AAVE V3 Harmony Recovery ONE Proposal

Governance
21

You’re most welcome! I’m so glad to be involved with this proposal and I’m confident that this proposal can make a real difference. It’s a win-win for everyone: bad debt gets removed, Aave holders get compensated, and Aave and Harmony emerges stronger than ever. :blue_heart:

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So there is only written about adding ONE, so this would not have an affect on the negative debt locked LINK?

Also why only adding each $50k? The revenue of AAVE on Harmony in 2022 was $73.1k why not using this?
A 80% cut is quite a lot, so I would suggest at least a 15% from AAVE and 15% from Harmony!

3 Likes
23

Hi @Selvy

Hi Selvy,

First, thanks so much for your proposal to this issue

Second, Harmony agreed split 441M ONE tokens annual emission: 75% for staking rewards and 25% for bridge recovery. So why not use part 25% for this issue on AAVE ( mean more than 5mil One to your proposal. Eg: 10 - 15 or can 20mil One ) because i think AAVE community cant agree add for more One

Thank for read to my post,

24

We appreciate your suggestion for a larger contribution to address the Aave bad debt, but the current exchange rate is 10% based on market determined price.
That is what we are asking 10% from harmony and 10% from Aave with 20% in total.

25

I appreciate your initiative. However here we are not talking about deppeged assets but native coins affected by the hack. I don’t see why the deppegeg assets exchange rate should apply here. Especially considering that:

  • users are stuck since around 18months without any alternatives possible (on the other side, users with deppeged assets could sell their deppeged assets at a loss whenever they wanted)
  • harmony emptied the incentives fund, making it impossible to withdraw the accumulated rewards anymore and affecting the users even more by doing so.
    I would expect at least a gradual recovery of the bad debt and not a single shot 20% solution. Starting by 20% until X% with funds added every monthes for a maximum reimbursement.
1 Like
26

100% agree with boubou, you cant partially compensate One holders with only 20% after 18 months :-1:

1 Like
27

Following the governance decision, the Aave DAO voted NAY to the proposed recovery plan.
This governance decision is in line with other proposals in the past 18 months, indicating consistency in Aave’s governance opinion on the topic.

Governance has spoken.

We’re thus closing this topic and related posts.