Sorry if I misunderstood. I was under the impression that the original idea was to stake FTM to receive additional FTM rewards (from staking) and sell those rewards to buy MPH to be distributed to xMPH holders. If that’s incorrect, please correct me!
In my opinion, any action we take as a DAO should be done to maximize the long-term growth, viability, and sustainability of the protocol. There are so many things we can and probably should be doing to accomplish those things.
Here are some examples of ways that those funds could be better used (in my opinion):
- Meta governance (only if it makes sense for us to hold a specific asset).
- Protocol owned liquidity. If you haven’t looked at what Olympus Dao is doing, I suggest taking a look.
- Treasury diversification. We should own non-MPH assets (e.g. ETH, DAI, etc) to survive a potential bear market where the price of MPH is significantly depressed.
- Incentivize TVL growth. By using FTM and/or MPH tokens as incentives for FIRB deposits, we can growth TVL on Fantom.
As an xMPH holder myself, I do want to see the staking APR increase. However, I would rather receive a 0% APR for staking MPH knowing that the reward I would have received is funding initiatives that support the long term goals of the protocol.
At the end of the day, we’re a $30M market cap project. We should think of ourselves as a seed-stage startup and heavily invest in our own growth as it likely has the highest expected return of any action we could possibly take. If we hold FTM, we’re signaling that we think holding/staking FTM has a higher expected return than other possible actions that we could take.
Lastly, I’m only a single opinion. Please take with a grain of salt and call me out if I’m way off base.