# MGP-19 | Adjust MIMO Token Inflation Distribution on Ethereum & Polygon PoS **URL:** \ **Category:** Approved PGPs\ **Created:** [January 11, 2024, 3:14pm UTC](https://gov.parallel.best/t/mgp-19-adjust-mimo-token-inflation-distribution-on-ethereum-polygon-pos/324 "2024-01-11T15:14:33Z")\ **Posts on this page:** 6\ **Page:** 1
**Author:** ![JeanBrasse](https://dub1.discourse-cdn.com/flex005/user_avatar/gov.parallel.best/jeanbrasse/32/28_2.png) [@JeanBrasse](https://gov.parallel.best/u/JeanBrasse)\ **Post date:** [January 11, 2024, 3:14pm UTC](https://gov.parallel.best/t/mgp-19-adjust-mimo-token-inflation-distribution-on-ethereum-polygon-pos/324/1 "2024-01-11T15:14:33Z")
**Summary:** This proposal seeks to adjust MIMO token inflation distribution. **Rationale:** Following [MGP-14](https://gov.parallel.best/t/mgp-14-adjust-mimo-tokens-incentives-repartition-on-ethereum-polygon-pos/292) & [MGP-16](https://gov.parallel.best/t/mgp-16-restructure-mimo-token-liquidity-incentives-on-ethereum-and-polygon-pos/313), MIMO inflation is now distributed as follow: - Ethereum: (80% of MIMO incentives) - vMIMO holders: 5% - Liquidity Incentives: 95% - Polygon PoS: (20% of MIMO incentives) In the meantime, Mimo Labs, a key contributor to the Parallel Protocol has [accumulated](https://debank.com/profile/0x4a266739e40664e80470cc335120a2a1fa0b3f3f) 550,000 (550k) vlAURA, leading to around 375,000 (375k) USD equivalent (in $BAL & $AURA) inflation redirected to Parallel & KUMA pools. Moreover, the Parallel DAO treasury has currently [accumulated](https://debank.com/profile/0x25fc7ffa8f9da3582a36633d04804f0004706f9b) 23,000 vlAURA (23k), leading to around 15,000 (15k) USD equivalent (in $BAL & $AURA) inflation redirected to Parallel & KUMA pools. This leads to around 390,000 (390k) USD in incentives for Parallel / KUMA pools without any MIMO inflation required from the protocol. We then propose to the Parallel DAO to reduce the MIMO inflation dedicated to liquidity incentives by 100%. Below is the rationale behind the proposition: - Less selling pressure from liquidity providers farmers - Increase protocol net revenues (spending - revenues) - Increase MIMO token treasury holdings We also propose to keep 5% of the total MIMO inflation for vMIMO holders, with 2.5% of total inflation for vMIMO holders on Ethereum, and 2.5% for vMIMO holders on Polygon. It means that total MIMO inflation would be reduced by 95% (inflation itself reduces by 5% each week, currently sitting at around 260k MIMO per week). MIMO not distributed will be send to the DAO treasury on Polygon PoS. Breakdown of adjusted MIMO tokens inflation distribution: (% of total distribution) - Ethereum: 2.5% (of total distribution) - vMIMO holders: 2.5% - DAO Treasury: 0% - Polygon PoS: 97.5% (of total distribution) - vMIMO holders: 2.5% - DAO Treasury: 95% **Means:** - Human Resources: Multisig signers will need to execute transactions to adjust MIMO token inflation distribution on the Ethereum and Polygon PoS multisig. - Treasury Resources: No cost for the treasury to adjust MIMO token inflation distribution on Ethereum and Polygon PoS. **Technical Implementation:** - On Ethereum, Parallel DAO [multisig](https://app.safe.global/home?safe=eth:0x25Fc7ffa8f9da3582a36633d04804F0004706F9b) will call following smart contracts: - MIMODistributor [contract](https://etherscan.io/address/0xEdfAa67889DD8D0A5A9241801B53cca3206c5030#contracts): - Call ‘\_changepayees’ function with these parameters: - ‘\_payees’ : 0x5Bde160d26937DdFcEA9706D778d6411D5f2a681; 0x741550176fCd0B8a235bF2982ba3ecbE9a25Ab17 - ‘\_shares’ : 250; 9750 - EthereumDistributor [contract](https://etherscan.io/address/0x5Bde160d26937DdFcEA9706D778d6411D5f2a681#code): - Call ‘\_changepayees’ function with these parameters: - ‘\_payees’ : 0x654645FCeFCe0AEbEB4a988544B4e42ED2963331 - ‘\_shares’ : 10000 - PolygonDistributor [contract](https://etherscan.io/address/0x741550176fCd0B8a235bF2982ba3ecbE9a25Ab17#code): - Call ‘\_changepayees’ function with these parameters: - ‘\_payees’ : (Parallel DAO l Mimo Inflation Multisig); 0xF8cDE3E56b72fD0D7bE77604F396A366912e332f - ‘\_shares’ : 9744; 256 **Voting options:** - For the adjustment - Against the adjustment - Abstain Authors: @JeanBrasse from Mimo Labs **Community poll:** _Poll ([view on site](https://gov.parallel.best/t/mgp-19-adjust-mimo-token-inflation-distribution-on-ethereum-polygon-pos/324/1))_ ---
**Author:** ![millerlite7](https://avatars.discourse-cdn.com/v4/letter/m/8491ac/32.png) [@millerlite7](https://gov.parallel.best/u/millerlite7)\ **Post date:** [January 12, 2024, 7:33am UTC](https://gov.parallel.best/t/mgp-19-adjust-mimo-token-inflation-distribution-on-ethereum-polygon-pos/324/2 "2024-01-12T07:33:56Z")
When are the pools on Ethereum is live? I do not see wFRKPAR/EURC in balancer? ---
**Author:** ![starny](https://dub1.discourse-cdn.com/flex005/user_avatar/gov.parallel.best/starny/32/32_2.png) [@starny](https://gov.parallel.best/u/starny)\ **Post date:** [January 22, 2024, 8:40am UTC](https://gov.parallel.best/t/mgp-19-adjust-mimo-token-inflation-distribution-on-ethereum-polygon-pos/324/3 "2024-01-22T08:40:50Z")
vote is live: [Snapshot](https://snapshot.org/#/mimo.eth/proposal/0x0b2dc44c82cc5354cd5d2066e7f2f18272c08b7b48c993ad50045bcab23656a2) ---
**Author:** ![starny](https://dub1.discourse-cdn.com/flex005/user_avatar/gov.parallel.best/starny/32/32_2.png) [@starny](https://gov.parallel.best/u/starny)\ **Post date:** [January 24, 2024, 7:33am UTC](https://gov.parallel.best/t/mgp-19-adjust-mimo-token-inflation-distribution-on-ethereum-polygon-pos/324/4 "2024-01-24T07:33:50Z")
The vote has been approved by the DAO, result: [Snapshot](https://snapshot.org/#/mimo.eth/proposal/0x0b2dc44c82cc5354cd5d2066e7f2f18272c08b7b48c993ad50045bcab23656a2) ---
**Author:** ![sat](https://avatars.discourse-cdn.com/v4/letter/s/22d042/32.png) [@sat](https://gov.parallel.best/u/sat)\ **Post date:** [January 25, 2024, 1:09pm UTC](https://gov.parallel.best/t/mgp-19-adjust-mimo-token-inflation-distribution-on-ethereum-polygon-pos/324/5 "2024-01-25T13:09:23Z")
What will the DAO do with the accumulated MIMO tokens that have not been used for bribing ? ---
**Author:** ![JeanBrasse](https://dub1.discourse-cdn.com/flex005/user_avatar/gov.parallel.best/jeanbrasse/32/28_2.png) [@JeanBrasse](https://gov.parallel.best/u/JeanBrasse)\ **Post date:** [January 25, 2024, 2:35pm UTC](https://gov.parallel.best/t/mgp-19-adjust-mimo-token-inflation-distribution-on-ethereum-polygon-pos/324/6 "2024-01-25T14:35:30Z")
Hey, they will stay in the DAO treasury.