Proposal for adjusting the rewards for Epoch 2 of the 3,3 pool

It is exciting to see that there are so many of you who have shown great enthusiasm to the 3,3 pool and enjoyed the rewards. Hundreds of members actively participated in performing the boring ritual every week. We have reached a total of 65M in TVL and the APYs for both pools have remained above 2000% for nearly one month. Originally, we launched the 3,3 pools as a special offer for BoringDAO’s first anniversary celebration and we planned to run for only one epoch, which is 28 days. Over the past one month, we’ve heard voices from our community members that they wish to enjoy the 3,3 pools for a longer period of time. We hereby decide to continue with the second epoch and update the pool rewards accordingly.

Our current emission rate for the oPortal farms is about 36,000 BORING per day and for the Boring farms is about 100,000 BORING per day. For the 3,3 single staking pools, the daily emission rate is about 500,000 BORING, which is almost four times as much as that for the oPortal and Boring farms combined.

Some of our considerate community members have kindly pointed out that this will lead to a much higher inflation rate in a relatively short period of time, affecting future value of the BORING tokens significantly.

It has come to our concern that there is a trade-off between the benefits of high APYs and the risk of token inflation. If we keep the current emission rate or increase it by 20% for the second epoch as some may wish, there will be a sharp rise in the inflation rate. On the contrary, if we reduce the daily emission rate by 50%, the APYs for the pools will drop fast and the 3,3 pools will become a less favorable place for BORING holders to stake. There’s a fine line between lowering supply and damaging the farm APYs. So we have come to a compromise that is to slightly reduce the BORING tokens distributed to the 3,3 pools, which could lower the supply while keeping the demand high. In the long term, our token prices will rise due to a lower supply with the sustaining decent APYs on farms and pools.

We’d like to hear your opinions on the reward adjustment for the second epoch, and here are the choices:

  • 20% increase

  • Keep the same

  • 25% reduction

  • 50% reduction

  • No Epoch 2

1 Like
  • 50% reduction maybe

I’m in favor of a decrease in emission for (3,3) - as high as 50% i think is fine, but 20% or even 25% would retain more of the TVL by not decreasing the APY too badly. Maybe come up with a plan for like a total of four epoch’s with a scheduled decrease in emission rate increasing each time. For example - 25% decrease for epoch 2, 40% decrease for epoch 3 and a final 50% decrease for epoch 4. In my opinion the emission rate is too high and a gradual decrease would ensure the value of the token isn’t impacted to harshly.

Let’s do some calculations, the data now:
daily ROI 0.79% APY 1768%
daily ROI 0.7% APY 1276%

if we reduce by 50% (Assuming the TVL is unchanged)
daily ROI will be 0.395% & 0.35% respectively
the APY will be 421% & 351% respectively

1 Like

make sense
it could be a kinds of soft landing

could even work out a slightly more complicated set up to do it all in one epoch - for example, determine that we want to create a soft landing for the emission decrease and we want to start with an initial decrease of 20% at the beginning of epoch 2 (or even no change at all) and over time (every single block or possibly every n blocks) a predefined decrease in the emissions - you know, just the calculated value that will get us to a 50% decrease over that period of time - which is literally just x number of boring deducted from the emission being distributed - possibly even as simply as sending it to a burn address. Feels like a pretty interesting and fun plan to me. Any ideas?
Love the project by the way - currently my favorite. Really want to help see it succeed.
EDIT: then maybe once we even get to 50% you could just run a third epoch with the 50% or set up another one that leads to a gradual end to the entire program… just some quick thoughts but feel like it fits well with the project.

definitely, it sounds like a good idea.
but unfortunately, since the contract has been deployed, so the only thing we can do is to set how much $BORING to provide in the next epoch, rather than decrease it with every single block.

I’m all for reduction by 50%. Looking at the math above, the APY doesn’t look bad still.

Alternatively, a 25% first reduction can be used to test the waters.

The price of the token matters much

1 Like

I feel the 50% reduction is better the math above isn’t looking bad.


programs like (3,3) bring more users and liquidity into the dapp in general - from there, they continue to explore the app and many will provide liquidity elsewhere within the app. That is what it currently lacks is sufficient liquidity for the actually cross-chain transfers to avoid super high fees for using it. If you have a better idea, then everyone is all ears but pointless whining is not helpful frankly. We are attempting to improve BoringDAO - what have you done to improve BoringDAO?

We do need more engagement here, so at the very least - thank you for commenting, but please be constructive if you’re going to provide feedback.