UMA Delegated Voting - Project Summary
| Info | |
|---|---|
| Project Name | UMA Delegated Voting |
| Author | Ross |
| Date | 2022.09.12 |
| Discord Handle | Ross 🍠#2221 |
| Status | [draft] |
| Discourse | [Insert link when available] |
| Spec Doc | [Insert Link when available] |
| Snapshot | [Insert link when available] |
This document is the application form to create a new Silo, or project, at YAM. Upon completion, token holders will review the application and determine if it is a project that they find interesting and wish to fund a specification document.
1. Project/Grant Description ❓
Tell us about the project that you are applying to receive a grant for.
The purpose of this project is to participate in UMA governance and voting in the UMA DVM oracle using the UMA tokens that the YAM treasury holds. Voting correctly in UMA DVM disputes and governance votes earns UMA (0.05% of the total supply is minted on every vote and given out to voters who voted with the majority). The YAM DAO owns approximately 41,873 UMA tokens, worth approximately $116,400 at the time of writing, which can be used to vote and earn rewards. This grant would be paid to the designated voter to compensate them for their time spent researching and voting with this YAM.
2. Project Goals and Scope :rocket
If the project succeeds, what goals will it achieve? How do we measure that success?
The goal is to vote on all UMA DVM disputes and in all governance votes in order to maximize the amount of UMA earned. In order to earn the UMA rewards, the voter must vote with the majority of voters. It is not always obvious what the majority will choose, but over the long run, choosing the most accurate answer based on the conditions of the dispute should be a generally winning strategy, unless a plurality of voters choose to vote differently. Each vote requires a different amount of research and time to maximize the benefit (earnings) for the DAO, and the grant amount should be adjusted over time to account for the actual amount of work needed.
3. YAM / Ecosystem Benefit :blush
What value does your project add to YAM and the wider ecosystem? How do we measure that benefit?
There are 2 main benefits; one direct, and one indirect.
The direct benefit are the earned UMA rewards from voting. These vary month by month based on the number of disputes that happen as well as the number of other voters. I have been voting with the UMA on behalf of YAM for the last 2 months and the treasury has earned ~1,285 UMA tokens (valued at $3,520). If we round to 500 UMA per month as an estimate, we can predict roughly 6000 UMA per year earned, which is ~15% APR denominated in UMA tokens. These revenues need to be balanced with the costs to vote (the cost of the grant) to get a "profit" number.
The indirect benefit is that of community building and business development. We have had a fruitful relationship with UMA and the UMA team. While work on YamSynths has stopped for the time being, the UMA team has been supportive of us in the past and are a good connection for the DAO to have. Their oracle product is useful and they continue to look for new innovative use cases for it. The use case for YamSynths has been difficult to get right, but may bear fruit in the future and our continued relationship with UMA adds value to the YAM ecosystem. Voting in governance and DVM disputes helps solidify this relationship, keeps the DAO visible in their community, and provides a way for DAO members to understand UMA products better, with the hope that they may choose to build on top of our existing codebase, or come up with new products.
4. About You :busts_in_silhouette
Tell us about you and your team. What experience do you and your team have that is relevant to the project. Please provide github profiles, websites, prior work, etc
I currently work on YAM full time and have focused on improving the operations, organizational structure, and efficiency of YAM. I have been the primary person behind the development of the YAM Re-Org and new grants model. I have also contributed project management and design work for the YAM website and YAM Synths, both conceptual and front end. In my work with YAM synths, I worked with members of the UMA team to understand their systems and best practices for using their oracle.
I have started trying to do more development work, fixing problems with the website and trying to build useful tools for the DAO. My original employment proposal is located here: Full-time contributor request for Ross.
5. Other Information :question
Imagine you're a YAM holder. What else do you think we should know about your application?
I have been voting with the treasury UMA as a designated voter for the last 2 months. That work was done under my old contributor terms, which we are moving away from as a DAO.
- Original post specifying to work to be done to begin voting with the treasury UMA
- Post on a recent vote
- Section of Last transparency report on voting with treasury UMA
Additional information on the workings of the voting process will be available in the forthcoming specification document.
❤️ 🚀 🍠
Copyright and related rights waived via CC0.