Prop 2:
Proposal for the Transfer of Ecosystem Growth and LP Reward Allocation
Simple Summary This proposal enacts the ecosystem growth and liquidity provider reward allocation logic defined in HIP-2 by authorizing the initial movement of newly generated inflationary HP coins (10% of total inflation) to a designated wallet (hippo109sklkk87eeymfg209rxwrh6nwl3krpu6gv024). ## Abstract This proposal authorizes the transfer of newly minted HP coins, up to block 632012 into a dedicated wallet (hippo109sklkk87eeymfg209rxwrh6nwl3krpu6gv024) designated for ecosystem growth and liquidity provider rewards. According to [HIP-2: Mainnet Node & Validator Proposal], 10% of all newly minted HP coins from inflation are allocated for this purpose. The coins will be moved to hippo109sklkk87eeymfg209rxwrh6nwl3krpu6gv024 on July 1, 2025. ## Motivation Allocating funds to support ecosystem growth and liquidity provisioning is critical to stimulate participation, attract new partners, and increase the protocol's utility. This transfer sets the foundation for programmatic deployments in the future while upholding transparency and accountability. ## Documentation - None. ## Specification - Reward Source: 10% of HP inflation from mainnet launch up to block 632012 - Date: July 1, 2025 - Allocation Purpose: Ecosystem growth and liquidity provider rewards - Allocation Amount: 3,260,870 HP - Allocation Wallet: hippo109sklkk87eeymfg209rxwrh6nwl3krpu6gv024 ## Rationale This proposal: - Prepares the protocol to deploy capital in support of key ecosystem initiatives - Establishes a dedicated fund for LP and partner rewards, as ratified in HIP-2 - Increases transparency by separating ecosystem allocations into a dedicated wallet ## Drawbacks - None. ## Unresolved Questions - None. ## Security Considerations - None. ## Prior Art - None. ## Backwards Compatibility - None. ## Test Cases - None. ## Reference Implementation - None. ## Security Considerations - None. ## Future Possibilities - NA