---
title: "YIP-14: Yearn Rewards Reserve"
hide_title: true
sidebar_position: -14
---

# YIP-14: Yearn Rewards Reserve

| Metadata | Details |
| --- | --- |
| YIP | 14 |
| Outcome | **Rejected** |
| Authors | yieldbouncer |
| Created | 2020-07-24 |
| Forum discussion | [View discussion](https://gov.yearn.fi/t/yip-14-yearn-rewards-reserve/136) |
| Snapshot vote | Not recovered |
| Vote result | No Snapshot vote recovered. |
| Source | [Source](https://github.com/yearn/YIPS/blob/master/YIPS/yip-14.md) |

## Simple Summary

Without a cash reserve, it is difficult to sustain and improve the protocol further. As a community, we need to start capturing and reserving a percentage of the value being generated by Yearn in order to support further development, improve security, sponsor research, e.t.c.

To get started, I propose we capture 5% of all yields earned through Yearn to be used as a reserve for the protocol.

## Abstract

@andre.cronje has done an amazing job so far at developing the protocol. As a community, we should support his efforts. To achieve that, I propose that we should start reserving 5% of all yields earned for protocol use. How we plan to use it and what would be the sensible threshold for the reserve percentage can be determined in a different proposal

## Motivation

One of the best things about the Yearn ecosystem is that there isn’t any pre-mined tokens. No money was taken from VC nor did @andre.cronje attempted to IXO (e.g. IDO, ICO) YFI tokens. This is as good as we can get when it comes to decentralization for a working and profitable defi project! Unfortunately, there are also downsides for not having some cash reserved:

- Unable to cover expensive audits for contracts
- Incentive to continue building awesome products
- Fund/grants to sponsor researches in order to improve the products
- General marketing and user support

**FOR**: Reserve 5% of all yields earned through Yearn for protocol use.

**AGAINST**: No changes. All rewards will continue to distribute evenly among YFI stakers.

## Metadata

| Name                | Value                                      |
| ------------------- | ------------------------------------------ |
| Proposed by         | 0x09173487b272311Edda01F45f97911aEB6aBd602 |
| Total for votes     | 332839.5446 (99.69%)                       |
| Total against votes | 1005.9567 (0.30%)                          |
| Quorum              | 3.06% 𐄂                                    |
| Start block         | 10525527                                   |
| End block           | 10542807                                   |

Source: [yieldfarming.info YFI Governance Information](https://yieldfarming.info/yearn/vote/)