# JBP-203 - Set JBX Discount Rate to 2%
 
# Set JBX Discount Rate to 2%

```plain text
Title: Set JBX Discount Rate to 2%
Author: filipv
Date: 2022-03-10
```

## Thesis:

Set the JBX Discount Rate to 2%.

## Motivation:

Although the 10% discount rate was easily justified when trying to encourage early contributions (upon which Juicebox DAO relied at the time), Juicebox DAO is now self-sufficient. Most contributions to the Juicebox project are not from individuals—they are coming from project fees. At this point, a high discount rate punishes future project creators, disincentivizing the expansion of the ecosystem. A lower discount rate encourages the network effect which is central to Juicebox’s long-term sustainability.

## Risks:

A lower discount rate will reduce the incentive for individuals to contribute to the Juicebox DAO treasury. Nevertheless, the incentive remains—2% is a very high discount rate, especially on a 14-day cycle.

[Similar proposals](https://snapshot.org/#/jbdao.eth/proposal/0x0543c4437cea518e9d61833f26504ba35459e1a6dee406bd436d8141cc27a392) have failed in the past, meaning this proposal could lead to division and contention.

## Timeline:

In FC#18, set the discount rate to 2% indefinitely.

## Copyright Disclaimer:

Copyright and related rights waived via [CC0](https://creativecommons.org/publicdomain/zero/1.0/).