Proposal to move make good payments to weekly

In May, it was proposed that there would be monthly bad debt repayment made back to the DAO. At this current stage, the TWG recommends that this is changed to weekly payments.

The TWG recommends that weekly repayments are done for the following reasons:

• Weekly payments allow more dynamic reaction to current and future events
• Gives the Inverse community more frequent opportunities to withdraw stuck assets - currently repayments are monthly so if a DAO members is offline for this repayment they have to wait a whole month for the next opportunity
• Weekly repayments are thought to raise morale among users with stuck assets - constant and regular attrition of stuck assets is likely to boost morale in comparison to monthly repayments of uncertain quantities
• Allows for V1 assets to be bought DCA style (when liquidations underwater positions) as opposed to large monthly buys at the current price.

Weekly repayments in this context includes: paying down ETH/WBTC/YFI bad debt, paying down DOLA bad debt, funding the 2 currently unreleased debt repayment contracts (more of these later).

When there is a repayment that will lead to capital becoming available to stuck users (so not 100% liquidations or DOLA repayment), it will be pre announced with at least 1 hour notice.

Repayment of DOLA bad debt

On June 16th, Inverse Finance was exploited again that resulted in a loss of ~$5.83M DOLA. The TWG believes that it is vitally important to to reduce the current DOLA bad debt, that currently stands at ~$10M DOLA in order to ensure DOLA is positioned to be a leading stablecoin for the next crypto bullrun. In order to facilitate the additional repayments of bad DOLA debt, the TWG requests an additional 450K DOLA (150K * 3 months) allowance to what was requested in the most recent TWG allowance proposal. The majority of this DOLA will be coming from the our OP bonds, recently restarted by the Policy Committee.

DOLA allowance requested previously:

$1.5m for rebalancing/liquidity

$15.6k for ad hoc compensation

$225k for non-DOLA bad debt repayments

Total: $1.74m

With an additional $450k requested for repaying DOLA bad debt, the new total will be $2.19m

The spend distribution of budget request allocation is a forecast; there may be some deviation to actual allocations when it comes to it.

Forum post: https://forum.inverse.finance/t/move-to-weekly-repayments-of-bad-debt/135

On-chain actions:

Set DOLA allowance to TWG Multisig to $2.19m