• Proposal
  • OIP46 - Implement [REDACTED] as an Olympus Branch

Summary

We are seeking approval to introduce [REDACTED] as the first official branch of OlympusDAO focused on acquiring CRV, CVX, and other relevant governance tokens to expand Olympus DAOs reach beyond risk-free value and expand into a multi-token ecosystem. You can read more about what we are trying to build here.

Motivation

It is fair to say that the protocol currently faces an uphill struggle. As newer protocols based on similar architecture come to market with their own promises of colossal returns and slightly altered narratives, the focus of Olympus being the core reserve currency of DeFi face an existential threat where forks distract not only liquidity but adoption of the protocol elsewhere.  While it is easy to celebrate the protocol as a success when it is rapidly expanding, true tests will come when growth slows. $BTRFLY (Redacteds rebasing governance token), is not another reserve currency, nor is it fighting for liquidity or market share with Olympus. Where Olympus seeks risk-free value to back its treasury, $BTRFLY works on creating new value flywheels that expand the Olympus ecosystem into more volatile assets while not putting OHM value or narrative at risk.

Benefits to Olympus DAO:

  • 20% of pBTRFLY supply (20 million) with a 10% supply share

    • Olympus receives majority of pBTRFLY supply-share where the team only has 9% supply share.
  • OlympusDAO will further receive a fee on all revenue post-launch, including a 5% fee on $BTRFLY and 5% fee on the revenue generated from external tokens bonded.

  • Expand Olympus community and liquidity reach to new markets such as Convex, Curve, Frax, and Tokemak

  • Increased utility to $OHM and $gOHM token through creating new bonding applications through [REDACTED]. This includes bonding for $gOHM and making the protocols base pair $BTRFLY/$OHM

  • Funneling a diverse community of over 5000 directly into Olympus stakeholders

  • Help build and bootstrap the launch of oUSD and its relevant Curve LPs through BTRFLY bonding

  • Let Olympus focus on risk-free value while [REDACTED] branches into more strategic, volatile assets

  • Help introduce more use-cases to the Olympus ecosystem including UMA KPI options and Visor Uni V3 LPs 

  • Route 20% of bribe capital (for Tokemak, Convex, and FRAX) from external protocols directly into the Olympus treasury. Other 80% goes towards people staking $BTRFLY

  • Work directly with Olympus policy team and Tetranode to utilize governance power accumulated in the protocol to bolster future Olympus ecosystem building efforts

Proposal

  • Gain the support of the Olympus community to launch in good faith

  • Create a communication bridge between our two policy teams to ensure missions are aligned.

  • That's it.

Should OIP-46 Be Implemented?

    i like this proposal, redacted have been working very hard to make this a reality and it benefits olympus more then the risk of reputation loss

    REDA██████CTED 🦋

    for the future of defi

    LFG

    I like the proposal. It is not that Olympus can't do it themselves but it's healthy when projects like $BTRFLY emerge as a subdao supporting the whole idea of strengthening Olympus. Olympus can grow on all fronts when projects like this emerge. Also, I was there in the community call and heard this "We won't proceed unless we get a go-ahead from Olympus and would drop the idea". Shows how much they care about the protocol. Hope giga brains think about the positives and negatives of this and take a decision that benefits Olympus.

    0xSami So much respect for this project, can’t wait to see what the future holds. 🦋 #redacted

    The team’s transparency is something I’d love to get from all projects I get involved with. I believe in OHM and Redacted provides a very unique value add.

    0xSami I like this proposal. Only thing I would remove is:

    - “Let Olympus focus on risk-free value while [REDACTED] branches into more strategic, volatile assets”

    Olympus has to keep growing its treasury and the best way to do that is not to focus on risk-free value but instead focus on accumulating assets that will accrue value in the long term. Olympus has the chance to be the biggest incubator/VC in the space. Let’s not lose that. I understand the main mission here is to be the reserve currency of web 3.

    I think this proposal moves to backing in OHM so, at least initially, 1 BTRFLY is equal to at least 1 OHM (or 1 centiOHM or 1 milliOHM). But it doesn't expressly say that so that might be worth clarifying. If it is that, then I think this is a very interesting initiative that drives demand for OHM, establishes even more OHM liquidity pairs (at no cost to Olympus), and could become a model for future projects wanting to launch. Could see this almost like a "launching-as-a-service" from Olympus that allows Olympus to act as an investment bank of sorts.

    A few details that might be worth clarifying:

    1. The 5% fees - it says they're on revenue generated. Isn't it instead a 5% fee based on what's paid out to the bonder? So if the bonder gets 1 BTRFLY for their bond, Olympus gets 5% of that?
    2. For the pBTRFLY, it wasn't clear how the redemption process works. I'm assuming for both the team and for Olympus, the redeemer brings their pBTRFLY + an equivalent amount of OHM (not gOHM). OHM would make sense if the protocol is backed by OHM but it isn't immediately clear.
    3. On this point ("Let Olympus focus on risk-free value while [REDACTED] branches into more strategic, volatile assets"), I think it might be in both parties' best interests to define this very clearly up front so there's not future animus regarding what each side is bonding.