This is a full release for Acala & Karura that upgrades Polkadot SDK to 1.9.0 version, improves EVM compatibility and reduce ACA staking bonding period.
Release Note: https://github.com/AcalaNetwork/Acala/releases/tag/2.25.0
https://acala.subscan.io/referenda/111
https://acala.subsquare.io/democracy/referendum/111
In response to feedback from the Acala community, We are proposing a reduction in the staking unlock period for ACA from the current 28 days to 14 days. This proposal aims to enhance liquidity and flexibility for stakers while maintaining the stability of the staking mechanism. By implementing this change, We seek to increase participation and attractiveness in ACA staking.
Pros:
Increased Flexibility: Reducing the unlock period to 14 days provides stakers with greater liquidity and flexibility.
Enhanced Attractiveness:: A shorter unlock period could make ACA more attractive, potentially increasing participation in staking.
Responsive Staking Dynamics: Shorter periods can lead to a more dynamic staking environment where stakers can react more swiftly to market conditions and network needs.
Cons:
Market Risks: Shorter unlock periods might lead to increased volatility as more tokens become liquid more quickly. This could have an impact on the market.
Reduced Commitment: This could reduce the perceived commitment to the network, as stakers can exit their positions more easily, possibly affecting short-term development.
Considering the comparative analysis and the advantages of increased flexibility and attractiveness, We propose that the Acala community consider reducing the ACA staking unlock period from 28 days to 14 days. This adjustment could improve our competitive edge and align more closely with community expectations and market standards.
If I understand well, this referendum mixes two things :
This is why I voted NAY.