[YIP-52] Make Strategist Skin in Game Partner for Make Benefit of Glorious Brain of Yearn
AI summary
This proposal aims to change how performance fees are distributed within Yearn's Vaults. Currently, 97.5% of the 20% performance fee goes to the Yearn treasury, and a small 0.5% goes to the Strategists who create and manage the investment strategies. The proposal suggests an equal split, with both the Yearn treasury and Strategists each receiving 10% of the performance fee.
If passed, Strategists would receive a significantly larger share of the performance fees, increasing their incentive to build and maintain high-performing strategies for Yearn. This could attract more talent and improve the overall yield offerings, benefiting users. The Yearn treasury would receive less from performance fees, potentially impacting its funding for other operations.
Voting results
Votes over time
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🐳 Whale votes
3 votes > 5% VPFull proposal
Authors
@banteg, @lehnberg, @milkyklim
Summary
- With 97.5% of the Vault's performance fee going to the Yearn treasury, Strategists have barely any skin in the game–39x less than Yearn's Treasury to be precise.
- Such a misaligned balance of interests does not make it attractive for Strategists to build on Yearn. This could turn into an existential threat to the protocol.
- This proposal sets Yearn and Strategists out to be equal partners in the success of a Vault, with each allocated an even share of the 20% performance fee:
- Treasury allocation: 10%
- Stra…