What is the Flare Emissions Plan?
The FLR Emissions Plan is all about boosting the Flare network. By rewarding community members for participating with key protocols, the plan aims to keep folks engaged and the network thriving.
Overview of FIP.09
FIP.09 (FIP stands for Flare Improvement Proposal) suggests rolling out a 510 million FLR emissions plan to help the Flare ecosystem grow. The Flare Foundation wants to use around 510,000,000 $FLR from the total available incentive pool of 20,000,000,000 $FLR. Future FIPs can unlock the remainder. The main idea is to provide these rewards to end users of the dapps in Flare’s growing DeFi ecosystem – this will drive participation, deepen liquidity, and create a fertile environment for more dapps to launch.
Key points of FIP.09:
- Total FLR Allocated: 510,000,000 $FLR
- Target Audience: Flare community members
- Approved by the Flare community on 4th July 2024
Purpose of Emissions Plan
The emissions plan from FIP.09 aims to get the community involved in the Flare network for the long haul. By offering specific rewards, the plan hopes to:
- Encourage Builders: Push for the creation of decentralized apps and protocols within Flare.
- Support Liquidity Providers: Boost liquidity in the network, making it more appealing for traders and investors.
- Promote Sustainable Growth: Ensure the ecosystem grows in a strong and lasting way.
To hit these goals, an Emissions Committee will decide how to distribute $FLR emissions, following set rules and monthly limits. This setup aims to balance growth incentives with maintaining the long-term value of $FLR.
The FLR Emissions Plan is crafted to keep the Flare network lively and appealing, driving the exceptional growth of the Flare ecosystem.
Managing Emissions Allocation
Role of Emission Committee
The Emissions Committee is the backbone of directing emissions to decentralized apps and protocols on the Flare network. This group has six members, a mix of Flare insiders and outsiders. Their main job? Allocating $FLR emissions to boost the Flare ecosystem and monitoring the protocols to ensure they end up in community hands.
They've got the power to decide how much $FLR to allocate each month, sticking to some rules and limits. The amounts allocated per month are expected to increase as more dapps are launched and brought into the program. To keep things above board, the Emissions Committee must report their allocations every quarter. This way, the community can keep tabs on them and make sure the emissions are used wisely. If the committee messes up, the community can propose to cut their funding and dissolve the committee, stopping the emissions schedule.
Governance Proposals for Emissions
Future governance proposals are key for the community to approve the rest of the 20 billion $FLR incentive pool. This sets up the Flare ecosystem to grow with community input and governance. These proposals let community members share their thoughts and vote on emissions. It's a democratic way to allocate resources, making community members actively involved and responsible for the Flare ecosystem.
The proposals will spell out the rules for emissions, including the monthly limits. This ensures emissions are managed sustainably and transparently, matching Flare's long-term goals. By setting up a solid governance framework and giving power to the Emissions Committee, the Flare ecosystem can grow sustainably. These steps make sure emissions are allocated efficiently, transparently, and in line with what the community wants.
Boosting Flare's Growth
The new emissions plan, outlined by FIP.09, is a game-changer for Flare. It’s all about getting the community involved through supporting those who participate, build, and provide liquidity.
Other Flare Incentives
The new DeFi emissions are just one of the ways that Flare community members are rewarded for supporting the network and ecosystem:
- Flare Staking rewards: FLR holders are rewarded for staking their tokens to Flare validators to support network security.
- Delegation rewards: Holders can also delegate their tokens to data providers of Flare’s native enshrined oracle, the FTSO, and earn a share of the rewards they earn for feeding the network with accurate decentralized data.
- FlareDrops: Everyone who holds WFLR, delegates to an FTSO data provider or stakes to a Flare validator qualifies for the monthly FlareDrops. The amount is calculated every month and is based on a wallet’s holdings vs the total community holdings making it very easy to get involved.
- Grants: The Flare ecosystem support program offers grants for builders using Flare’s enshrined oracles in interesting ways.
- Bug bounty program: Flare has just announced a Bug Bounty Program powered by Immunefi, with bounties of up to $250k initially available.
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