Summary:
I propose that we deploy a % of DAI and FRAX in the treasury to Curve Pools in order to accumulate CRV, and accumulate trading fees from the locked CRV.
Background:
The purpose of this proposal is to improve treasury capital efficiency, where our stablecoin assets are earning pool fees, CRV, and protocol fees.
Abstract:
The DAI and FRAX in the treasury can be used to deploy to the Curve Pools, which would accrue trading fees from those specific pools (Base APY) then stake the LP tokens so we can earn CRV. The CRV earned can be locked in order for us to increase the APY of the CRV earned, earn trading fees from all Curve pools (in the form of 3crv), as well as have some capacity to engage with the gauge weight voting, primarily voting for the pools where the treasury stablecoin assets are deployed.
I suggest that we deploy DAI and FRAX to the following pools and stake them:
- DAI -> 3pool/FRAX-3pool
- FRAX -> FRAX-3pool
Motivation:
This would allow us to start expanding our treasury with by accumulating volatile assets that accrue value.
For:
Deploy DAI and FRAX to Curve pools.
Against:
Do not deploy DAI and FRAX to Curve pools.