# Amendment proposal 014
## Proposal #14 • YIP-014

### Dear youves community,
There are still some aspects of previous amendments on the youves platform in the works, and we will work hard to get these live as soon as it is practically feasible. Meanwhile, we would like to propose a new amendment that we believe will increase the usage of the youves platform.

The current youves engines all have a minting fee of up to 1.56%, which result in a certain wanted benefit for the protocol. However, short-term loans are disincentivized by this setting. In order to also incentivize short-term engagement, we propose the creation of engines with 0% minting fee, but also no YOU token rewards.

## Overview
This amendment proposal is about the creation of new engines with 0% minting fees and no YOU token rewards. We would start with uUSD with tez as collateral and if well received by the users, we have the option to extend that to other synthetic assets or collaterals.

## Voting mechanism
Changes to youves are governed by a four out of seven multisig setup, as stated on youves’ landing page. The voting mechanism is similar to the one used in the last amendment proposal. Note that users can vote with the weight of YOUs in the staking pool only. This allows for an on-chain evaluation of the vote.

YIP-014 consists of one feature. YOU holders can be ‘in favor’ or ‘against’ the proposal, or they can abstain from voting. In case of an ‘against’ decision, none of the proposed feature changes will be implemented.

Voting for YIP-014 is open until Monday, February 27, 2023, 13:00 GMT+1 (12:00 PM UTC).

## Implementation schedule
If the vote is decided ‘in favor’, then the target implementation on the mainnet will be executed in the coming weeks, subject to integration work and testing. In case of a delay, this would be announced and explained on Discord and Twitter.

## A – A new uUSD engine with XTZ (tez) collateral, 0% minting fee, no YOU rewards
A new uUSD engine with XTZ (tez) as collateral will be deployed, identical to the currently deployed V3 engine (KT1DHndgk8ah1MLfciDnCV2zPJrVbnnAH9fd) but parametrized with a minting fee of 0% and no YOU rewards for minting on this engine.

<table class="table">
<thead>
<th>#</th>
<th>Asset</th>
<th>Collateral</th>
<th>Target Collateral Ratio (frontend)</th>
<th>Emergency Collateral Ratio</th>
<th>Step-in Bonus</th>
<th>Holder Conversion Barrier</th>
</thead>
<tbody>
<tr>
<td>1</td>
<td>uUSD</td>
<td>XTZ</td>
<td>200%</td>
<td>160%</td>
<td>12.5%</td>
<td>200%</td>
</tr>
</tbody>
</table>

If this engine leads to substanial usage, we have the option to deploy engines with the same setup for other existing synthetic assets and collaterals.

## More Information

* [Youves Discord](https://discord.gg/2TGyP8UEJF)
* IPFS link to proposal