FBDAO redemption

Firebird Treasury Redemption

1. DAO participants will have the choice between continuing to build up their $FBDAO reserves for future redemptions or surrender it in return for 80% of their proportional share
2. This redemption will occur once per month and last for 3 days (starting on the 15th of every month) - This is to give FBA stakers time to build up $FBDAO reserves as well as Firebird to build upon the treasury
3. Protocol fund is 10% based on FIP 1 so total profits are calculated after 10% deduction
4. As mentioned in FIP4, the formula for calculating $FBDAO redemption value is
80% of liquid treasury * your $FBDAO / circulating $FBDAO
Q. What does ‘redemption’ mean? A. Redeem = Send to the treasury. This FBDAO sent this way will then be managed by the Firebird DAO
Q. Why is the proportional share 80% and not 100%? A. As outlined in FIP4, users will have the choice between either or a combination of surrendering their FBDAO for 80% of their treasury share and staking their $FBDAO for 20% of Firebird’s profits - the reason behind this is to have an additional benefit to continuing to build FBDAO reserves
Q. Is it better to redeem or to wait? A. There is no right answer here - Ultimately if you are bullish on the future of Firebird then continuing to build up $FBDAO reserves could be seen as an equally good strategy