Stargate, a prominent decentralized protocol, recently witnessed its community participate in several significant proposals. These initiatives aimed at improving the protocol's functionality and fostering its ecosystem growth. The proposals encompassed a variety of the protocol's aspects, from fee structure to ecosystem expansion and risk management.
Stargate EqReward Design Update
The community voted on a proposed update to the Stargate EqReward design, which aimed to enhance eqRewards efficiency and incentivize balance within the protocol. The suggestion was to eliminate the discount given to rebalancing transfers and cap the maximum eqReward at the maximum protocol fee for the pathway. This would mean that users rebalancing the protocol would not receive an excess reward, leading to a more efficient distribution of eqRewards. The proposal received substantial support from the community.
Addition of Euro Coin ($EUROC) to Stargate
Stargate's users also considered the addition of Circle's Euro Coin (EUROC), a euro stablecoin backed by full reserves and currently available on Ethereum and Avalanche, to the protocol. The integration of EUROC was expected to enhance user numbers, transaction volumes, and diversify the Stargate ecosystem. This proposal was widely approved.
Fantom Pool Windup
Following an announcement by Multichain of a force majeure event impacting parts of its service, a proposal was introduced to mitigate risk to Stargate and its liquidity providers by disabling the Fantom pools and pathways. The proposal also outlined the necessary technical steps to achieve this and suggested the exploration of alternative bridging options for Fantom users. The proposal was approved by the majority of the community.
Velodrome Strategy Update
Given the success of Stargate's incentive program on Velodrome, a proposal was put forward to make the program more capital-efficient by reducing the weekly cadence of incentives and extending the program's duration. The proposal also suggested moving an additional $1M in POL to the pool to farm and lock more of the total emissions. This proposal was well received by the community.
Stargate x Galxe
Optimism Ecosystem Growth Grant: In collaboration with Galxe, a platform for building Web3 communities, Stargate aimed to boost its ecosystem growth by running a series of campaigns to educate users about Stargate’s Optimism ecosystem and target new user growth. The proposal planned to introduce Stargate's first on-chain loyalty program on Galxe, featuring quests, NFTs, and loyalty points. The proposal received a high level of approval.
These community-backed proposals highlight the inherent dynamics within decentralized protocols like Stargate. They underscore the use of consensus mechanisms in decision-making processes, an attribute central to the blockchain technology ethos. It remains to be seen how these changes, once implemented, will affect Stargate's day-to-day operations, overall ecosystem, and long-term sustainability.
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