 million (USDC/DAI/ETH or mutually agreed upon currency)
In return, Wintermute will commit to maintaining inventory in Indices upon them getting listed on any Tier 1 Cefi exchange. The amount invested will be 10% of AuM up to a total of $20 Million. In addition, Wintermute will continue market-making on KuCoin and across DeFi aggregators.
Status: Passed [146,910 INDEX has voted with 86.88% FOR.]
Number of voters: 52
Please leave feedback if this is useful! I would also love to hear any thoughts and suggestions.
cc: @mel.eth