Summary
AIP-74-A decided how the OP grant that Alchemix received would be used for boosting the Alchemix vaults on the Optimism network. Some time has passed since then, and circumstances have evolved. Therefore, a different allocation of the OP grant is being proposed for the boost.
Context
The start of the OP boost program was delayed, as the core team had been waiting for Yearn to activate their own OP boost on the Optimism network, which only happened a few weeks ago. Then, the Multichain situation introduced further delays. There have been three important ecosystem changes that prompted this proposal:
- Since the initial proposal, as a result of the Maker DAO decision to eventually freefloat Dai, Alchemix will probably eventually be forced to disable Dai as a collateral asset. Per the initial proposal, yvDai was supposed to receive 25% of the OP allocation.
- During the last 6 to 12 months, it has been evidenced that the Alchemix ETH vaults are more desirable than the stablecoin vaults. This suggests that we should be allocating more of our resources to support this use-case for now.
- Because of how Yearn has allocated their OP boosts, their yvWETH vault, inclusive of the OP boost, currently has a yield close to 5%. This is roughly in line with staked ETH yields. This means that when large amounts of funds start moving into this vault as a result of our own OP boosts, it will compress the APR of the yvWETH vault, pushing it to be below that of stETH. At that point, it makes more sense to allocate the additional boost to stETH itself. The stETH vault on Optimism is currently being deployed.
For the above reasons, it is proposed that we do not allocate any of the boost to the yvDai vault, allocate less to the yvWETH vault and use the remainder for our stETH vault, resulting in allocations of 33% yvUSDC, 33% yvWETH and 33% stETH.
The total OP to be spent for this purpose, as per the grant, is 125k OP tokens, to be distributed over the course of 6 months.
Voting
Voting is single-choice.
- A vote of Approval will set the new OP vault boost allocation to 33% yvUSDC, 33% yvWETH and 33% stETH.
- A vote of Disapproval will have the OP grant be distributed as per the initial vote, which was 25% yvUSDC, 25% yvDai and 50% yvWETH.
- Abstain
