I believe that the farm incentives are a big part of the Kolibri peg right now. I think it would be in the best interests of the protocol to gradually lower the kDAO emission instead of ending it all at once.
My rationale is this will mitigate some shock to liquidity when people unwind their farming positions. Changing it earlier will provide ample time for anyone affected by the changes to plan accordingly, along with sending a signal that the protocol is actively working on peg.
- Change rewards to taper off
- Do not change rewards