---
# System prepended metadata

title: 'September 29 - October 6, 2022'
tags: [Weekly Relay]

---

---
tags: Weekly Relay
---

# September 29 - October 6, 2022

![](https://i.imgur.com/p2X3RwS.png)

_Hi, everyone; thanks for checking out the Weekly Relay! Whether you hold MKR or DAI, own a vault, or want to get more involved in governance, this is your one-stop shop for MakerDAO updates._

Authors: @alec, @nothsa, @Sol_Invictus, and @Artem_Gordon

##### <small> [Online PDF version - coming soon]() </small>

---
## :fire: **CURRENT EVENTS** <!-- Alec -->

Navigating the forums right now feels like driving down the middle of a flooded highway. With so much to discuss, and so much being discussed, it's exceptionally easy to get swept away. 

So, let's take a moment to wade through the myriad of impactful proposals, dissect what they offer, and explore the current community sentiment.

#### [**Gemini: GUSD Proposal**](https://forum.makerdao.com/t/gusd-makerdao-partnership-announcement/18140/9)

Following in the wake of Coinbase's proposed MIP81, two similar proposals hit the Forum last week. The first came via @tylerwinklevoss of Gemini, a top CEX and the issuer of the GUSD stablecoin. 

Per the announcement, Gemini has been a long-standing supporter of the Maker Protocol. *For reference:* 

* Custody: MKR has been supported on Gemini since August 2020 and Dai since April 2020.
* Trading: MKR trading was supported in September 2020 and Dai in May 2020.
* Earn: MKR is supported in the Gemini Earn product with 1.26% APY, and Dai with one of the highest rates at 5.31% APY to our users.
* Nifty Gateway: Nifty Gateway users can use their Gemini exchange account balances to purchase on NG. This means a Gemini exchange user who has Dai in their wallet can use it to pay on Nifty Gateway, where a conversion from ETH or USD takes place.
* Credit Card: Customers can select Dai and MKR as their rewards to earn instant crypto rewards on the Gemini Credit Card.

<small>**Summary of the proposal**</small>

Per Gemini, a three-month program began on October 1, 2022, wherein Gemini contributes a fixed rate of 1.25% to the DAO on any GUSD present in the PSM. 

These rewards are to be paid out monthly **provided a minimum average balance of 100M GUSD is maintained.** Further, a legal entity would need to be set up and processed through KYC to claim these accrued rewards. 

As this was announced as a marketing incentive, GUSD held in the PSM *will not* be moved from the PSM or into Gemini custody. 

> "We recognize the importance of the PSM in securing Dai redemptions, and we believe keeping it on-chain is the best way to fulfill that task."

The Gemini team also provided the following Dune query to aid in tracking the DAO's GUSD holdings. 

<div data-theme-duneanalytics>
<iframe data-theme-duneanalytics width="100%" height="300"
src="https://dune.com/embeds/1262833/2209941/0c8c6a47-b4b8-40c7-b767-1354e86cf2e3"
frameborder="0"></iframe>

*A link to the full announcement can be found [**here**](https://forum.makerdao.com/t/gusd-makerdao-partnership-announcement/18140/7), or via the above link.*
    
#### [**MIP87: OUSD Decentralized Rewards**](https://forum.makerdao.com/t/mip87-ousd-decentralized-rewards/18216)
    
The second was posted by @pete, representing the [Origin Protocol](https://defillama.com/protocol/origin-dollar), the issuer of the OUSD stablecoin. 

OUSD is a "yield-generating stablecoin that rebases positively and daily to distribute yield directly to user wallets." 

Per the proposal, OUSD is backed 1:1 by DAI, USDC, and USDT. It generates its yield via lending to protocols such as Aave, Compound, Curve, and Convex. All accrued interest is then converted into OUSD and proportionally distributed.

<small>**Summary of MIP87**</small>

* The MIP suggests a 1% allocation that can be increased at any time as confidence grows. 
* Maker would convert *up to* 33% of its USDC holdings to OUSD.

> "Maker will store the OUSD in a rebase-capable wallet, such as MetaMask, Ledger, Coinbase Wallet, MEW, etc. If using a multi-sig wallet, Maker will “opt-in” to participate in the rebasing by calling OUSD’s rebaseOptIn() function. This can easily be enabled via the OUSD application in Gnosis Safe."

<small>**"The Elephant in the Room"**</small>

> "In November 2020, OUSD was exploited for $7M in funds. The DApp at the time included a clear disclaimer warning that the product was in BETA and that the contracts had not been audited. Nonetheless, the Origin treasury opted to cover the losses for these early OUSD holders... OUSD has not suffered another security failure since relaunching in January 2021."

<small>**OUSD's view on the Coinbase, Coinshares, and Gemini proposals**</small>

> "Origin is aware of the proposals from Coinbase (MIP81), CoinShares (MIP86), and Gemini (Proposal: GUSD PSM). While these proposals are legitimate, we believe that it is in the best interest of Maker DAO and the Maker DAO community to remain as decentralized as possible with business partners moving forward and with the MIP13c3-SP12 investment, as neither Coinbase, CoinShares, nor Gemini align with Maker’s decentralized principles."

*The full proposal is linked above or can be viewed [**here**](https://forum.makerdao.com/t/mip87-ousd-decentralized-rewards/18216#mip87c8-our-view-on-mip81-mip86-and-gusd-psm-16).*

#### [**Crimson Creator Cluster**](https://forum.makerdao.com/t/crimson-creator-cluster/18241/2)
    
@hexonaut proposes Maker's inaugural *Cluster*, Crimson Creator. 
    
The team aims to onboard a large user base through an easy-to-use DeFi frontend, offering Maker products and yield farming alongside other unique innovations. 

<small>**Summary of the proposal**</small>

*The perceived problem:* 
    
> "Maker’s superpower has always been the cheap cost of capital due to the success of DAI as the most popular decentralized stablecoin. However, Maker has struggled to gain traction on the supply side.
>
> Our primary lending use case during the last bull run was as a wholesale lender to CEXes who would pocket the interest spread. This demonstrates the strong demand for frictionless, fast, low-fee user experiences. The only ones providing this at the moment are centralized exchanges.
>
> Maker can provide credit to these protocols / CEXes, but their missions may not align with the DAO. Maker is dependant on external counter-parties."

*The proposed solution:*

The team aims to bring new life to Maker products by offering best-in-market rates due to low-cost capital infusions via D3M injections. 

Their initial product would be a fork of an existing best-in-class lending platform, retrofitted to integrate directly with Maker through the D3M. 
    
> "We will focus on large-scale market segments. We are not interested in supporting long tail assets - only ETH, BTC, and staked ETH derivatives."

The platform would utilize two external oracles, Maker and Chainlink, to address the issues in security witnessed throughout DeFi. The proposal notes that the team is investigating the addition of a third oracle provider for future implementation. 

Further, as more scaling solutions become available (such as zkEVMs), the team feels adequately situated to capture this new market.
    
**The general flow would track as follows:**
    
![](https://i.imgur.com/vh0vdAG.png)

*Click [**here**](https://forum.makerdao.com/t/crimson-creator-cluster/18241) or the above link to access the full post.*
    
#### [**Q3 2022 MKR Decentralization, Delegation, and Distribution Update**](https://forum.makerdao.com/t/q3-2022-mkr-decentralization-delegation-and-distribution-update/18247)
    
@lyt of the Strategic Finance CU provides a high-level summary of selected metrics on the decentralization, delegation, and distribution of MKR governance. 
    
<small>**An Overview**</small>
    
![](https://i.imgur.com/Csn2zo3.png)
    
<small>**Full Breakdown Summarized**</small>

Most of these metrics saw a quarterly decrease outside of an increase in total holders. 
    
Further, some expired delegate contracts still hold an MKR balance. This can be viewed as a measure of the total amount of MKR represented by "passive delegators," shown below. 
    
<div data-theme-duneanalytics>
<iframe data-theme-duneanalytics width="100%" height="300"
src="https://dune.com/embeds/1326626/2297778/feb67c86-32f5-41d4-871d-9b58b950222b"
frameborder="0"></iframe>
    
Another notable trend correlates positively with delegation's growth and distribution. While direct participation has been steadily declining, participation via delegation has thrived. 
    
Not just for top delegates but across the board. 
    
<div data-theme-duneanalytics>
<iframe data-theme-duneanalytics width="100%" height="300"
src="https://dune.com/embeds/1326626/2297885/75c9b17c-6438-4d29-8189-54ebf0bbb32e"
frameborder="0"></iframe>
    
The number of MKR holders with at least one token has been steadily increasing since May 2022. 
    
With that rise, we have seen a steady uptrend in the number of top wallets and entities required to compromise 50% of the available MKR holdings. This represents an *increase* in the MKR token's overall decentralization.

**Per the report, this form of attack would take 23 of the top MKR wallets, suitable for a 17% YoY increase in protocol security.** 

The post concluded with a look into MKR's Gini coefficient, commonly used to measure income distribution. Its scale ranges from complete *equality* at 0 to complete *inequality* at 100.
    
Maker previously used this metric to measure the concentration risk of accepted assets. High risk occurs when most of the debt comes from a few large vaults. 
    
This view, instead, utilizes the metric to assess MKR ownership. 
    
<div data-theme-duneanalytics>
<iframe data-theme-duneanalytics width="100%" height="300"
src="https://dune.com/embeds/981207/1700380/70aff2cc-c6a7-45b7-bd74-7d367f3bcbc2"
frameborder="0"></iframe>
    
MKR currently stands at a 96.69 Gini coefficient, representing a high degree of ownership inequality. That said, this figure stood at 96.74 on July 14th, showing slight signs of regression. 
    
<small>**Summarized Conclusions**</small>
    
* There is a long-term governance trend of direct participation shifting to participation via delegation.
* There is a fair amount of MKR in expired delegated contracts for the first time.
* The number of participants of 1MKR+ represented in governance contract has been steadily increasing but trended slightly downward QoQ.
* We have seen slight increases in MKR decentralization since last quarter.
    
*The full post can be found [**here**](https://forum.makerdao.com/t/q3-2022-mkr-decentralization-delegation-and-distribution-update/18247) or via the above link. To view the attached Dune Analytics Dash, [**click here**](https://dune.com/stratfi/mkr-token-decentralization-and-distribution-metrics).*

---
## 🏛 This Week in Governance 

### **[Weekly MIPs Update #107](https://forum.makerdao.com/t/weekly-mips-update-107/18199)**

*Ratification polls, proposals, and pre-MIP discussions.*

---
### Executive Vote(s)

#### :new: **Hot off the press!** 


> [**Monetalis Clydesdale (RWA007-A) Onboarding, Funding Ambassador Program SPF, Core Unit MKR Streams and Transfers**](https://vote.makerdao.com/executive/template-executive-vote-monetalis-clydesdale-rwa007-a-onboarding-funding-ambassador-program-spf-core-unit-mkr-streams-and-transfers-october-5-2022#proposal-detail) – _Posted on October 4<sup>th</sup>, 2022. Expires at November 4<sup>th</sup>, 2022, 15:28 UTC._

<details><summary><i><small> If this Executive Proposal passes, the following changes will occur within the Maker Protocol:</small></i></summary>

<br>

-   Monetalis Clydesdale (MIP65) will be onboarded as a new vault type, RWA007-A.
-   **81,000 DAI** will be distributed to the Ambassador Program [Special Purpose Fund](https://mips.makerdao.com/mips/details/MIP55).
-   Streams totaling **787.70 MKR** will be set up for the [GovAlpha (GOV-001)](https://mips.makerdao.com/mips/details/MIP39c2SP3) and [StarkNet Engineering (SNE-001)](https://mips.makerdao.com/mips/details/MIP39c2SP19) Core Units.
-   A total of **497.64 MKR** will be transferred to the [StarkNet Engineering (SNE-001)](https://mips.makerdao.com/mips/details/MIP39c2SP19) and [Sustainable Ecosystem Scaling (SES-001)](https://mips.makerdao.com/mips/details/MIP39c2SP10) Core Units.
    
</details>

#### **Passed Last Week:**

> [**Update the PROXY_ACTIONS_END_CROPPER Address, Starknet Bridge Deposit Limit Increase, Core Unit MKR Vesting**](https://vote.makerdao.com/executive/template-executive-vote-update-the-proxy-actions-end-cropper-address-starknet-bridge-deposit-limit-increase-core-unit-mkr-vesting-september-28-2022) – _Passed on September 29<sup>th</sup>, 2022, 12:59 UTC. Executed on October 1<sup>st</sup>, 2022, 13:00 UTC._

<details><summary><i><small>This Executive Proposal passed, and the following changes occurred within the Maker Protocol:</small></i></summary>

<br>

- *PROXY_ACTIONS_END_CROPPER* Address Update
    - As per this [post](https://forum.makerdao.com/t/28th-september-executive-updating-the-proxy-actions-end-cropper-address/18057) from the Protocol Engineering Core Unit Facilitator @Derek, the address for PROXY_ACTIONS_END_CROPPER was updated.
- As per this [governance poll](https://vote.makerdao.com/polling/QmbWkTvW#poll-detail), the deposit limit for the Starknet bridge was raised from 50 DAI to **1,000 DAI**.
- *Core Unit MKR Vesting*
    - A total of **1161.49 MKR** were transferred to three Core Units:
        - **20 MKR** to the [Real World Finance Core Unit (RWF-001)](https://mips.makerdao.com/mips/details/MIP39c2SP1).
        - **966.49 MKR** to the [Collateral Engineering Services Core Unit (CES-001)](https://mips.makerdao.com/mips/details/MIP39c2SP20).
        - **175 MKR** to the [Risk Core Unit](https://mips.makerdao.com/mips/details/MIP39c2SP2).
    
</details>

---
### Active Poll(s)

| Poll Name | Discussion |Start Date | End Date | 
|:---------:|:----------:|:---------:|:--------:|
| [Open Market Committee Proposal](https://vote.makerdao.com/polling/QmbLyNUd) | [Discussion](https://forum.makerdao.com/t/parameter-changes-proposal-ppg-omc-001-29-september-2022/18143) | October 3<sup>rd</sup>, 16:00 UTC | October 6<sup>th</sup>, 16:00 UTC |
| [Multisig for Management of Velodrome NFT](https://vote.makerdao.com/polling/QmSqUMMR) | [Discussion](https://forum.makerdao.com/t/signal-request-create-a-multisig-to-manage-the-velo-venft/17777) | October 3<sup>rd</sup>, 16:00 UTC | October 6<sup>th</sup>, 16:00 UTC |

#### **Community Greenlight Poll(s)**

| Poll Name | Vote Breakdown | Start Date | End Date |
| :-------------: | :------------: | :--------: | :------: |
| [ANCHORAGE](https://vote.makerdao.com/polling/QmWUL19K)|![](https://i.imgur.com/De0HZ67.png)| October 3<sup>rd</sup>, 16:00 UTC | October 17<sup>th</sup>, 16:00 UTC|

---
### Finished Poll(s)

#### :heavy_check_mark: **Passed** 
    
#### **Parameter Updates:**

| Poll Name | Vote Breakdown | End Date |
| :-------------: | :------------: | :------: |
|[Update rETH Onboarding Parameters](https://vote.makerdao.com/polling/QmS7dBuQ)|![](https://i.imgur.com/ypIY8lS.png)|September 29<sup>th</sup>, 16:00 UTC |
|[Collateral Auction Parameter Updates](https://vote.makerdao.com/polling/QmREbu1j)|![](https://i.imgur.com/XDskS4c.png)|September 29<sup>th</sup>, 16:00 UTC |
    
#### **Community Greenlight Poll(s):** 

| Poll Name | Vote Breakdown | End Date |
| :-------------: | :------------: | :------: |
|[Canadian Federally Regulated Mortgage Originator](https://vote.makerdao.com/polling/QmYRjEA9)|![](https://i.imgur.com/67p6IXA.png)|October 3<sup>rd</sup>, 16:00 UTC |
 
<small>_Happy Voting!_ :ballot_box_with_ballot: </small>    
    
---  

## :phone: **Meetings and Events** <!-- Alec -->

**Last Week's Call Recordings:**

- Delegate Office Hours | [Forum](https://forum.makerdao.com/t/delegate-office-hours-13/18111) | [Recording](https://www.youtube.com/watch?v=Pt1G5Ho_GnU)
- Governance & Risk #210 | [Forum](https://forum.makerdao.com/t/governance-and-risk-210-thursday-september-29-at-17-00-utc/18115) | [Recording](https://www.youtube.com/watch?v=BWCkZCL20S4)
- DVC/Endgame | [Forum](https://forum.makerdao.com/t/endgame-call-wednesdays-9pm-cest-link/18123) | [Recording](https://www.youtube.com/watch?v=4XeKLEQTsJI)

**Upcoming Calls:**

- Endgame RFC DVCs | [Forum](https://forum.makerdao.com/t/endgame-rfc-dvc-calls/17773) | [Join Link](https://us02web.zoom.us/j/87005527061?pwd=bHN0M2ExY1hQU0xFcENsREhEUFJPUT09) @ [15:00 utc]
- Meet Your Delegate 21 - ConsenSys | October 12 , 18:00 UTC
- DVC/Endgame | [Join Link](https://us02web.zoom.us/j/89326394914) @ October 12, 1900 utc

---
### Core Unit Office Hours <!-- UPDATE EVERY MONTH -->

- [Join Link](https://us02web.zoom.us/j/82603350722?pwd=RThleVo5QlBRT1FuOWxiRCs3K0k2Zz09) | GovAlpha Governance Q&As - Mondays at 17:00 UTC
- [Join Link](meet.google.com/frj-vpji-huc) | Immunefi Security - Every Other Monday at 23:00 UTC | Alternative [Join Link](https://makerdao.bigbluemeeting.com/adm-eox-jtz-tsi) - Every Other Wednesday at 15:00 UTC
- [Join Link](https://us02web.zoom.us/j/85252786103?pwd=bEZaZXdEcGlSWWd5bmpxMDBvVjdEUT09) | Sustainable Ecosystem Scaling - Tuesdays at 13:30 UTC
- [Join Link](https://www.google.com/url?q=https://meet.google.com/bjm-qiup-hif&sa=D&source=calendar&ust=1620493080631000&usg=AOvVaw056SKuyQn3F67FAtJTPIbl) | Protocol Engineering - Tuesdays at 15:00 UTC
- [Join Link](https://meet.google.com/vmp-jiwx-nkn) | Strategic Finance (bIBTA SPF) | Tuesday, August 30th at 17:00 UTC
- [Join Link](https://us02web.zoom.us/j/81560369659) | 6S Capital - Every Other Wednesday at 14:00 UTC
- [Join Link](https://meet.google.com/sap-nttu-xga) | Growth - First Wednesday of Each Month at 17:00 UTC
- [Join Link](https://meet.google.com/kwf-qayf-xdq) | Real World Finance - Every Other Wednesday at 18:00 UTC 
- [Join Link](https://meet.google.com/nio-jrqq-guu) | Governance Communications - Fridays at 18:00 UTC

## ⚓ **Resources**

<details><summary>Open List</summary><br>

> [All Available Dashboards](https://forum.makerdao.com/t/all-available-dashboards/16104)

> [All Available Guides](https://forum.makerdao.com/t/all-available-guides/16159)

> [Calls Calendar](https://forum.makerdao.com/t/the-calls-calendar/16095)

> [Forum](https://forum.makerdao.com) and [Maker Discord](https://discord.gg/YtBXXYuVDB)

> [Governance Dashboard Tracker](https://www.makerdao-governance-dashboard.com/tracker) | [Google Sheet Version](https://docs.google.com/spreadsheets/d/1LWNlv6hr8oXebk8rvXZBPRVDjN-3OrzI0IgLwBVk0vM/edit#gid=0)
    > > [Forum discussions - Governance Dashboard](https://www.makerdao-governance-dashboard.com/tracker/forum-discussions)

> [Know Your MIP Index](https://forum.makerdao.com/t/know-your-mip-index/6768)

> [Learning Portal](https://community-development.makerdao.com/en/learn/) and [Technical Documentation](https://docs.makerdao.com/)

> [MakerDAO’s Discord Servers](https://forum.makerdao.com/t/makerdaos-discord-servers/16110)

> [MakerBurn](https://makerburn.com/#/rundown)

> [Office Hours List](https://forum.makerdao.com/t/office-hours-list/16162)

> [Participation Tools](https://community-development.makerdao.com/en/learn/governance/participate)

> [Votes and Important Dates Calendar](https://forum.makerdao.com/t/the-votes-and-important-dates-calendar/16096)

</details></br>

### Disclaimer

*Disclaimer: This update is assembled by a group of members in the MakerDAO community. This does not serve as financial advice or an inducement to vote in any specific way. This update is for information and communication purposes only.*