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add calculation edit from approvers (#441)
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0xzoz authored May 23, 2024
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11 changes: 8 additions & 3 deletions CGPs/cgp-0134.md
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Expand Up @@ -24,9 +24,14 @@ As per the initial token release schedule, the community fund would have receive

## Proposed Changes

- Validators Celo Epoch rewards will be adjusted from the initial $75k to $58.5k (0.78*$75k) and the reward multiplier will be freezed and brought back to 1. This will stabilize validators rewards around $58.5k
- To account for the total of 120m Celo being transferred from Mento, this proposal will significally cut down the emissions to the community fund
- We will freeze the emission to locked voting Celo at its current rate. This will have the advantage of maintaining consistent yield and prevent further decreased that has occurend in the past for the locked voting Celo
## Proposed Changes
- Validators Celo Epoch rewards will be adjusted from the initial $75k to $58.5k (0.78*$75k) and the reward multiplier will be freeze and brought back to 1. This will stabilize validators rewards around $58.5k
- To account for the total of 120m Celo being transferred from Mento, this proposal will significantly cut down the emissions to the community fund
- We will freeze the emission to locked voting Celo at its current rate. This will have the advantage of maintaining consistent yield and prevent further decreased that has occurred in the past for the locked voting Celo

Edit: We’ve received feedback from one of the approvers that the yield could decrease by 9%. The 3.7% is the current overall staking yield on locked Celo but this is an average that’s affected by all validators scores. At present, a validator with a perfect 100% score has a compounding yield of 4.13%. With this change, his yield will decrease to about 3.77% but it will cease to decrease further over time.
The formula for calculating 4.13% is `(1+ (0.000252*0.441))^365 == 1.04139475603`
The formula for 3.77% is `(1+0.0001015*1)^365 == 1.0377`


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