Here are some additional details on our plan to migrate YAM to a new system, as first proposed in our previous post.
- We are proposing a migration plan consistent with the ethos in which the YAM project was launched: the community controls the project
- If the community chooses, we will facilitate this 2-phase plan over the coming weeks to migrate to audited versions of the YAM protocol
- We have not and do not intend to take administrative control over the protocol at any time
- After successful migration, we intend to propose a reward to tokenholders who acted to save the system (but this will need to be approved by tokenholder vote)
- No action is required of YAM tokenholders at this time; however, action will be required soon
The community has clearly been supportive of a YAM relaunch with proper auditing, and it has been engaged and helpful in generating ideas regarding how to proceed. This engagement is exactly what we hoped YAM to achieve, and we believe the best solution is to get power to this community as simply and efficiently as possible. Once this is achieved, YAM holders will be able to continue to decide the path of the protocol.
To facilitate the relaunch of the YAM system, we will support a two-phase solution:
The YAM Deployer address will set up a migration contract. This will allow YAM holders to burn their tokens and mint YAMv2 tokens before a certain deadline. The migration contract will be audited prior to deployment.
YAMv2 tokens will not rebase. The balanceOfUnderlying function on the current YAM token contract will be used to determine the number of YAMv2 tokens minted. This means that YAM rebases will not affect the number of YAMv2 tokens you will receive.
YAMv2 will have no on-chain governance functionality. We plan to implement off-chain signature voting to allow YAMv2 holders to signal their preferred path forward.
The complete YAM system will be audited and redeployed as YAMv3. YAMv2 holders will be able to migrate to the updated YAMv3 token via an additional contract.
We will release more detailed information in the coming days regarding timing and audits.
Future Proposal to Reward Delegators
In our original post about plans to save YAM, we wrote:
We believe that if the community saves YAM, tokenholders will grant lost rewards + a bonus to those who acted to save the system
We still believe that doing this is the right course of action. Once the migration to the audited YAM contracts is complete, the team will strongly advocate for one or more proposals consistent with this sentiment. However, the YAM community must ultimately make this decision and enact it on chain; the team literally does not have the power to enforce such action on our own.
Please be aware that some individuals might begin to enact their own YAM forks and solutions. We strongly urge caution around any of these projects.