Better option than buyback?

Venus is currently doing quarterly buyback. But based on the several buybacks from the previous quarters, we have seen there is not much impact of buyback on the price. There is usually a small pump and dump by the traders who pre-run the buyback and sell after the buyback. This is not helping XVS long term holders.

In the current Q1 2023 buyback, there is a total of $466K allotted to the buyback. Instead of buying back and giving it as XVS interest in the vault, I think Venus protocol can do better?

#Suggestion :** Venus distribute the $466K rewards to the vault users in the form of USD or BTC. It can be also be improved based on the duration of XVS in the vault. Eg: users with XVS holding less than a week would get 50% of daily allocated APR. More than 1 week and less than 1 month , they would get 75% of allotted. Only if they hold for more than a month, they will get 100% of allotted apr.

Benefits of this solution:

  1. It will differentiate Venus platform. It won’t be “Hold XVS to get more XVS”, instead it will be “Hold XVS to get BTC or USD” ( It is actual revenue sharing)
  2. Users who are currently selling regular XVS rewards will be encouraged to hold it on vault as their XVS now gives BTC or USD returns. ( it is actual utility)
  3. Users will be encouraged to hold XVS in the vault for more than 1 month to get 100% of allotted revenue.
  4. No Pump and dump. we don’t want artificial pump from traders
  5. There will be organic buying pressure to buy more XVS.
  6. Instead of protocol doing the buyback, it will encourage users to buy and hold XVS.
  7. Venus can add additional incentives based on the duration of holdings in the vault.

Please reivew and provide your suggestions.