I believe one of the next issues to begin discussion on is appropriately increasing our staking reward APY % for Pickle Stakers.
As we saw when the WETH rewards launched, Pickle price jumped from $14 to $27 and then found a price floor around $23. The price increased because people were purchasing pickle on market to stake and receive high APY %s because the rewards at launch were around 150%. $23 became an equilibrium price as APYs came down and people stopped buying.
It is my belief that by incentivizing the staking rewards for pickle we will create a stable price floor higher than the price floor we have now. If Pickle wants to act as a Stablecoin, I’d rather it act as a $40 stable than a $23 one. (This is hyperbole to say that the price will stabalize at a higher price with increased reward APY% to stakers. I don’t know if that will be $40 or not. It’s an example number.)
This forum post is to begin discussion on how to best go about this. Do you think that increasing the staking rewards would increase the price of Pickle? Where would these rewards come from? What do you imagine this looking like? Please share your thoughts.