🌉TreasuryBridge Smart Contract
Overview of the TreasuryBridge Smart Contract
Last updated
Overview of the TreasuryBridge Smart Contract
Last updated
The Community Treasury was initially allocated 5.0% of the token supply, with 766,703 ethDYDX vesting in the treasury each epoch. However, as a result of several governance proposals, this allocation gradually increased to 26.1% over time.
In DIP 29, the dYdX community voted to reduce Trading & Liquidity Provider Rewards on dYdX v3 by 1/3 for Epoch 30-31. After Epoch 31, there are no Trading & Liquidity Provider Rewards on dYdX v3.
Since the TreasuryVester Smart Contract is immutable, an updated Treasury Smart Contract, TreasuryBridge Smart Contract was developed. The TreasuryBridge Smart Contract, was deployed for each of the community treasury and rewards treasury. The TreasuryBridge Smart Contract:
One time: rejects new vesting from the TreasuryVester Smart Contract by calling the setRecipient function on this contract to set the recipient to a burn address, and
Ongoing Basis: allows governance to bridge any amount of existing tokens in the community treasury or the rewards treasury (the current Treasury Smart Contract only allows transfer() and approve()).
Note, the TreasuryBridge smart contract is similar to the current corresponding Treasury Smart Contract except for the two differences referenced above.
V3 Treasury Contracts
Currently, 26.1% of the total token supply of ethDYDX, which amounts to 261,133,225 ethDYDX, is allocated to the Community Treasury. This allocation is designed to sustainably support contributor grants, community initiatives, liquidity mining, and other assorted programs.
Initially,5.0% of the token supply (50,000,000 ethDYDX) was allocated to the Community Treasury, and 766,703 ethDYDX vested in the community treasury each epoch. The allocation of the Community Treasury increased as a result of several governance proposals.
DIP 14 - set the rewards for staking USDC to 0 (383,562 ethDYDX per epoch),
DIP 16 - reduce trading rewards by 25% (958,904 ethDYDX per epoch),
DIP 17 - set the rewards for staking $DYDX to 0 (383,562 ethDYDX per epoch),
DIP 20 - further reduce trading rewards by 45% (1,294,520 ethDYDX per epoch), and
DIP 24 - reduce Liquidity Provider Rewards by 50% (575,342 ethDYDX per epoch).
DIP 29 - reduce Trading Rewards and Liquidity Provider Rewards by ⅓ from Epoch 30-32 on dYdX v3 to the following values:
Epoch 30:
Trading: 1,054,795 $ethDYDX
LP: 383,562 $ethDYDX
Epoch 31:
Trading: 527,398 $ethDYDX
LP: 191,781 $ethDYDX
Epoch 32:
Trading: 0 $ethDYDX
LP: 0 $ethDYDX
After Epoch 31, there are no Trading Rewards and Liquidity Provider Rewards on dYdX v3.
Objectives
Fund programs and initiatives that drive the growth of dYdX.
Develop grant programs to fund community NFTs, hackathons, analytics dashboards, memes, swag, third-party tools, translations, and other projects.
Develop a best-in-class governance system and incentivize robust governance.
The community treasury will retain ethDYDX to use as ethDYDX holders decide whether it be for grants, new liquidity mining pools, or any other program. ethDYDX will vest to the community treasury continuously over five years. A governance vote will be required to spend any ethDYDX from the community treasury.
If, after five years, governance decides to enact perpetual inflation (at a maximum annual inflation of 2%), any newly minted ethDYDX will be available to the community treasury.
The Community Treasury Vester (see details here) used to vest 0.3169242627 ethDYDX every second to the Community Treasury. Once ethDYDX had been vested, calling the claim function on the Community Treasury Vester would transfer the vested ethDYDX to the Community Treasury. Any dYdX community member can call the claim function on Etherscan here (which would require some ETH for gas fees) to move the vested ethDYDX from the Community Treasury Vester to the Community Treasury.
In DIP 29, the dYdX v3 community voted to set the recipient of the Community Treasury Vester to 0x0000000000000000000000000000000000000002 , to effectively burn all unvested ethDYDX in the Community Treasury Vester.
Please refer to the dYdX Foundation’s Terms of Use for further details on the control of the Community Treasury by the dYdX community.
ethDYDX from the Community Treasury?Any user with sufficient proposing power can submit proposals. A governance vote will be required to spend any ethDYDX from the Community Treasury. To submit a proposal, please submit a dYdX Improvement Proposal (DIP) as laid out in the DIP Proposal Lifecycle.
Reverie has put together a comprehensive, technical, step-by-step guide on how any dYdX community member with more than 5M ethDYDX (proposal threshold for a short timelock vote) of proposal power can create a proposal to transfer ethDYDX from the Community Treasury to a destination address. Click here to access the technical guide.
A community-managed treasury opens up a world of possibilities. We hope to see various experiments and initiatives, including ecosystem grants, which can foster the dYdX Layer 2 Protocol’s ecosystem growth.
The TreasuryVester contract was inspired by Uniswap.
https://docs.dydx.community/dydx-governance/resources/technical-overview
The Short Timelock can only execute governance-approved actions.
There are two vesting contracts, the Rewards Treasury Vester and the Community Treasury Vester. Each vester vests ethDYDX to the respective treasury contract - Rewards Treasury Vester to the Rewards Treasury and Community Treasury Vester to the Community Treasury.
dYdX governance under the Short Timelock Executor, controls the Rewards Treasury and the Community Treasury. As such, the dYdX community through dYdX governance can transfer funds in the Rewards Treasury and the Community Treasury to any address and/or approve any address to spend funds from either treasury.
Each treasury vester will vest tokens linearly over ~5 years (August 3rd 2021 - August 3rd 2026) to the corresponding treasury.
| Contract | Address |
|---|---|
Rewards Treasury
0x639192D54431F8c816368D3FB4107Bc168d0E871
Rewards Treasury Vester
0xb9431E19B29B952d9358025f680077C3Fd37292f
Community Treasury
0xE710CEd57456D3A16152c32835B5FB4E72D9eA5b
Community Treasury Vester
0x08a90Fe0741B7DeF03fB290cc7B273F1855767D8
Short Timelock Executor
0x64c7d40c07EFAbec2AafdC243bF59eaF2195c6dc
Merkle Distributor
0x01d3348601968aB85b4bb028979006eac235a588
Safety Module
0x65f7BA4Ec257AF7c55fd5854E5f6356bBd0fb8EC
Liquidity Staking
0x5Aa653A076c1dbB47cec8C1B4d152444CAD91941
DydxToken
0x92D6C1e31e14520e676a687F0a93788B716BEff5
DydxGovernor
0x7E9B1672616FF6D6629Ef2879419aaE79A9018D2
