TAP-14: Pilot Deposit Into Aura Finance

balotelli45

Summary

Seek authority from the community to conduct a maximum pilot deposit of $3M into Aura.

Motivation

As outlined by OIPs 103 & 110, OlympusDAO aims to establish its main liquidity pool on Balancer as well as gaining governance influence over its ecosystem. Aura Finance provides the opportunity for Olympus to gain additional governance power by staking assets onto its platform.

Risks:

Aura Finance has only been live for a few months and currently counts a TVL of $320M. While the protocol gains maturity and gets battle-tested, Treasury recommends depositing a maximum of $3M worth of assets to account for unknown risks.

Proposal

Deposit up to a maximum of $3M worth of LP tokens into Aura Finance
Any further deposit increase would need to go through another community approval

json

balotelli45 Absolutely, lets go.

dr00

I appreciate the conservative approach. Better to be safe than sorry!

Looking forward to expanding into this ecosystem, hopefully it can remain free from exploits and we can scale up slowly over time.

Relwyn

Get 'er done.

TheCommenter

Generally a good Idea, but what happens this time if aura gets hacked, can we get an assurance to be compensated, in the light of the Fei/Rari exploit, and what is happening there it would only be fair to get some guarantee from Aura !

dr00

TheCommenter I wonder if it would be a good idea for Olympus to have a budget specifically for auditing 3rd party protocols that will hold our assets (over a certain threshold maybe)?

We then pick a preferred auditor and if the protocol has not already been audited by them, we have the audit completed as part of our due diligence process.

Maybe we should explore this!

Don_G_Lover

dr00 I am onboard if you spearhead an OIP for Cross-Auditing of Protocols budget.

I think our internal budget targets $250k for our contracts - something similar for critical partners would be great.

0xLamentations

Onboard!

Aura has an extensive history of audits. Successful audits from Peckshield, Code4rena, and Halborn. Also has a large bug bounty with ImmuneFi.

Emiliano Bonassi (prominent security researcher, Yearn, etc.) is also on the multisig and has been providing support.

Both GnosisDAO and Badger have also deposited significant capital already.