---
title: "YIP-31: YFI Inflation Distribution"
hide_title: true
sidebar_position: -31
---

# YIP-31: YFI Inflation Distribution

| Metadata | Details |
| --- | --- |
| YIP | 31 |
| Outcome | **Rejected** |
| Authors | substreight, deltatigernz, Graadient, Daryllautk |
| Created | 2020-07-30 |
| Forum discussion | [View discussion](https://gov.yearn.fi/t/yip-31-yfi-inflation-distribution/1445) |
| Snapshot vote | Not recovered |
| Vote result | No Snapshot vote recovered. |
| Source | [Source](https://github.com/yearn/YIPS/blob/master/YIPS/yip-31.md) |

## Simple Summary

Divide any further YFI inflation, allocating 50% to Liquidity Pools and 50% to the Multisig.

## Abstract

- There are currently no funds being allocated to developing and improving the yearn ecosystem.
- Further inflation of YFI provides an opportunity to fulfill funding needs.

## Motivation

Using YFI from inflation to fund development is a sustainable mechanism to strengthen the yearn ecosystem and align contributors.

**FOR**: Allocate 50% of YFI inflation to Liquidity Pool incentives and 50% to the Multisig.

**AGAINST**: No changes to YFI inflation distribution.

## Specification

### Overview

- Designate 50% of future YFI emissions to LP rewards contract.
- Designate 50% of future YFI emissions to Multisig (or DAO if applicable).
- This will stay in place until stopped or adjusted.

### Rationale

Some YFI should be reserved to secure and improve the yearn ecosystem while properly incentivizing liquidity pools. Starting with a 50% // 50% split to LPs and Multisig, respectively, allows proper funding for both stakeholders, while retaining flexibility to adjust the distribution if necessary.

Reference

- Inflation schedule proposal [YIP-30](https://github.com/yearn/YIPS/blob/master/YIPS/yip-30.md)

## Metadata

| Name                | Value                                      |
| ------------------- | ------------------------------------------ |
| Proposed by         | 0x24394A4758DBdCf6fcbC14dc35af64Ac0D9a450A |
| Total for votes     | 3304.5260 (42.28%)                         |
| Total against votes | 4509.5851 (57.71%)                         |
| Quorum              | 73.42% ✔                                   |
| Start block         | 10560736                                   |
| End block           | 10578016                                   |

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