This proposal is for the automated streaming of DYM tokens to RollApp founders and liquidity providers based on Endorsement voting weights. This proposal sets out to release 20,000 DYM from the incentive manager with tokens distributed linearly over one month from the passing of this proposal.
Context
Endorsements is a new onchain feature as part of the 3D upgrade that is used to permissionlessly determine the distribution of DYM incentives based on the weighted votes of DYM stakers. Endorsements automates and further democratizes the distribution of DYM incentives to ecosystem participants.
Any registered RollApp (not required to be launched) is eligible to receive endorsement votes and DYM incentives. Additionally, all liquidity pools on Dymensionâs native DEX are eligible to receive incentives via endorsements.
For example, 20k DYM incentives for 30 days, streamed on a daily basis.
RollApp X Founder has received 10% of the Endorsement votes. This will yield
the Founder 2K DYM (10% of the total incentive stream) directly to the Founder's wallet.
Pool XYZ/DYM has received 20% of the Endorsement votes. This will yield
the bonded pool LPs 4K DYM (20% of the total incentive stream) directly to the bonded LPs wallet.
What are Endorsement weights?
Users who stake their DYM with active validators receive Endorsement voting rights proportional to their staked amount. They then choose freely how to allocate these Endorsement rights to RollApps and/or liquidity pools (up to 100 choices) they wish to support. The Dymension protocol streams the initial base amount of DYM according to the total cumulative endorsement weights.
Governance votes
The voting period for this proposal as set on genesis is 5 days beginning from the time of deposit. The following items summarize the voting options and what it means for this proposal:
YES
NO
NO WITH VETO - A âNoWithVetoâ vote indicates a proposal either (1) is deemed to be spam, i.e., irrelevant to Dymension, (2) disproportionately infringes on minority interests, or (3) violates or encourages violation of the rules of engagement as currently set out by Dymension governance. If the number of âNoWithVetoâ votes is greater than a third of total votes, the proposal is rejected and the deposits are burned.
ABSTAIN - You wish to contribute to quorum but you formally decline to vote either for or against the proposal.
Hi, canât wait to start endorsement and support everyone the rollapps he us more interested for and lps .
I have question about registered rollaps, by just registering a rollapp (something easy to do everyone on a minute) it could have incentives?
My concerns on this its that a part of incentives could be farmed from whoever has some influence to many people without bringing any actual value back
I get the point and its interesting. But still honestly have many concerns about the final results. Unfortunately this is the right place to share them
Initially the ability to endorse was in fact reserved for RollApps with bond and active sequencer, yet we believe that folks starting out their journey might also need assistance before they launch.
Youâre correct that some might try to take advantage of this, but unless they hold substantial staking power their streams might not cover domain costs, and in case they do collect community support or gather enough staking power we believe it will be against their interest to divert incentives to their address without building anything of value.
Truthfully we do not know how this feature will be used so the strategy taken here is more lenient, in case critical abuse will take part we will act and raise a prop to limit endorsements only for RollApp founders with active rollapps.
An interesting proposal. Endorsements will most probably prove to be a âjump startâ thing when it comes to the RollApp projects launch & adoption train! I am happy to see the CONS of this already having being discussed. All in all, i guess its a step in right direction to attract some innovative RollApps in Dymension ecosystem.