Summary
The objective of this proposal is to facilitate a shift in the Floor ecosystem’s focus towards establishing a fungible layer owned by Floor following the launch of Floor V2, driving ETH to the Floor Wars and enabling future product expansion.
To ensure the team can remain focused and capitalized to achieve this goal, this proposal will remove FLOOR as a voting option in Gauge Wars, replacing it with an ETH liquid staking token.
Additionally, as Floor recently completed FIP#58, which was effectively a fork and rage quit mechanism in the form of FloorkDAO, this proposal states that there will be no more buyback, rage quit, or token backing discussion for the 12 months following the passing of this proposal.
The final aspect of this proposal will be to solidify that Floor will not be participating in unique NFT-Fi strategies that have not passed specific partnership proposals, instead deploying liquidity exclusively to NFTX and NFTX V3 to keep operational overhead and risk minimal.
Motivation
FloorDAO’s treasury is profit seeking but requires passive strategies that do not require operational or centralized overhead. We believe that NFTX continues to be the best yield in NFT-Fi that achieves this goal, however we believe that with the introduction of Uniswap V4 along with a novel approach to a fungible marketplace (white paper soon), Floor is in a position to maximize yield and future prospects through the creation of a FloorDAO-owned fungible layer.
The removal of the FLOOR token from the Gauge Wars will drive ETH to more yield-bearing NFT assets through the use of NFTX, and with buybacks halted, the Floor Treasury can expand rather than effectively burn the yield harvested each epoch on FLOOR buybacks.
In addition to this, Floor ceasing participation in unique NFT-Fi strategies removes potential protocol risk as evidenced by the Euler exploit where over $50k of Floor assets were at risk while reducing operational/managerial overhead and providing more focus for building.
Over the last year, Floor has demonstrated that NFTX is a tried and true strategy for yield farming, with many protocols utilize NFTX ERC 20 xTokens as composable assets. By increasing the use of NFTX liquidity we will help accelerate these innovations and use cases, as well as minimizing the operational overhead and risk.
Proposal
- Remove FLOOR from all future Gauge Wars
- Add Rocket Pool LST / Lido LST to all future Gauge Wars
- Cease all buyback, rage quit, and backing discussion for the 12 months following the passing of this proposal, docs will be updated to reflect this change (?)
- All third party NFT-Fi strategies must pass Floor Governance before being actioned
This proposal will remain live in the Floor Forum for 4 days, followed by a Snapshot vote. DAO members are encouraged to comment and engage in discussion.