Sentinel Proposal 10: Final Results and Review

[Originally published on Telegram on August 16th, 2022]
August 16th, 2022 — The Proposal 10 voting period has ended. The measure has failed to pass.

The final results of the Proposal 10 vote are as follows:
YES [43.86%]
NO [48.02%] ✅
VETO [1.22%]
ABSTAIN [6.9%]
Turnout was a robust 71%. This poll also saw the highest level of validator participation in the history of the Sentinel chain.

Proposal 10 was intended to expedite the Sentinel token inflation schedule by immediately revising the current value of 37% down to 23%. It was drafted by A4ADAO, with assistance from validator GreyWolf&Co and community members EveryQuit and DB, in response to community concerns about the current inflation model not being good for the long-term health of the network. This came after several months of drastically negative price action that has devastated many token holders.

The new inflation model that would have been instated had Proposal 10 passed can be viewed here.

At the start of the voting period for the proposal, delegators and validators alike voted overwhelmingly (90%+) for the measure. Prospects for passage dimmed, however, following an announcements by SolarLabs that they would be voting against the proposal due to what they perceived as a lack of community, validator, and whitelabel input into the process of drafting it before it was submitted for voting. This was followed by a release from the Sentinel Foundation penned by ProjectAutonomy praising the motives of the proposal’s creators and accepting the need for tokenomics upgrade, but concurring with SolarLabs’ view of the situation.

It should be noted that the Foundation response did not condemn the content of the proposal, but rather encouraged the drafters and supporters of it to undergo the process again with more discussion and input from network builders and other community members. It should also be noted, however, that discussion of an inflation reduction proposal had been ongoing in community channels for several weeks, contrary to Foundation and whitelabel claims.

Following the response from SolarLabs and the Sentinel Foundation, new votes began to skew against passing the proposal. Many validators and delegators who had already voted in favour changed their votes to “No” or “Abstain”. After several days of this, the no votes had a majority which persevered for the remainder of the voting period. Apart from one lone validator (who is not affiliated with the Foundation or SolarLabs) and a handful of small delegator wallets, no vetoes were used.

In reaction to the controversy surrounding Proposal 10’s introduction, a new proposal establishing procedures for submitting proposals was submitted by validator BadgerBite and the BlueFren DAO. This proposal (Proposal 12) is still in the voting period until the 20th of August, but is poised to pass almost unanimously.

Read these [1] [2] Medium articles to learn more about the current tokenomics of Sentinel.