[Proposal] yHEGIC Vault by ZLOT

Summary:

Add a vault for HEGIC’s Staking Lots.

Abstract:

Create a yHEGIC vault that allows Hegic’s holders to pool their assets in order to benefit from the revenue of the Staking Lots. Revenue of the staking lots will be compounded in the form of HEGIC.

Motivation:

Hegic is the first option protocol to enter the market with well-designed economics, the bidirectional pooling mechanism will most likely be one of the leaders on the Decentralized Options markets.

By staking HEGIC on the Staking Lots, stakers get the settlement fee (1% fee) from the protocol volume (this varies depending on the pool). We want to democratize access to the protocol by giving everyone the possibility to participate in the Staking Lots.

What Yearn can expect from this vault?



*These forecasts were created before v888 launch: https://docs.google.com/spreadsheets/d/1K_2UzWVFdS-LugrrzzErnjMxOwrx_sVQBgHp63k6kw0/edit?usp=sharing

Specification:

We (ZLOT) have already deployed a V1 of the HegicPool on Mainnet in preparation for the release of Hegic’s v888:

We haven’t connected LotManager to HegicPool as we preferred to test everything first, while testing the LotManager we realized there were a lot of things we could improve from HegicPool, so we decided to develop a V2 of it before actually launching:

  • Separating zHEGIC ERC20 from HegicPool in order to allow pool migration.
  • HegicPool will be the only one able to mint and burn in zHEGIC ERC20.
  • Adding migration function (transfering zHEGIC ownership to new pool + sending HEGIC balance)
  • Improving buyLot and withdraw by doing an unwinding of pools instead of selling by 1 lot
  • LotManager “desiredWBTC and desiredETH” deprecated in order to be called with “which lot” would we want to buy (previously unable since HegicPoolV1 was already deployed)
  • LotManager ability to migrate too.

For: Create a yHEGIC vault with the above strategy.

Against: No change.

Integrate the above mentioned yHEGIC strategy
  • Create a yHEGIC vault with the above strategy.
  • No change

0 voters

7 Likes

I am all on board for a yHEGIC vault. Hopefully everyone else is as well.

6 Likes