We are in a new era of decentralised governance and equitable distribution of governance tokens. With this new era evolving, we need innovation to overcome the challenges. Equitable distribution and voting rights can be something of a challenge, but is something we can overcome with the right equations. Let’s suggest a simple equation, which could help address some issues, in order to promote by reward Pangolins most loyal supporters. In code we trust!
To help prevent entities from abusing voting power, by methods such as buying PNG only to direct a single voting decision, for personal gain, or without the long-term community goals in mind.
To increase the share of rewards to those who are invested in the Pangolin eco-system over longer periods, as bullish or as bearish the times may be.
- Get more PNG to those who are loyal to Pangolin.
- Increase the voting weight to that of longer-term PNG investors.
- Reward long term PNG and PGL holding over short-term pump and dumps.
- Don’t punish people who remove or move their liquidity for a short period (Use Average).
For voting rights: Take the wallets current PNG balance and multiply it by the wallets average PNG balance over a certain period, so that voting rights of current holders is amplified by consistently being invested in PNG. It makes sense to take the square root of this value, as we have multiplied two values together, in order to get a figure that is easier to interpret in relation to circulating supply:
Votes = Sqrt(current PNG wallet holdings * 30 day average wallet PNG holdings)
Simplified as: Votes = Sqrt(PNG*PNG30AVG)
For liquidity rewards: Take the wallets current PNG balance and multiply it by the wallets average PNG balance over a certain period, so that your share of rewards from the pool is increased, if you are a regular contributor to liquidity.
Your share of rewards from the liquidity pool =
Sqrt(current PGL wallet holdings * 30 day average wallet PGL holdings)
Simplified as: % Rewards = Sqrt(PGL*PGL30AVG)
NB1. Quadratic voting or similar could be implemented on top of this, this is not a single, or an alternative solution to equitably distributed voting; but one that can be used in addition to any other.
NB2. The same amount of rewards is distributed, but a proportionally higher share, is obtained by those who consistently provide liquidity.
NB3. 30 days is an example, this could initially be a 7 day average, or could be extended to their 12 month average after Pangolins 1st Birthday!
If you hold 10 PNG consistently for a month, your votes would be:
If you hold 10 PNG for half a month, your votes would be:
If you acquire 10PNG and you didn’t hold before, your votes would be:
If you hold 1% of PGL rewards pool, consistently for a month; your share of the reward would be:
If you hold 1% of PGL rewards pool, for half a month; your share of the reward would be:
If you acquire 1% of the PGL reward pool, and you didn’t hold PGL before; your share of the reward would be:
Long term commitment to the community increases your voting rights and your rewards.