[FAILED] CO-PIP-121: OIS Reward Pool Withdrawal to DAO Treasury

Proposals
1

Abstract

This Constitutional PIP proposes to withdraw the remaining 849,207.755112 PYTH from the Oracle Integrity Staking (OIS) reward pool and return it to the Pyth DAO Treasury.

PROPOSAL: https://v2.realms.today/dao/PYTH/proposal/TF8Mu1UZJrAKjsvs1sLUnKuvoy7YYx236xsYh4S8CCE

Motivation

Following the passage of OP-PIP-103: Pausing OIS Rewards, the OIS reward rate parameter (Y) was set to 0 on April 22, 2026. No new rewards are being distributed.

With the Pythnet infrastructure sunset scheduled for Q3 2026 (OP-PIP-100), OIS as a rewards program has effectively concluded. Approximately 849,208 PYTH remain in the reward pool with no planned use.

These tokens should be returned to the DAO Treasury where they can be allocated toward active initiatives rather than sitting idle in a deprecated program.

Specification

Action: Withdraw all remaining PYTH from the OIS reward pool custody to the Pyth DAO Treasury.

Source:

  • OIS Pool Config: BE8Xq1iHSQYKG8CZorZsrTnxyeHKQLzCWm4dYKdFkVEL
  • Reward Pool Custody: FbSivnCf6iXfXns6osFih2MgX8icmSKx9iba3gyFpiCT

Destination:

  • Pyth DAO Treasury: Gx4MBPb1vqZLJajZmsKLg8fGw9ErhoKsR8LeKcCKFyak

Amount: 849,207.755112 PYTH

Please note that this proposal has no impact on stakers (staking and slashing mechanisms remain functional, with rewards already set to 0).

Technical Implementation

The withdrawal is enabled by the new withdraw Instruction added in governance v2.2.0:

  • PR: #575 adds withdraw instruction for reward_program_authority
  • Commit: 68a9a36

This instruction allows the authorized reward_program_authority to transfer PYTH from the pool reward custody to a specified destination (the DAO Treasury).

Implementation Plan

On-chain proposal addresses:

• Program: pyti8TM4zRVBjmarcgAPmTNNAXYKJv7WVHrkrm6woLN
• Buffer: 3p2Q9ACyHYRPWUh59mZohcVmSDmhyQnL3HijauzcJsWG
• Spill: ACzP6RC98vcBk9oTeAwcH1o5HJvtBzU59b5nqdwc7Cxy

Execution

  1. Execute withdraw instruction on OIS pool •

From: FbSivnCf6iXfXns6osFih2MgX8icmSKx9iba3gyFpiCT (Reward Pool Custody)

To: Gx4MBPb1vqZLJajZmsKLg8fGw9ErhoKsR8LeKcCKFyak (Pyth DAO Treasury)

Amount: 849,207.755112 PYTH

References

2 Likes
2

Similarly, this proposal did not reach quorum due to a technical issue preventing a major staker from voting via Fireblocks/Realms integration and not due to lack of community support (99% YES votes).

Given the positive sentiment during the voting period, I’ll be resubmitting this as CO-PIP-121.v2 with identical terms.

[ONGOING] CO-PIP-121.V2: OIS Reward Pool Withdrawal to DAO Treasury