According to the AURORA token economy, it was decided to allocate 30M AURORA tokens to be distributed to NEAR ecosystem in the form of farming rewards to the ones who are delegating NEAR tokens to Aurora Validator. Parameters for the first 1-year length and 5 million of $AURORA Validator were discussed around two years ago in the related article on the forum and the same reason was applied in previous year when the second farm with 20 million $AURORA was approved.
As have been elaborated one of the main reasons for the existence of Aurora Validator is having an ability to partially offset the costs of transaction relaying (providing free transactions to Aurora users through Aurora+) and Aurora protocol development. The activities are currently performed mainly by Aurora Labs and as was approved the majority of proceedings from the Validator are to be allocated to this company. In the future Aurora DAO may select another service provider for each of the above activities ensuring that it has advanced technical capabilities and experience.
Among other reasons there is also a need for covering operational expenses of Aurora DAO service entities as discussed in the recent proposals.
On the other hand current market conditions push for the need to establish competitive levels of incentivization for delegators of the Validator.
Considering the above there is a proposal to:
- Continue to operate Aurora Validator on NEAR with the same fee of 99%.
- Considering the market condition and token prices set up the farm of 10M $AURORA. Approve transfer of additional 10M $AURORA for the purpose.
- The length of the farm is 1 year.
The above parameters will allow delegators to get 6%-10% range of APY with total stake size in between 6.5-4.5M $NEAR, respectively, considering current price of tokens involved. The APY is subject to change rooted by the change in amount delegated and AURORA and NEAR tokens market price.
Сontrolling wallet/address of Aurora Validator aurora.pool.near should be retained as aurora-dao-bvi.sputnik-dao.near which is official address of the Aurora DAO service entity Aurora DAO Ltd (BVI) in accordance with the previous relevant DAO decision.