- Edited
Not really for or against this (want to hear more discussion) but have a few Q:
Is there any idea what order assets would be used for this? If we use our most volatile assets, then we will by default be 'selling the bottom' assuming markets stay correlated. Alternatively if we use stables, RFV decreases. How is the policy team envisioning this in terms of 'order of payout'?
Exactly how is "backing" being calculated here, I.E. what price does OHM need to fall below for this lever to be used? Also, is OHM-DAI LP being included in this backing? Not sure if it is, but if we start selling all 'backing' or treasury assets except OHM-DAI LP we run into a risk where an increasing portion of OHM backing is OHM-DAI LP which would be bad for obvious reasons.
What happens to the OHM which the treasury buys? (Nvm this one reread the proposal understand now)
All in all I think it's a good idea but one we should be very careful about as one wrong step here could create a reflexive loop we want to avoid.