SDIR-26: Activate SDT incentives on COIL-FRAXBP staking pool

Project presentation:

Protocol name: SPIRAL DAO
Gitbook: Deployed Contracts - Spiral DAO
Discord: Spiral DAO


Deployment request for COIL-FRAXBP gauge to active SDT incentives…

Context :

Spiral DAO is a Decentralized Autonomous Organization (DAO) dedicated to acquiring the most relevant and important DeFi governance tokens within a single community-controlled DAO Treasury. Similarly to yield aggregators (such as Yearn, Beefy, and Harvest), Spiral DAO aggregates liquidity, but instead of continuously selling reward tokens from third-party protocols, Spiral DAO redirects and secures them within the DAO, thus reducing the selling pressure and circulating supply of tokens of the protocols it supports.

During its Initial Token Offering, Spiral DAO acquired :

  • 533,823.15 $SDT
  • 955,853.94 CRV currently held in sdCRV

which are currently held in the Treasury Multisig : 0xc47ec74a753acb09e4679979afc428cde0209639

Rational :

Spiral deposit COIL-FRAX LP and lock CRV on Stake protocols to benefit from the mutualized boosting power, the treasury positions also takes advantage of veSDT boost on Warden Boost lending.

On top of that, Spiral distributes voting incentives through Votemarket to capture more CRV emissions and supercharge the flywheel with Stake DAO.

In order to further increase its exposure to $SDT and alignment with Stake DAO, Spiral DAO requires adding the COIL-FRAX gauge to the veSDT governance framework.

Contracts :

  • COIL-FRAX-f : 0xb85010193FD15aF8390dbD62790Da70F46c1126B
  • COIL-FRAX-f gauge : 0x06B30D5F2341C2FB3F6B48b109685997022Bd272

Human resources: Minimal developer time needed
Treasury resources: No treasury resources needed

Technical Implementation:
Add the COIL-FRAXBP curve strategy to SDT gauge

Proposal specifications:
Admin: veSDT holders
Community feedback: 2 days minimum
Voting Duration: 3 days

  • Yes, activate SDT incentives
  • No, this is not the way

0 voters

Thanks for presenting this well-structured proposal. Implementing the COIL-FRAX gauge into the veSDT governance framework appears to offer several significant advantages for our Spiral DAO ecosystem:

  1. Broadened Exposure: By amplifying our $SDT holdings, we could potentially reinforce our standing in the Stake DAO community, thereby reaping more rewards and opportunities.
  2. Liquidity Maximization: The proposal capitalizes on the DAO’s established strategy of depositing COIL-FRAX LP and confining CRV on Stake protocols, thereby enhancing the utilization of our resources and maximizing liquidity.
  3. Long-term Viability: By retaining and safeguarding the reward tokens within our DAO instead of selling them, we contribute to the long-term viability of the supported protocols by mitigating the selling pressure.
  4. Economical Use of Resources: The proposal’s demand for minimal developer time and no treasury resources makes it an economically sound plan of action.