Protocol name: STAKE DAO
Summary:
We propose to create a “BRIBES” gauge in the lockers gauge controller to increase the liquidity of sdTKN/TKN pools, and therefore the voting and revenue boost of lockers.
Context:
sdTKNs currently have limited liquidity (10% of the supply for sdCRV, 20% for sdFXS, 12% for sdANGLE, 8% for sdBAL). This leads to the fact that big investors struggle investing large amounts in the locker, and more importantly, to a reduction of boost for sdTKN stakers. If we want to accelerate our locking rate, we need sdTKN voting power to be attractive, especially for sdCRV and sdBAL where the bribe market is very active. During the community discussion on the sdTKN liquidity program topic (sdTKN liquidity program), we received many feedbacks, notably the fact that taking a fee on bribes to incentivise liquidity would make sdTKN voting power even less attractive. This is probably a good long term solution, but not designed to bootstrap the liquidity in these early days.
Proposal:
We propose including a new gauge in the lockers gauge controller that will accumulate SDT to fund bribing campaigns on sdTKN pools. The bribes would be managed by the core team. This is a solution that has been used by Frax and Angle for their liquidity and seems to be working efficiently.
To ensure this is efficient, we also propose increasing inflation towards the lockers gauge controller to 1 SDT per block, and inflation towards strategies to 1.5 SDT per block.
Means:
Human resources: Minimal developer time needed
Treasury resources: No treasury resources needed
Technical Implementation:
Create a “BRIBES” gauge in the lockers SDT gauge controller and adjust inflation.
Proposal specifications:
Admin: veSDT holders
Community feedback: 2 days minimum
Voting Duration: 5 days
- Yes, create a “BRIBES” gauge
- No, don’t create a “BRIBES” gauge
- Abstain
0 voters