** WOO DAO has been developing this proposal for the past several weeks and we’re posting an overview before OIP-60 expires. We believe this proposal addresses many concerns raised by Olympus DAO’s community and is aligned with the long term objectives of its token holders **
TL;DR
WOO DAO is submitting a proposal on behalf of WOO Network and Kronos Research to provide market-making services to Olympus DAO
WOO DAO, through Kronos Research and WOO Network, will provide liquidity for gOHM tokens on Ethereum aggregators and centralized exchanges
Through developing a collaborative and long-term partnership with WOO DAO, this initiative will help facilitate migration to Olympus V2 and improve gOHM’s liquidity as a decentralized reserve asset
About Us
WOO Network is a deep liquidity network connecting traders, exchanges, institutions, and DeFi platforms. WOO Network was incubated by Kronos Research, one of the top market makers and quantitative trading firms in the world, which generates over $5-$10B in daily volume. WOO Network’s flagship product, WOO X, is a centralized exchange that provides users with an institutional-grade trading experience and low to zero trading fees. Kronos Research and WOO Network have significant experience in providing liquidity in DeFi, as demonstrated by:
WOO DAO was established in November to support WOO Network in promoting more active engagement from its community and expanding its activities across DeFi. Alongside the WOOFi product suite, WOO DAO aims to provide market-making services to DAOs.
Proposal Overview
WOO DAO is asking to borrow 500 gOHM from Olympus DAO for twelve months. WOO DAO will commit to providing liquidity for gOHM across the WOO Network, including WOO X, as well as on DeFi aggregators ParaSwap and Matcha. This proposal can be expanded to support liquidity on other centralized exchanges if the community approves.
The unique features of the proposal include:
Returning gOHM (or equivalent if exercising the option) to rebate the OHM yield earned and not dilute the OHMies staking
Listing spot market for gOHM on WOO X without margin trading or futures enabled
Collateralizing the loan of gOHM using 8.5M WOO from WOO DAO’s treasury, which will be held in a multi-sig with appointed members from WOO DAO, Olympus DAO and neutral third parties as signers
Obtaining options on gOHM as payment that are competitively priced, as suggested by Derek from Reverie. If exercised, some of the gOHM options will be retained by WOO DAO to diversify its treasury and continue participating in Olympus DAO’s governance
Appointing a WOO DAO member to remain active in Olympus DAO governance by participating in their forum and Discord
Proposing to the WOO DAO community to sell bonds on the Olympus Pro marketplace
This proposal was designed as more than a traditional market making agreement. Beyond providing market making services, the goal of this proposal is to form a strategic partnership that supports Olympus DAO in establishing a decentralized reserve asset.
