03-16-2023, 03:09 PM
CCIP-056 - Modify lower value of CCIP-030 from 0.1x to 0.25x and increase the tippin
<!-- SC_OFF --><div class="md"><p><strong>Background</strong></p> <p>CCIP-030 passed in April 2022 and created a karma multiplier (KM) for each user based using the following formula:</p> <p>KM = (Current Balance + Membership Purchases) / (Total Earned Moons * 0.75)</p> <p>For context, there are a couple important details of this multiplier:</p> <p>​</p> <ol> <li>Moons used for special membership, coin, or moonplace purchases are <strong>not</strong> penalized</li> <li><strong>The minimum value of this multiplier is 0.1 and the maximum is 1.0</strong></li> <li><strong>There is a 25% "buffer"</strong>, meaning that if you don't hold at least 75% of your earned Moons, your karma will be penalized in future distributions</li> <li>If you re-obtain Moons, the multiplier increase.</li> <li>This was applied retroactively, that means your KM was calculated taking into account actions you had done BEFORE CCIP-30. So, if you "exchanged" more than 75% of your moons BEFORE CCIP-30 was aproveed your KM=0.1.</li> </ol> <p>The reasoning for this proposal was that Moons are a governance token, and before CCIP-030 passed, many users sold all their moons, and therefore their votes, which caused governance to be in a "gridlock" as no proposal was meeting the Moons threshold to pass, despite the majority being in favor.</p> <p><strong>Proposal</strong></p> <p>I propose a change to the multiplier so that it has <strong>a minimum value of 0.25</strong>, instead of 0.1.</p> <p>Additionally, I propose <strong>increasing the tipping buffer from 25% to 50%</strong>, meaning that the penalty will start after selling 50% of your moons.</p> <p>The new KM formula would be:</p> <p><strong>KM = (Current Balance + Membership Purchases) / (Total Earned Moons * 0.5)</strong>, with a minimum value of 0.25 and a maximum value of 1.0.</p> <p>My reasoning is that things have changed in the market since April 2022 (when it comes to moons), I think this restriction should be loosened to increase the transfer of moons between users, exchanges, adding liquidity (for CCIP-051), and other future uses outside of Reddit</p> <p><strong>Pros/Cons</strong></p> <p>Pros</p> <p>​</p> <ul> <li>Lower penalty for users who sold in the past</li> <li>More liquidity and exchanging of moons between users</li> <li>Better preparation for future use-cases outside of Reddit</li> <li>This eliminate the precedence of a CCIP that can be applied retroactively and something that is good now can be penalized later.</li> </ul> <p>Cons</p> <p>​</p> <ul> <li>More frequent dumping of Moons by moonfarmers (this can be lowered with others CCIP)</li> <li>Loss of governance votes, as users can only vote with their "earned" moons</li> </ul> <p><strong>Disclaimer</strong></p> <p>I have a KM 0.1, I exchanged more than 75% of my moons before CCIP-30 (I could have kept the 25% buffer AFTER April 2022, but not before, how could I know?). </p> <p>Problem is that mostly of them were exchanged BEFORE CCIP-30 was approved, but as it was applied retroactively it affected people that were doing something was totally ok at the time but was going to be penalized.</p> <p>I also have been posting WAY BEFORE moons were a thing (I have more than 5 years posting in cryptocurrency) in fact my posting rate (2-3 posts weekly) didn't increase because moons, so it is clear I don't do it for moons.</p> <p><a href="https://www.reddit.com/poll/11s6u6g">View Poll</a></p> </div><!-- SC_ON --> submitted by <a href="https://www.reddit.com/user/WorkingLime"> /u/WorkingLime </a> <br/> <span><a href="https://www.reddit.com/r/CryptoCurrency/comments/11s6u6g/ccip056_modify_lower_value_of_ccip030_from_01x_to/">[link]</a></span> <span><a href="https://www.reddit.com/r/CryptoCurrency/comments/11s6u6g/ccip056_modify_lower_value_of_ccip030_from_01x_to/">[comments]</a></span>
<!-- SC_OFF --><div class="md"><p><strong>Background</strong></p> <p>CCIP-030 passed in April 2022 and created a karma multiplier (KM) for each user based using the following formula:</p> <p>KM = (Current Balance + Membership Purchases) / (Total Earned Moons * 0.75)</p> <p>For context, there are a couple important details of this multiplier:</p> <p>​</p> <ol> <li>Moons used for special membership, coin, or moonplace purchases are <strong>not</strong> penalized</li> <li><strong>The minimum value of this multiplier is 0.1 and the maximum is 1.0</strong></li> <li><strong>There is a 25% "buffer"</strong>, meaning that if you don't hold at least 75% of your earned Moons, your karma will be penalized in future distributions</li> <li>If you re-obtain Moons, the multiplier increase.</li> <li>This was applied retroactively, that means your KM was calculated taking into account actions you had done BEFORE CCIP-30. So, if you "exchanged" more than 75% of your moons BEFORE CCIP-30 was aproveed your KM=0.1.</li> </ol> <p>The reasoning for this proposal was that Moons are a governance token, and before CCIP-030 passed, many users sold all their moons, and therefore their votes, which caused governance to be in a "gridlock" as no proposal was meeting the Moons threshold to pass, despite the majority being in favor.</p> <p><strong>Proposal</strong></p> <p>I propose a change to the multiplier so that it has <strong>a minimum value of 0.25</strong>, instead of 0.1.</p> <p>Additionally, I propose <strong>increasing the tipping buffer from 25% to 50%</strong>, meaning that the penalty will start after selling 50% of your moons.</p> <p>The new KM formula would be:</p> <p><strong>KM = (Current Balance + Membership Purchases) / (Total Earned Moons * 0.5)</strong>, with a minimum value of 0.25 and a maximum value of 1.0.</p> <p>My reasoning is that things have changed in the market since April 2022 (when it comes to moons), I think this restriction should be loosened to increase the transfer of moons between users, exchanges, adding liquidity (for CCIP-051), and other future uses outside of Reddit</p> <p><strong>Pros/Cons</strong></p> <p>Pros</p> <p>​</p> <ul> <li>Lower penalty for users who sold in the past</li> <li>More liquidity and exchanging of moons between users</li> <li>Better preparation for future use-cases outside of Reddit</li> <li>This eliminate the precedence of a CCIP that can be applied retroactively and something that is good now can be penalized later.</li> </ul> <p>Cons</p> <p>​</p> <ul> <li>More frequent dumping of Moons by moonfarmers (this can be lowered with others CCIP)</li> <li>Loss of governance votes, as users can only vote with their "earned" moons</li> </ul> <p><strong>Disclaimer</strong></p> <p>I have a KM 0.1, I exchanged more than 75% of my moons before CCIP-30 (I could have kept the 25% buffer AFTER April 2022, but not before, how could I know?). </p> <p>Problem is that mostly of them were exchanged BEFORE CCIP-30 was approved, but as it was applied retroactively it affected people that were doing something was totally ok at the time but was going to be penalized.</p> <p>I also have been posting WAY BEFORE moons were a thing (I have more than 5 years posting in cryptocurrency) in fact my posting rate (2-3 posts weekly) didn't increase because moons, so it is clear I don't do it for moons.</p> <p><a href="https://www.reddit.com/poll/11s6u6g">View Poll</a></p> </div><!-- SC_ON --> submitted by <a href="https://www.reddit.com/user/WorkingLime"> /u/WorkingLime </a> <br/> <span><a href="https://www.reddit.com/r/CryptoCurrency/comments/11s6u6g/ccip056_modify_lower_value_of_ccip030_from_01x_to/">[link]</a></span> <span><a href="https://www.reddit.com/r/CryptoCurrency/comments/11s6u6g/ccip056_modify_lower_value_of_ccip030_from_01x_to/">[comments]</a></span>