Someone has to bite the bullet…
I want to start with this topic (again) because this has been discussed several times. So there is definitely interest from the community to make a change in this procedure.
I have read through the previous proposals and incorporated them into a “new” idea.
of course it is only a first sketch and I certainly expect a few more visions to strengthen and realize this idea.
My Proposal:
3 different options to collect rewards
Weekly Rewars (every week) → 1 Week of claiming
Biweekly Rewards (every 2 weeks) → 1 Week of claiming
Monthly combined claims (once a month) → 1 Week of Claiming
The platform would makt it be possible to change “Claim settings” for every next period
Claim Setting:
Weelkly / Biweekly / Monthly
(I do not know how they will arrange this technically. Maybe some kind of smart contract or just by making 3 different staking “pools” in which you can stake. One that send out weekly rewards, one biweekly and one monthly)
But I thinks thats someting for the DEVs
By shortening the Claim period, people will have to respond more quickly to the P-ratio.
However you have a possibility to choose your own strategy.
By claiming more often, you will receive your rewards faster which will give you more Compound interests on the long term.
While claimed rewards are locked/staked and can be used immediately to build more dept, which will eventually lead to higher rewards.
Anyway I do not think I have to explain how compound interest works.
So for Whales (big investors) it will certainly be better to claim weekly. It is a win for bigger investors and a win for the system, as bigger investors will stay very active to meet the weekly P-ratio requirements.
However on the other hand, Staking becomes more attractive for beginners or small investors.
As they will have the chance to claim a higher reward once a month. (Combination of 4 weeks)
For those investors the gas fees are sometimes to high to make this process profitable.
They will also be more motivated to meet the p-ratio requirements as there will be more on stake for them. (loosing a month of rewards instead of skipping one week)
They are still free to keep track on their P-ratio during this month. (stake more Lina or Burn Lusd) As they have a shorter time to claim. So they will also have an incentive to be active.
Vola, I’m curious what you guys think of this!
Give us some feedback and let this Dao starting
Hey semi, many thanks for kicking things off here.
So this proposal is for a rewards claim option tab, 3 ways of claiming as mentioned above.
To be clear, the second option would be the same as you have now and the 1st and 3rd options allow users to either claim weekly or monthly?
would rewards be lost/ burnt in the same way as they are now if not claimed?
I like this proposal a lot, as it benefits those with smaller bags. They won’t have to worry about gas fees eating all of their profits. I’m all for it!
Yes thats right. You give people the opportunity to chose. In fact they can change from Distribution / claiming system and after they receive a next claim they will enter the Claim setting they have chosen in Claim settings. Ofcourse most people will stay for a long time in a certain system. As you probably take a system because of a certain strategy. Monthly for lower gasfees and weekly for a higher compound interest…
I would not change anything considering missed claims… however if you have a good idea! Shoot !
Thanks for the support Majin. I also think that it is important to attract new investors. Also bigger investors could profit. Anyway it makes the system user friendly for all different kind of investors.
Thanks for your opinion Majo. Ofcourse my idea has benefits for the users/ investors as you can use different strategies. But on the other hand we have to make the platform better aswell. So by making the claiming period a bit shorter users will have to interact more with the system. We want people on the platform. So we need to trigger them.
I hope you understand my point of view. I want to help investors and make the platform better on the same time
Dont be sorry! That’s why the forum is here. ( To discuss ideas).
Let me clear this for you.
You see the benefit of being able to chose between different claiming systems right ?
Which is a huge benefit for all different kind investors with no disadvantage for the platform. Which is important while DAO is made to make the platform durable, community driven. I even think it could be an advantage for the platform. Different strategies to claim → More people intrested in the platform → more users → more Lina holders and traders → more LUSD fees … I mean win win for everyone …
What about the shorter time to claim.
If you have a lot of Lina coins and you can manage to stay above the required P ratio it is better to claim every week. Claim period of one week does not matter for those people. They can always interact with the platform every day. stake some more Lina to create more debt to keep everything in balance. They do not need 2 weeks to claim. It makes people a bit lazy! While we want them active on the platform.
For smal investors we make it able to claim once every month! So they can work with the platform during the whole month! buy on the exchange, take profit, burn Lusd, stake extra Lina… I mean they have more time now! The claiming period should not be longer then one week because we want active users and if you use the platform wisely you manage your p ratio during this month. You will not need this 2 extra weeks to claim. Those 2 weeks make people less pro active and lazy and some people hope they will get over 500 p ratio the second week just by luck. But thats not where the platform is build for… you have casinos to challange your luck. Here we want pro active users/ traders/ Investors and thats why I would make it one week to claim. Because if you use the platform wisely. You have enough time to just click to claim
I hope you get my point! Everyone wins! the investors and the platform!
If you don’t agree. please bring some arguments. I would love to discuss this more and hope to bring this to the next phase
If my PR is above 500 definitely i will claim immediately. Problem is if Lina price taking a dip and my PR goes below 500 i will wait for price recovery for PR>500 to claim before i decide to sell assets and burn… 2 weeks claim window is pretty good, pls keep that option. Reducing to 1 week just forcing users to sell and burn during bad times. Thanks.
Honestly i don’t think people are lazy and delaying their claims, i think it is more depending on your PR whether >500 allowing you to claim, and secondly if your claim amount is big and worth the gas fee.
It is good to address the second concern obviously.
Why not we just based on the current weekly claim system, and increase the claim window to 4 weeks. BUT makes the system accrued the weekly claims and allow user to claim as one lump sum for the past 4, 3, or 2 weeks as long as the 4 weeks window not expired. The total accrued will be a max 4 weeks if user didn’t claim, first in first out basis.
Currently system can only claim one week at a time wasting gas fees, if small user can claim 4 weeks of rewards at week #4 and pay one time gas fees this is exactly what we want. Whale can continue to claim and build weekly as wished too.
Hello, I’m glad to write my first message to this DAO, great job. Hope Linear will start of right now!
I think the reduction of the time for claiming could increase the overall p-ratio against the overall dept pool and this should result in a better peg of the ℓUSD, which will result in a healthier eco system. But I don’t think this will happen in reality, because according to the dashboard (if the data is correct) the overall p-ratio is above the target ratio all the time. I’m afrait that a change in the claiming process could move bigger investors away from the pflatform which would be bad for the eco system.
We have to fix the ℓUSD peg, that’s the most important goal to achieve. But I doubt, that this is the best way.
The attraction of more small investors could help. So maybe an optional lengthening of the distribution (reduction of claiming costs) without the reduction of the claiming deadline could be an option. But this should be optional, because otherwise the bigger investors will be faced by reduced flexibility.
Ok I see that most people are happy to change the Claiming system.
But some prefer to keep the 2 weeks claiming period.
Different arguments are made to make the claim period shorter or keep it as it is.
So I would like to see what most people prefer. It’s important to fine tune the idea before submitting a Linear Improvement Proposition!
Weekly/ Biweekly/ Monthly Rewards → 1 Week of claiming
Weekly/ Biweekly/ Monthly Rewards → 2 Weeks of claiming
I want to change the system / but not 1 of the above options
I do not like to change the Claiming system. Keep it the way it is
Big fan of more options but dont think it will motivate people to keep healthy debt pool. 1 month claims will help smaller investors saving on fees, remaining question is: wont the small investors with 1 month deadline be responsible for bad condition of debt pool plus if market is slidding the longer you wait the more chances u give market to drag the price further down and liquidate yourself (bear market), its easier to restore pratio if u nourish it weekly. Second of all we have already bi weekly options but we have to do it in 2 claims so if not fixing pratio for 2 weeks works already and doesnt make any harm to the debt pool it would be better to make 2 buttons claim weekly or claim all which would be 2 weeks rewards claimed in one shot. Those who like compounding effect weekly going to be happy, and those who have temporary problem with claiming and those who want to save on fees would win too.
2 weeks claims work already and I do not see any point to change that claim window. It would be good if we could merge two claims into one and save on gas fees etc
I do partly agree. I think after reading most we can say that there is interest in the idea.
I think technically it is impossible to merge two claims. I read something on the discord about this.
As I think you create a Txn Hash for a claim… so you will need a transaction to claim or merge…
So Technically I think that you have to claim weekly / biweekly or Monthly… in one transaction.
Adding A claim all button would be possible… but infact you would just claim 2 times … and pay they same gas fees as pushing 2 times to claim
Not 100 % Sure , I am not a DEV. Who could advice on the technical part of an idea and the possibility?
I think we would need a voting on snapshot just with a general idea and then they will check possibilities with the Linear Council.
So I could submit the idea of giving stakers the “Option” to claim in different stages.
1 Week / 2 weeks / 1 month
I’m sure the team is working on it and trying to fix the issue. If I remember correctly they communicated through AMAs and in discord, that they want to address this issue with more use cases of ℓUSD like the vault or high yield staking through other projects like OCP etc. It would be logical, that better and more use cases with possibly high yields would increase the demand on ℓUSD, which would result in a pegged stable coin.
The problem here is the currently low adoption of the Linear Ecosystem at the moment. The overall sentiment is very bad and a bad pegged stable coin doesn’t help to get the hype back unfortunately.
The idea is to put demand on ℓUSD through buyings by the DAO’s threasury. The ℓUSD would be on the sideline until the demand on ℓUSD raises. Than we can sell it back to linear Users. The DAOs treasury would be some kind of sentiment/peg Buffer for our stable coin. But we have to keep in mind, that this will put selling preasure on $LINA, so this instrument is maybe not so popular here.
