Prop 4726: Alliance Signaling Proposal

This proposal aims to 1) incentivize Alliance adoption and the formation of mutually beneficial economic alliances between LUNA and other Cosmos ecosystems and 2) cross-pollinate users and liquidity between Terra and allied chains. To accomplish these goals, we propose allocating a combined 3% of LUNA staking rewards to at least one LSD from the first ten Cosmos chains that integrate Alliance and add a LUNA LSD as an Alliance asset with a positive yield. A “Yes” vote signals support for TFL to develop a protocol that automatically recalculates and distributes these LUNA staking rewards to each foreign LSD Alliance asset based on the yield the allied chain offers to LUNA LSD Alliance stakers. The higher the APR, the higher the RewardWeight the allied chain’s LSDs will be allocated on Terra. Read the full proposal here: https://agora.terra.money/discussion/11500-alliance-signaling-proposal