[GIP-219] GEAR Buyback and LP Program
AI summary
This proposal suggests that the Gearbox DAO use 25% of all future revenue to buy back GEAR/wETH Uniswap V2 LP tokens. It also requests up to $15,000 USDC to develop a tool that will allow the DAO's multi-signature wallet to easily convert revenue into these LP tokens. The goal is to strengthen the connection between the GEAR token's value and the protocol's success, especially as Gearbox expands its roadmap in 2025.
If passed, 25% of all future revenue, which has been about $500,000 over the last six months, will be used to buy back GEAR tokens, potentially increasing its price. This could benefit GEAR token holders by creating a direct financial incentive tied to the protocol's performance. The DAO's treasury runway, which is currently 1.7 years, would be slightly shortened to 1.4 years, but this is offset if revenue grows or ETH's value increases. A developer will be paid up to $15,000 USDC to build a tool for this process.
Voting results
🐳 Whale votes
0 votes > 5% VPFull proposal
Proposal
Allocate 25% of all future realized revenue to purchase Gear/wETH Uniswap V2 LP tokens. Allocate up to $15k USDC to develop a zap tool to allow the multisig to easily convert revenue to LP tokens in a single transaction.
This proposal aims to align GEAR holders with the protocol roadmap by creating a direct relationship between GEAR value and revenue earned.
Context
2025 Narrative Expansion - Permissionless Credit Layer
In 2024, Gearbox achieved product market fit, notably in the LRT/points farming narrative. The 2025 roadmap seeks to transform from composable leverage to a f…