Get rewarded with $AMPLE for participating in using your $FORTH tokens to vote

Ampleforth Governance
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I say we should vote on something that incentives people to actually use their $FORTH tokens to vote. Like maybe you can earn a small amount of $Ample for participating in the voting process or something like that. They would take a snapshot of all the addresses after the voting ended, and everyone who participated will get rewarded with $ample. That would definitely get people to want to use their tokens for voting instead of just holding them. What do you guys think?

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I was thinking about this too, but where does the AMPL come from? The only thing we can reward is with Forth from annual inflation, unless we require a payment in AMPL to submit a proposal for voting, which perhaps the winning voting party splits and keeps the proceeds of. This could drive some economic demand Forth I guess.

However what should the price of submitting a formal proposal be? And should there even be one? I would rather allow anyone to submit proposals at the moment and maybe think about adding a barrier later.

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This would actually be a good use case for the unclaimed forth for the first few governance votes

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Paying people to vote is not good, people will vote mindlessly just to reap the rewards of voting. COMP has a good model for this, they reward COMP on their lending/borrowing pools to further incentivize deposits/borrows, this has the side effect of rewarding actual users of the protocol while giving them choice to take part in the governance if they want.

That being said, I don’t think FORTH needs this. Eventually, the demand for FORTH will come from people/institutions who have a direct interest in shaping AMPL via governance. If this never materializes, then no amount of incentives will drive FORTH price up.

Something that I’ve been thinking about is using your FORTH as collateral for borrowing AMPL, so you can have a leveraged position without losing your FORTH or the ability to vote. FORTH is more stable than AMPL and easier to understand.

1 Like
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One could argue if mindless voting (or random voting) is better than no voting. Over time, those random voters might start to get more involved with FORTH governance.

I’m not in favour of getting rewarded in AMPL though. If anything, I would prefer FORTH voters to get rewarded in FORTH. There is a 2% inflation per year anyway and by rewarding FORTH with FORTH, as time passes, active holders would start to gain voting power over non-active holders, which in my view is very fair.

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