Prosper
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Prosper

Introducing the prosperous DAO and the prosperous Treasury

Greetings, PROS fam!

Following a successful launch, there is so much more to do — and today, let’s focus on how DeFi has differed from vaporware projects of the past. The core point of DeFi can be summed up to two core ideas: decentralization which, which can’t be achieved if everything is being controlled by the only one entity, and actual protocol usage-revenue.

The thing is, these features are intertwined and can self-reinforce each other if done right. Today we are proud to introduce you to the Prosper DAO proposal, which has been inspired by the “buyback and build” concept of yearn finance and Placeholder: governance system, benefits for $PROS token holders, buybacks and Prosper Smart Treasury!

The Prosper DAO

The Prosper DAO (decentralised autonomous organization) is an association of $PROS holders, who staked their tokens into a government to vote for the key decisions on platform development and share part of the platform fees.

The Prosper DAO serves as final decision maker in the business and strategic questions. The DAO can vote to change the platform fee rate, Prosper treasury distribution rate as well as come out with some business or development proposals via Prosper DAO UI.

Benefits for DAO participants

Users, who staked their $PROS token into a DAO will receive a share of gPROS token, which will indicate their voting power in the governance system. More voting power you have, the more important your voice is. Stacked $PROS tokens are subject to 24 hours lock up, and we can further explore the most optimal setups.

The governance token holders will share a part of the platform fees according to the Prosper Smart Treasury. The income for DAO participants will be paid in $PROS token, which has been bought back on a secondary market from the Smart Treasury funds. The rewards are being distributed on a proportional basis. The more tokens you stake, the higher percentage of platform fees you get.

Prosper Smart Treasury

Prosper Smart Treasury serves as a holder of the platform funds. Main source of smart treasury income is platform fees. During the initial alpha launch, the average daily fees were around 550 BNB ($24,000). All the fees that have been collected from the initial prediction mining event already has been contributed to the smart treasury.

Prosper Smart Treasury pays out dividends divided on three parts:

  • Development fund;
  • DAO participants;
  • User reward pool;

Upon a DAO launch, those parts will have an equal percentage rate (33.33%), however, the DAO participants can vote to change it.

Buyback & Build

The development fund is being paid in stable-coins, however the DAO participants rewards (as well as user rewards pool) is being paid in $PROS token. We don’t want to over inflate the token, thus we are implementing the buyback system.

Prosper Smart treasury will constantly buy back the token from the secondary market and distribute it across DAO participants and the user reward pool.

We all see that the Prediction mining event is a successful example of a user engagement program, thus we would like to make it a constant event. User reward pool will be initially used as a Prediction mining reward pool to boost the platform volumes and get additional fees, which will be forwarded to the Smart treasury again without inflating the token.

Next steps

The article is more about the basic understanding of the upcoming DAO program. The exact details and numbers will be shared later on. According to our estimations, the DAO program will be launched already in two weeks from now, allowing users to stake their $PROS token to vote for the platform development and earn additional income. We can also opt-in to have minimized governance and gradual transition, and we are open to your ideas, PROS fam!

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Prosper

Prosper

Short-term non-custodial prediction and hedging platform based on Binance Smart Chain. Start here: https://beta.prosper.so