In line with MDP24.1, the mStableDAO wants to gather feedback and decide on the preferred strategy from Meta Governors on the liquidity position they would like the Asset Management subDAO to use for the DAI tokens in question.
The mStableDAO is proposing to begin accruing CRV and CVX rewards from one or more of the following pools on Convex Finance:
other (voting option)
This proposal assumes the successful passing of MDP24.1, and now seeks to decide on how to put the DAI tokens in question to use.
Once a decision on the strategy has been made, it is proposed to have the current Cat Herder liason with the lead signer from the subDAO (@jwpe) on a bi-weekly basis to determine the right schedule on harvesting and compounding rewards, keep a curated transaction history of all events relating to this venture, and inform the wider mStable community and it’s stakeholders on the results on a quarterly basis in form of a Transparency Report designed for this purpose.
In its current form, it is proposed to harvest and compound 100% of all CRV and CVX rewards from the position back into Convex Finance in order to maximize opportunity and exposure to both protocols and rewards, as well as compound all resulting cvxCRV and 3Crv rewards once this becomes economically feasible.
This proposal aims to:
- Find consensus on which farm(s) to utilize on successful passing of MDP24.1
- Outline the strategy the Asset Management subDAO is going to use for this particular farm
- Generate a transparent process that has had the historic input of all Meta Governors prior to deployment of this strategy
- Include the best opportunity in the DeFi space to utilize our DAI token allocation
- A strategy with deployment of DAI on several different liquidity positions is feasible and should be discussed, to an extent of not more than a maximum of 3 pools to remain mindful of gas usage
- To streamline the process, it should be agreed upon to split the positions equally amongst all chosen pools, if a split be chosen for a strategy
- As this marks the first round of hopefully many such proposals, we also encourage feedback on the process itself, and how it is received and how it can be improved upon.
- It is assumed that this strategy will be utilized until either:
- The current opportunity runs dry
- A more lucrative opportunity appears on the Convex Finance platform or elsewhere
- Economic feasibility to maintain this position is no longer given
- A proposal be passed to change the current strategy
This proposal should be seen as a direct follow-up to a successful passing of MDP24.1, and will only be considered should the first part of the MDP close in favour.
We’re very excited to finally kick off with our first round of incentivised liquidity provision venture, and are looking forward to hearing what Meta Governors have to say in the coming days around this idea and utilization of our treasury assets.
The option with the most votes will be executed, even if it doesn’t reach a majority.
Given the complex nature and myriad of viable options for this opportunity, the initial discussion in the forum will be held for two weeks.
Pending no significant objections, this proposal will be taken to a public Snapshot vote on the 13th of September 2021 and will remain open for 5 days to give adequate time for a concurrent discussion here on the forum.