Discussion; Curve Pool Optimization

Projects Fixed Forex
3

Suggestion; Consolidate EUR pools into a single pool

For pools where ibEUR is paired with other assets (agEUR & sEUR) look to consolidate this into a single pool. Note; there are currently two separate pools for ibEUR

Benefits;
Would benefit the protocol & end-users of ibEUR in the following ways;

  • For the protocol it would simplify allocation of votes to gauges securing CRV emissions/incentives on pool
  • The ANGLE team is already providing incentives to the agEUR+ibEUR pair in the form of ANGLE rewards but also has the potential to reallocate some of their own gauge votes to this pool (currently controlled by the ANGLE Multisig and voting for the 3EURpool), this would benefit the ANGLE team as they wouldn’t be the sole participant generating incentives
  • The ANGLE team also have established partnerships for ramping into & out-of agEUR, which would allow access to the same functionality for LPers in this pool (note this is available to users of the agEUR+ibEUR pool today, but not the ibEUR+sEUR pool).
  • Would allow the ANGLE team & users ease of access to swap through Synthetix atomic exchanges to other assets
  • Would greatly simplify pool selection/options for holders of ibEUR
  • Would reduce pressure on protocol to maintain peg on multiple ibEUR pools, consolidating focus

As per the suggestion for USD pools this could provide some relief to Keep3r as it would no longer be the sole party incentivizing TVL to these pools (& with deeper TVL it may also create a pathway or self-interest for the Synthetix team to incentivize this pool)

References;

  • See current ibEUR & agEUR curve pools

Additional Considerations;

  • Should be launched alongside peg maintenance strategies, to ensure a balanced pool at launch and the promise of peg being stable post-launch
  • May present future opportunities to collaborate with the ANGLE team, including in the spaces of;
    • Complimentary AMO stratgies
    • Asset listing to lending/borrowing markets
    • Automation of tasks
    • Ramping partners
  • Should also be timed to ensure that any proposed change to the allocation of rKP3R rewards to gauges is harmonious with this change in order to secure maximum potential of TVL growth of the pool
  • Should be paired with a plan to ensure deeper availability and ease of access on Ethereum network of sEUR either through;
    • Working together to list sEUR on Euler, Aave or Compound (or perhaps all three)
    • Working in partnership with Iron Bank to stimulate incentives for sEUR supply & borrow in ETH market
    • Supplementing with an AMO strategy that ensures ongoing supply of sEUR to the newly proposed pool

Implementation;
Would likely require new proposals to be made in alignment with the ANGLE team on both the ANGLE forum & through Curve governance.

ANGLE team is not likely to support until reassurances around the areas outlined in “Additional Considerations” are addressed

The Keep3r protocol could utilize its substantial vlCVX holding to vote positively for the switch to a new EURO based 3 pool consisting of agEUR, ibEUR & sEUR

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