Muesli Swap Passive Earning & Governance Program

Summary (TL;DR)

Introducing a passive earning mechanism will give the $MILK token a more sustainable utility. The solution aims to tackle downward pressure that reduces the token retention rate. The overall procedure encompasses the following steps:

  1. Create a Governance stake pool.

  2. Stake your $MILK in the Governance stake pool.

  3. Platform fee sharing to developers and stakers in every 3 months. After costs %10 to DAO treasury, %20 for devs, %70 for stakers. Devs can stake their token like everybody else for more profit.

  4. Gain Voting power and Passive earning share by the formula (Staked amount x staked days) during a period. (Passive earning from collected fees)

Introduction

This thread aims to introduce a simplified incentivize the holders’ strategy to the $MILK protocol. The latter will tackle $MILK’s price volatility and serve as an incentive for the token holders.

Motivation

The initial $MILK token utility was to serve as the centerfold tool of allegiance with the project, as well as participation and improvement of the protocol through DAO voting. However, those features proved too idealistic and insufficient to retain a steady token price.

Aim of this proposal;

  • Incentivize holders and encourage new holders.

  • To make $MILK token more sustainable

Benefits of the abovementioned strategy:

  • Utilizing the $MILK locked in the platform smart contracts in favor of the community.

  • Token holders will be incentivized to hold their $MILK and take part in the DAO more actively.

  • Token holders will be incentivized to hold their $MILK and receive part of the platform profit.

  • This will create buy requests and $MILK will be bought off the market, which will offset excess price volatility.

  • The DAO will be able to propose and increase the treasury holdings.

  • Preventing manipulation of the system by purchasing tokens during voting time and selling after voting period.

  • Reduce $MILK price volatility

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Now this suggestion actually might become more into something real as we are approaching the DAO system of Muesliswap. At least some parts of it.

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