To clarify the economics, HSP-003 does not result in any net new inflation. The funding for this is coming out of the HoS treasury, which is funded from two pre-existing sources: funds being transferred over from the old NDC trust, and new issuance that’s been flowing into treasury.near (0.5% of total issuance) since genesis.
–
I appreciate the feedback on marketing as well here, that’s an interesting perspective. It feels a little orthogonal to the purpose of this proposal, however, and I’d encourage a fresh proposal that speaks specifically to a marketing budget.
Treasury spend will create inflation, as it is new NEAR entering the economy. I’m down for making the spend, but we should still be aware that every spend lowers the NEAR price, so there needs to be strong upside somewhere too. Which there is here.
The purpose of the proposal, as I see it, is to get people to stake into veNEAR, for a variety of reasons.
The only way they will do that is if they know about it, marketing is the MOST critical function to make that happen. Good marketing will be required in fact! Of course we need to do the mechanical change here to raise the APRs to compete with defi APRs… but without good marketing, we are being inefficient with the spend.
That being said, I’m going to abstain in this vote for now, I do think this proposal will be good for the community, and probably there will be some coordination with the main marketing team for NEAR to promote this… I just wish there was a clear marketing plan in place to go along with it.
Marketing is critical in this industry, and we have a lot of great things to talk about! But look at meme coins! Tokenomics is less powerful than marketing in this industry.
We support the proposal because we believe it’s difficult to organically bootstrap the delegation without such initiatives based on experience in other DAOs that we’re involved in. It also strategically leverages the recent reduction in NEAR staking APY to make veNEAR incentives competitive. By offering a clear, time-bound rewards program, it aims to bootstrap participation in the House of Stake, potentially increasing governance engagement and long-term locked NEAR. The proposal is structured as a pilot, allowing for community feedback and adjustment before any long-term commitment, which aligns with prudent governance experimentation. However, we also believe this should be a temporary measure and more considerations to achieve a long-term solution to the governance token delegations.