Set redemption veto penalty parameter at 5%
AI summary
This proposal asks Threshold Network token holders to set a 5% financial penalty for 'vetoing' a redemption request. This penalty is part of the 'Optimistic Redemptions' system, which was previously approved. The Treasury Guild Committee recommends setting this penalty at its maximum allowed value.
If approved, anyone who vetoes a redemption request will face a 5% financial penalty, which could deter frivolous vetoes and encourage more efficient redemption processes. This change primarily benefits those seeking to redeem tokens by reducing potential delays, and penalizes those who might misuse the veto mechanism.
Voting results
🐳 Whale votes
0 votes > 5% VPFull proposal
Per TIP-72 (Optimistic Redemptionshttps://forum.threshold.network/t/tip-072-optimistic-redemptions/793), token holders ratified that several parameters will be governable:
- Initial default veto delay period
- Redemption delay after first veto
- Redemption delay after second veto
- Freeze time upon veto
- Financial penalty upon veto – with a hard cap of 5%
Regarding the final one, it's time to set this parameter. The Treasury Guild Committee recommends the maximum penalty of 5%.