Summary:
This proposal recommends updating the vesting mechanism for all future rewards, team allocations, and private sale tokens to a daily vesting schedule. The objective is to ensure a more gradual and predictable introduction of tokens into the market, reducing volatility and supporting long-term ecosystem health.
Context:
Currently, the vesting for rewards, team, and private sale allocations follows a cliff-based or monthly schedule. While effective in some cases, such one-shot or infrequent releases can create unnecessary supply shocks and market pressure.
Proposal:
We propose that all future $KERNEL token distributions under the following categories be updated to daily vesting:
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Rewards (e.g., contributor, ecosystem, grant programs)
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Team allocations
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Private sale investor allocations
This change will apply only to future distributions and not retroactively impact allocations that have already been vested or distributed.
Rationale:
Implementing a daily vesting schedule offers several benefits:
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Market Stability: Gradual token release can mitigate sharp price movements and reduce sell pressure.
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Predictability: A consistent daily release provides clarity for both investors and the broader community.
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Alignment with Best Practices: Many successful projects adopt gradual vesting to ensure sustainable growth and community trust.
Details of Implementation:
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Start Date: Daily vesting will apply to all relevant allocations scheduled after the date this proposal is approved and technically implemented.
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Distribution Frequency: Vesting will occur daily over the existing vesting period (e.g., if a wallet is scheduled to vest over 12 months, tokens will now be unlocked daily over those 12 months rather than monthly).
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Smart Contract Update: Vesting contracts must be updated or redeployed to reflect the new daily schedule.
Next Steps:
This proposal will remain open for community feedback for a minimum of 72 hours. We encourage all stakeholders to share their questions and suggestions.
Upon gathering feedback, we will refine the proposal as needed before moving forward with a formal vote on Snapshot platform.