Creating a new Pie

This is intended to be a step-by-step guide for creating a new Pie proposal. We will cover what to review before your initial draft post, when to bring things to a vote, and what to be prepared for if the community approves the creation of your Pie.


Drafting a Proposal

Your idea should start as a draft for a proposal in the “ideas for pies” section of the forum. You can start with all or just a subset of the below sections. Be sure to check out the $INFRA and $SCALE proposals for an example. Once your draft is flushed out you may wish to post occasional reminders to the #governance channel of discord to remind folks to review the proposal. It is a good idea to encourage discussion of your proposal to gather as much input from the community as possible.

Rationale - Explain the motivation or reasoning behind your PIE. What sector, area, or theme does it track and why do you believe that is an important area to capture? Expand as much as you’d like to justify the idea.

Index Composition - Finding assets to include in your Pie and verify that they are reasonably liquid will be the bulk of the work. Your composition should follow your above rationale and general idea. Ensure that all included assets have a reasonable liquidity (i.e. more than a million USD on Uniswap or Sushi) and make a note of any that have an issue or are at risk. You may also wish to call out yield generating strategies that can be used here. All projects included should be from sufficiently mature projects, typically 3 months or more in age (preferably longer, but this is crypto and a lot of projects are new) and having passed some kind of audit.

Allocation / Modeling - Allocations are typically market cap based or even allocation with or without a percentage cap (i.e. an asset can make up only 30% of a Pie). Allocations can be modeled with Tiramisu which requires minimal technical knowledge. If you find this part intimidating feel free to ask another community member to create the model for you.

Details - Typically just the below

Smart-contract: PieVault (Allows for yield generating strategies to be used)
Rebalance: Quarterly
Cap: Unlimited (Market cap that may need to be imposed due to poor liquidity or other concern)
Strategies: Comments on any proposed ways to earn yield for any of the tokens


Starting a Vote

Once you’ve gotten enough feedback and put together a great looking proposal you can message a core team member on discord to have your forum post moved to the PIP section of the forum and then start a vote. Votes should last for 1 week. Look to past votes for examples, the most important thing is to include a link to the full proposal.


Preparing for Launch

At the time of writing a new method of preparing and launching a pie is being trialed involving a small team lead by the original creator of the pie. This small team of 2 to 4 people are rewarded in DOUGH based on the TVL within the new pie after a fixed period of time. See the forum post “Pie Working Groups” for more info. These working groups would be responsible for advertising, content creation (i.e. graphic design), contests (i.e. meme competitions, NFT giveaways), and possibly establishing partnerships. This section will be updated in the future with additional ideas for a future working group or to better outline its structure.

At a minimum Pies should launch with branding (i.e. a quality token image, banner image, twitter-shareable image and other content to be shared on social media). Communicate/coordinate with the core team to create a blog post regarding the pie and set a firm launch time.


Maintenance & Rebalancing

As often as called out in your proposal you will want to review the composition of the pie and determine if a replacance is warranted. Typically a rebalance is desirable if a significant drift from initial weight has occurred or if a new asset needs to be introduced that fits into the pie. This is ultimately subjective. Introducing a new asset or rebalancing will require a forum post under “Rebalancing Ideas’’ outlining the change, any supporting model, and a comparison to the recent performance of the pie. After a short review by the community the rebalance can be brought to a vote.

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Great to see this documented!

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Realy appreciate this! I’ve been starting and stopping but this helps focus what’s needed.