Limit the amount of reward for early members to 20% of the number of tokens used in LBP

I want to remind everyone that our goal is to create a DAO, not to divide tokens among themselves and try to maximize the issuance to early entrants. We have to leave a much larger portion of tokens to DAO for further projects.
I am already seeing inconsistencies in some of the proposals that are highly unbalanced and could negatively impact the LBP phase.
For example, one proposal suggests allocating 12% to early entrant rewards, while another proposal suggests allocating 9% to the LBP phase. As a result, we get an imbalance for the worse, which will inevitably lead to a price crash after the LBP phase.
Therefore, I propose to fix the maximum amount for the reward at 20% of the number of tokens that will be allocated to LBP.
In numbers it will look like this.
If LBP is allocated 30% of the total amount, then the reward for early participants will be allocated 6%
If LBP is 10% then the reward will be 2%.
To some extent this corresponds to the vision of the Main Team.
It also prevents us from excessive reward which leads to a price crash.
We will no longer have to think about the amount of reward allocated, it will depend entirely on the amount of LBP used.
And we can move on, leaving this issue alone.

I want to hear your constructive criticism.

This discussion proposal is a puzzle piece which I will try to put together in my head and present a complete picture of my vision of GuruDAO bootstrap phase tokenomics
You can find other pieces of the puzzle here and here


Hello NeroZyF! Thank you for the discussion you have opened. Can you please elaborate for those who are not that familiar with LBP structure, why you have chosen exactly this percentage? If we allocate 50% of LBP to rewards, for example, wouldn’t that be enough to fill DAO treasury and provide liquidity for those who want to exit? Thank you!

Sorry for the late response and thanks for the good question!
This is rough math from the parameters that were originally announced (30% for lbp and max 5% for reward). I rounded it up to 1/5 part.

If this discussion turns into a proposal and it is accepted, then it will need to be executed.
And now imagine that we accepted not 1/5 but 1/2 part to give out for a reward. If 30 million is allocated for lbp, then 15 million will have to be spent for the reward. It really can be a disaster, we leave the DAO treasury without funds for future projects.
Therefore, 1/5 of the lbp for the reward is balanced from the initial parameters. If the amount of lbp decreases, the reward decreases proportionally.

But the main idea is to fix the dependence of the reward on the amount of lbp and to switch the attention of the community to the discussion of lbp parameters. :slightly_smiling_face:

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Thank you for your answer and clarification!
Yes, I see that allocating half of LBP to rewards will leave DAO treasury with 15%, which is not enough for the future projects (if my math is correct).
If LBP will be 20-30% of the total supply, then rewards will be 4-6%, which is quite reasonable.
There is another point I don’t understand in LBP process related to DAO, would be great if you could help me with this one :slightly_smiling_face:
Those who will buy GURU tokens during LBP, will they be able to participate in DAO? Or dao is limited by season pass holders?

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