I generally think that these adjustments go into the right direction and are in line with the peace treaty
It is nice to see that we can get 5% of humpy’s veBAL put to good use. The fact that we can potentially get organic growth and capture yield fee on these pools is very welcomed. The GOLD pools have been rather profitable on BASE in terms of fee capture.
To put these changes into perspective I made following comparison.
Assumptions
- BAL price: 3.01$ (as of 18.10.23)
- Weekly BAL emissions: 121929.98
- Reaching of vote caps on existing and new GOLD gauges
Current emission schedule
| Chain | Gauge | Vote cap | Emissions (BAL) |
|---|---|---|---|
| Base | GOLD/BAL/USDC | 2 | 2438.5996 |
| Base | GOLD/WETH/USDC | 10 | 12192.998 |
| Polygon | tetu | 15 | 18289.497 |
| Mainnet | Badger/rETH | 10 | 12192.998 |
which results in 36578.994 BAL emitted to those gauges, which corresponds to roughly 37% of all BAL emitted to those gauges.
As of today we already see a decrease in votes to the Badger pool but are using these assumptions as a baseline. You can see the current voting allocation here: https://app.balancer.fi/#/ethereum/vebal
New emission schedule
We are doing a very simple assumption by reducing overall gauge vote allocation by 5% although humpys voting power is likely less in relation to that (also in the future because of veBAL lock decay).
| Chain | Gauge | Vote cap | Emissions (BAL) |
|---|---|---|---|
| Base | GOLD/BAL/USDC | 2 | 2438.5996 |
| Base | GOLD/WETH/USDC | 5 | 6096.499 |
| Polygon | tetuBAL | 11 | 13412.2978 |
| Mainnet | Badger/rETH | 6 | 7315.7988 |
| Arbitrum | GOLD/USDC/wstETH | 6 | 7315.7988 |
| Arbitrum | AURA/BAL/GOLD/wstETH | 2 | 2438.5996 |
which is an overall delta of roughly 6100 BAL.
I see following advantages:
- Distribution of emissions to more healthy pools that generate fees to the DAO
- reduction of tetuBAL emissions
- 5% of humpy’s voting power available to be distributed to pools that generate fee momentum