Background
OlympusDAO will soon launch a Boosted Liquidity Engine with the wstETH/OHM pool. OlympusDAO wants to have the optionality to add additional reward tokens on Aura to the gauge, which requires a governance vote in order to set up the contract.
The Boosted Liquidity Engine (BLE) leverages Olympus’ competitive advantages (monetary policy flexibility and treasury strength) to mint OHM into liquidity pools with select high quality assets. LPs bring an asset (e.g., stablecoin, LSD) into newly developed vaults and the Olympus treasury mints OHM in equal value (for 50/50 pools) to match and create a complete LP position.
The wstETH/OHM vault is the first deployment of a BLE. As third parties add wstETH into the vault, the protocol will mint OHM to match this and deploy it into the liquidity pool and stake it to receive incentives.
All the reward tokens earned through this vault will be directed to wstETH depositors. The protocol itself will not receive these tokens, with the exception of trading fees which are accrued inside the LP token itself.
For more information please see: OIP-132: wstETH/OHM Boosted Liquidity Engine.
Terms
This proposal aims to deepen the partnership with Aura and to demonstrate the capability of BLE for protocols. OlympusDAO has become a major stakeholder of vlAURA and considers Balancer as its primary liquidity hub. BLE is a next step toward fulfilling the potential of the relationship between OlympusDAO, Aura, and Balancer.
OlympusDAO wants to have the optionality to add additional reward tokens on Aura to the gauge, which requires a governance vote in order to set up the contract.
Specification
DAO multisig will call setExtraReward on this “stash” for the OHM/wstETH pool using the tx builder data below. A new “VirtualRewardPool” would be created, and would allow a reward token to be sent to this stash, queuing it on the new virtual reward pool. Any reward token sent there would be queued over the following week. Here is the simulation of the transaction Tenderly Dashboard
{
"version": "1.0",
"chainId": "1",
"createdAt": 1680530275128,
"meta": {
"name": "Transactions Batch",
"description": "",
"txBuilderVersion": "1.13.3",
"createdFromSafeAddress": "0x5feA4413E3Cc5Cf3A29a49dB41ac0c24850417a0",
"createdFromOwnerAddress": "",
"checksum": "0x1eef9cdee0b4ae7aa85d8386a00ca20ec84fe739acded019a5351543520e8aa9"
},
"transactions": [
{
"to": "0xCe96e48A2893C599fe2601Cc1918882e1D001EaD",
"value": "0",
"data": null,
"contractMethod": {
"inputs": [
{
"internalType": "uint256",
"name": "_pid",
"type": "uint256"
},
{
"internalType": "address",
"name": "_token",
"type": "address"
}
],
"name": "setStashExtraReward",
"payable": false
},
"contractInputsValues": {
"_pid": "73",
"_token": "0x5A98FcBEA516Cf06857215779Fd812CA3beF1B32"
}
}
]
}
Voting
This forum post will be live for approximately three days before the Snapshot proposal goes live. We appreciate and encourage an open discussion on this subject.
This vote will be a single-choice vote. You may vote “For” or “Against” this proposal, or choose to abstain from the vote.
By voting “For” this proposal, you are voting in favor of creating the optionality to add additional rewards to the OHM/wstETH gauge.