Proposal Details

Proposal #739

Passed

Proposal title

Increase Tapering Factor on Incentives system

Submit time

Deposit end time

Voting start time

Voting end time

Tally result

83.93%

Proposal #739 description

This proposal would increase the tapering factor in use by the Osmosis internal incentives calculations from 10% to 25%, increasing the potential rate of change of incentives going to pools.

Background

The current incentives system was implemented in Proposal 578 and aimed to set target liquidity based on:

Maximum Slippage of 0.25% for 95% of trades
Maximum Slippage of 2.5% for outlier trades
TWAP manipulation resilience

The full methodology can be found here.

The initial implementation recommended a tapering factor parameter to be set to 10%, which limits the monthly change in incentives a pool can have. This is then inherited by the incentives allocated to the relevant Volume Splitting Group.

As the incentives system has been in place for six months, this proposal asks that the tapering factor be increased to increase the rate at which incentives are adjusted to reach their target liquidity levels.

Incentives will adjust more rapidly monthly and further increase the efficiency of the Osmosis incentive spend.

This adjustment rate is still slower than the original adjustment mechanism in use by the old incentives system, which enabled a 25% adjustment in incentives on a weekly rather than monthly basis.

This adjustment rate would go into effect at the next routine incentives proposal in early March.

Forum Thread:https://forum.osmosis.zone/t/increase-tapering-factor-on-incentives-system/2454

Proposal #739 overview

Total votes

30,431

Voters

30,342

Total deposit

1,600 OSMO

Proposal #739 votes

#	Validator	Options
1	Golden Ratio Staking	Yes
2	Simply Staking	Yes
3	Stakewolle.com \|100% Insurance	Yes
4	01node	Yes
5	Validatus	Yes
6	OmniFlix Network	Yes
7	Coinage x DAIC	Abstain
8	Kalia Network	Yes
9	[Beehive]🇰🇷	Yes
10	Bro_n_Bro	Yes
11	Chihuahua	Yes
12	Everstake	Yes
13	Silk Nodes	Yes
14	Swiss Staking	Yes
15	Chorus One	Yes
16	DACM	Yes
17	Crypto Assassin	Yes
18	CrowdControl	Yes
19	FreshSTAKING	Yes
20	Margined Protocol	Yes
21	0base.vc	Yes
22	COSMØSTAKE	Yes
23	Stakecito	Yes
24	Cypher Core	Yes
25	Uncle Ed	Yes
26	Tessellated	Yes
27	POSTHUMAN 🧬 StakeDrop	Yes
28	Ethereal Ventures	Yes
29	Quebec	Yes
30	Interbloc	Yes
31	AUDIT.one	Yes
32	Notional.Ventures	Yes
33	Ping	Yes
34	Oni ⛩️	Yes
35	DSRV	Abstain
36	CryptoCrew Validators ✅	Yes
37	#decentralizehk - DHK dao	Yes
38	White Marlin Staking	Yes
39	DAO DAO	Yes
40	Active Nodes	Yes
41	Tedcrypto.io 🧸 \| TedLotto	Yes
42	TienThuatToan	Yes
43	Vitwit (Previously Witval)	Yes
44	Allnodes	Yes
45	reynisfjara	Abstain
46	IcyCRO 🧊	Yes
47	PoS Node	Yes
48	Citadel.one	Yes
49	ztake.org	Yes
50	Informal Systems	Yes
51	Crosnest	Yes
52	TaxiStake	Yes
53	ShapeShift DAO	Yes
54	🇨🇭 Vortex.live 🟢	Yes
55	Leonoor's Cryptoman	Yes
56	Stakely.io	Yes
57	Chainflow	Yes
58	Lavender.Five Nodes 🐝	Yes
59	Node Guardians	Yes
60	Coverlet	Yes
61	ECO Stake 🌱	Yes
62	B-Harvest	Yes
63	blockscape	Yes
64	AlphaNodes🛸	Abstain
65	Meria	Yes
66	Trust Nodes	Abstain
67	Interop	Abstain
68	Zenscape	Yes
69	Frens (🤝,🤝)	Yes
70	Nocturnal Labs	Yes
71	KingSuper	Yes
72	WhisperNode 🤐	Yes
73	StakeWithUs	Yes
74	coinhall.org	Yes
75	Cosmostation	Yes
76	Oldcat	Yes
77	in3s.com	Yes
78	White Whale	Yes
79	Interstellar Lounge 🍸	Yes
80	a41	Yes
81	Imperator.co	Yes
82	Mendel	Yes
83	Smart Stake 📈📊	Abstain
84	d3akash.cloud	Yes
85	Komikuri	Yes
86	strangelove	Yes
87	SpectrumX	Yes
88	Hathor Node	Abstain
89	polkachu.com	Yes
90	Obi	Yes
91	GATA HUB	Yes
92	Chill Validation	Yes
93	defiantlabs	Yes
94	AutoStake 🛡️ Slash Protected	Yes
95	Nodes.Guru	Yes

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