Qena42 Protocol Proposal: A Second Response to Quebec’s Adaptive Issuance Change
What is the Qena proposal?
To answer this question we have to go back in time. Qena was the answer to Quebec A and Quebec B. Its goal was to give the well-researched initial version of Adaptive Issuance more time before making changes which are both not well researched and would lead to unnecessary complexity.
The initial Qena proposal won the proposal round against Quebec A and Quebec B but it was not able to meet the threshold of the Exploration period, falling just a little bit short of the 80% super-majority whilst meeting the quorum requirement.
We have explained why the original Qena was the preferred option:
(2) https://tezcapital.medium.com/q-protocol-voting-in-context-9e3d399a735c
What is the Qena42 proposal?
The newest Qena42 proposal goes head-to-head with the newest Quebec proposal as announced here: https://forum.tezosagora.org/t/announcing-quebec-tezos-17th-protocol-upgrade-proposal/6418
The Qena42 proposal includes the following features:
- Maintains the security is the priority narrative
- Addresses concerns about 50% target being to far by moving it to 42% (stops rise in issuance at 40%)
- Cuts delegation power to 1/3 to further encourage staking
- Keeps all the features of new Quebec (except the new additional curve)
While keeping all the changes from the Quebec proposal, Qena42 sets itself apart by not including the new maximum issuance curve and by moving the target from 50% to 42% which is more realistic.
The Q proposals with the proposed bounding curve are creating reverse pressure. This drops incentive to reach the security target with each added stake even before the target is reached. This directly violates the purpose of Adaptive Issuance and does not conform to a proper research standard necessary for such changes.
Qena42 maintains a healthy balance. Moving the target to 42% further slows the issuance growth, and if it seems appropriate, we can lower the target even further in future proposals.
Qena42 proposal hash: PsQEna427TJJ2dYatjWS12qKihty5huvBDmNHNAgCeTzWCpF673
More information is coming
Due to the nature of the latest release of the Quebec protocol, we did not have ample time to prepare a response. You can expect a more detailed writeup in the coming days, explaining why Qena42 is the answer.
Helpful Links
Read more about Qena and Quebec A/B here: https://tezcapital.medium.com/qena-protocol-proposal-a-response-to-quebecs-adaptive-issuance-change-ac66a315efcc
Qena Source Code > https://github.com/tez-capital/tezos/commit/7b22aea3c98323a47c2867eb9494d2addb5d4d43
Tez Capital Website > https://tez.capital
Tez Capital Discord > https://dsc.gg/tzc
Tez Capital Telegram > https://t.me/tezcapital
Tez Capital Documentation > https://docs.tez.capital (find out more about our tools here)
