Summary: Whitelist BAL & Aura tokens as strategic assets to be acquired by OlympusDAO to gain influence over the Balancer ecosystem.
Motivation: As outlined by OIP-103, Olympus aims to use Balancer as its main liquidity hub in the near future. Acquiring governance power in that ecosystem would allow OlympusDAO to:
Participate in & Influence key Balancer governance decisions
Incentivize external protocols to pair with OHM
Generate additional returns on POL
With Mint & Sync ready to be turned on and Olympus Flex about to launch, OlympusDAO is actively looking for ways to offer the most attractive package to protocols looking to establish liquidity for their token and Policy believes that the ability to control and direct $BAL emissions is another great tool to have in the toolbox.
After multiple months of discussing and collaborating with the Balancer team, OlympusDAO is confident that the Balancer DEX will keep innovating on the DEX front and continue shipping new features that will appeal to many protocols in the space.
Today, 145,000 $BAL tokens are emitted weekly, of which, 90% are allocated to the various liquidity pools within Balancer. This represents $47M worth of incentives to be distributed to liquidity providers annually and which are currently being governed by veBAL/Aura holders.
Governance power in the balancer ecosystem can be acquired through multiple different tokens, however Policy proposes to only focus on $BAL and $AURA as means of governance acquisition. Given that Treasury wants to maximize veBAL controlled/ $ spent, it should be agnostic and acquire the most efficient token.