Protocol Owned Liquidity Injection: The proposal calls for a $500,000 investment from the DAO’s treasury into the SEAM/USDC LP on Aerodrome, granting us the dual benefit of trading fees and AERO emissions.
SEAM Bribes for Voting Incentive: To sustain community engagement, we propose a $140,000 fund for SEAM bribes over 20 weeks to incentivize voting, which in turn boosts AERO emissions and the protocol’s governance strength.
Fruitful Emissions Outcome: An anticipated collection of approximately 132,146 AERO, estimated at $199,540.46, sets the stage for a community-driven decision on the utilization of the accrued assets. Ultimately, the DAO will decide what we do with the earned AERO rewards/emissions: (1) sell AERO to buyback SEAM; (2) lock-up AERO and improve the DAO’s opportunities in earning more emissions.
Advantages for the DAO: This approach allows us to forgo a rigid lock-up period, instead facilitating active liquidity provision to stabilize SEAM’s value and increase potential revenue and governance sway.
Specification
Our proposal aims to utilize treasury assets in a manner that not only enhances liquidity but also aligns with our long-term objectives (and the ethos of Seamless Protocol). We are sidestepping an enforced lock-up in favor of a more fluid and dynamic approach that provides immediate benefits and opens up future governance decisions to the community.
To reiterate:
$500,000 worth of SEAM will be allotted towards LPing in the SEAM/USDC pool.
$250,000 worth of SEAM will be exchanged for USDC in 7d TWAP.
After successfully exchanging SEAM>USDC we will proceed to provide liquidity to the given pool. At the same rate, we will also allocate $140,000 worth of SEAM to further incentivize (bribe) the pool. We’ve broken this allocation into weekly intervals of $7,000/week. This campaign aims to run for 20 weeks.
At the mid-way point of the campaign (week: 10), an update proposal will be submitted for community deliberation to determine whether or not: (1) we should continue with this experimental effort or; (2) the community is in favor of how well the campaign is performing and believes we (the DAO) should allocate more funds to the existing LP position.
We are confident that this proposal serves the best interests of the DAO, providing stability for SEAM’s market, generating revenue through trading activity & emission accural, and possibly amplifying our governance influence overall.
We welcome the community’s feedback, discussion, and votes on this pivotal governance proposal.
Thank you @Guz_MassAdopt for this proposal. I believe that a closer collaboration between two leading dapps on Base Seamless and Aerodrome will be beneficial for both DAOs and the Base ecosystem in general. This proposal shall pay the way towards this collaboration.
Moreover, it is a very elegant way to start the process of the treasury diversification.
Hi @Guz_MassAdopt I am in favor of this proposal. The Protocol Owned Liquidity seems to create a flywheel with bribes and also earning some of those same rewards.
This also creates more reason for users to LP their SEAM on Aero and continue holding to reap the rewards on the Aero platform.
I do think that we can determine if over time we want to increase the position based on how it is performing. Additionally I feel a good call to LP into a USDC pool given Gauntlet’s push for native USDC adoption on Base which has manifested in Aerodrome receiving more rewards in the form of USDC to provide users. https://x.com/aerodromefi/status/1776232317230690685
From the aerodrome team - weekly retroactive calculations are done to match a proportion of the USDC rewards to the incentives of each pair that has USDC.
BTW I am for this proposal - one thing to really think about is the responsible liquidation fo DAO assets - there have been side discussions with Aera Finance on this front and I believe something could be in place by the time this proposal is executed (if it is passed).
Hi all, I’m part of the Aerodrome team. Excited for the Seamless <> Aerodrome collaboration!
This feels like a very well-designed program. The SEAM <> USDC pool will certainly qualify for the USDC program mentioned in the comments, and the AERO captured through the LP position will allow Seamless to lock AERO as veAERO to vote on the pool or redeploy the AERO as additional incentives (bribes) in following weeks. Both options would enhance the impact of the program.
@tao thanks for sharing this and welcome to the Seamless discourse forums! Agreed, this seems like a mutually beneficial opportunity for both projects and the Base ecosystem.
@Guz_MassAdopt since this discussion has been ongoing for 8 days, should we move it to a snapshot vote? (It has passed the required bar of 5 days discussion + 2 days cooldown). This could gauge community interest and commitment to the proposed amounts and approach. However, funding for SEAM and USDC will require an on-chain governance action later (but it would be implied this could be passed pending the snapshot vote outcome).
In the meantime, I suggest community contributors start coordinating on a parallel proposal to responsibly liquidate DAO SEAM for USDC needed to execute on the proposal ourlined above. Several options have been discussed on Discord and Telegram, there seem to be a couple of valid decentralized approaches that can fit into the framework of the DAO, more to come from @Ras on this front I believe separately.
Hi all! As a community member pointed out, there was one small step we missed in the codified governance process: reposting the proposal with edits incorporated
As such, doing this below cc @Guz_MassAdopt .
To summarize: there were no additional community comments to add into the original proposal, as such, the proposal goes to voting in it’s original form (see below).
The proposal is currently live for voting on snapshot labs.
Protocol Owned Liquidity Injection: The proposal calls for a $500,000 investment from the DAO’s treasury into the SEAM/USDC LP on Aerodrome, granting us the dual benefit of trading fees and AERO emissions.
SEAM Bribes for Voting Incentive: To sustain community engagement, we propose a $140,000 fund for SEAM bribes over 20 weeks to incentivize voting, which in turn boosts AERO emissions and the protocol’s governance strength.
Fruitful Emissions Outcome: An anticipated collection of approximately 132,146 AERO, estimated at $199,540.46, sets the stage for a community-driven decision on the utilization of the accrued assets. Ultimately, the DAO will decide what we do with the earned AERO rewards/emissions: (1) sell AERO to buyback SEAM; (2) lock-up AERO and improve the DAO’s opportunities in earning more emissions.
Advantages for the DAO: This approach allows us to forgo a rigid lock-up period, instead facilitating active liquidity provision to stabilize SEAM’s value and increase potential revenue and governance sway.
Specification
Our proposal aims to utilize treasury assets in a manner that not only enhances liquidity but also aligns with our long-term objectives (and the ethos of Seamless Protocol). We are sidestepping an enforced lock-up in favor of a more fluid and dynamic approach that provides immediate benefits and opens up future governance decisions to the community.
To reiterate:
$500,000 worth of SEAM will be allotted towards LPing in the SEAM/USDC pool.
$250,000 worth of SEAM will be exchanged for USDC in 7d TWAP.
After successfully exchanging SEAM>USDC we will proceed to provide liquidity to the given pool. At the same rate, we will also allocate $140,000 worth of SEAM to further incentivize (bribe) the pool. We’ve broken this allocation into weekly intervals of $7,000/week. This campaign aims to run for 20 weeks.
At the mid-way point of the campaign (week: 10), an update proposal will be submitted for community deliberation to determine whether or not: (1) we should continue with this experimental effort or; (2) the community is in favor of how well the campaign is performing and believes we (the DAO) should allocate more funds to the existing LP position.
We are confident that this proposal serves the best interests of the DAO, providing stability for SEAM’s market, generating revenue through trading activity & emission accural, and possibly amplifying our governance influence overall.
We welcome the community’s feedback, discussion, and votes on this pivotal governance proposal.
