The yearn.finance community voted to extend its native YFI token offering by 6,666 new tokens.
The proposal comes after yearn.finance founder Andre Cronje wrote an article about the constraints of working in decentralized finance.
The YFI is up after this news
A vote on whether or not to extend the maximum supply of YFI tokens led the community to vote in favor of 6,666 tokens to reward key contributors.
The proposal , which began Jan. 28, saw 2,000 YFI pledged in the vote. About 1,670 YFI (84%) voted in favor, while 331 YFI (16%) voted against.
The proposal gives key contributors a third of the tokens, while keeping the rest in the treasury. Yearn users will then vote to allocate those tokens to new campaigns in the future.
The proposal gives examples of what these future campaigns might contain, including future incentives for actors, cash- extraction programs and rewards. A full version of the proposal, including details and discussions, is available here .
Why this decision?
The proposal comes after the founder of yearn.finance Andre Cronje, have t wrote an article about the constraints of work in decentralized finance (DeFi).
In it, the developer explained the pressures they faced while working essentially for free on an open source project. He detailed the community’s expectations, sometimes based entirely on market movements.
This, of course, only added to the pressure, according to Cronje, as token holders lacked insight into the demands of development. He apparently suggested that the launch of YFI’s „fair exit“ might have been a mistake, warning against serious development without „$ 100,000 in savings.“
Finally, he suggested the need for compensation in the form of a mint (adding new information to the blockchain). Initially, reactions varied, some in favor. Others pointed out that the concept of fair release was key to yearn’s worth.
The future of YFI
However, it seems that the famous developer has managed to win over the overwhelming majority of the token governance community. Throughout this process and debate, Cronje has emphasized that the yearn. finance had not changed. He would not take a unilateral position either.
The players in the DeFi community finally voted in favor of the proposal, despite a real risk of a price drop. The YFI is currently higher after the vote , currently trading at $ 32,608.90.