Abra and velodrome new calderon

💡Idea Discussions
1

To start with, Abracadabra could deploy an ODM on UNI worth 1 ML, and gradually increase its value over time relative to the MIM that we intend to bribe. You can read more about this proposal in there .

Moving on to how we can improve the relationship between Abracadabra and Velodrome, currently with the Abracadabra bribe on Velodrome, we can mint 1 million new MIM. I would suggest dividing this into three new pools:

  1. 500,000 on OP-WETH with:
    70% LTV
    Interest rate 5%
    performance fees 10%
    LIquidation fee:8%
  2. 250,000 on WETH-USDC with:
    70% LTV
    Interest rate 5%
    performance fees 10%
    LIquidation fee:8%
  3. 250,000 on Velo-USDC with:
    60% LTV
    Interest rate 7%
    performance fees 10%
    LIquidation fee:10%

Abracadabra would earn around 100,000 dollars in revenue from the minting of 1 million MIM tokens across the three proposed calderon, without considering any liquidetion event.

open to more discussion on the topic.

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2

I generally like these cauldrons. Though I’m unsure how much adoption they’d get. I’d note that the interest of the proposed WETH-USDC cauldron is a bit on the low end when considering the performance fee and the current APY.

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3

More cauldrons are always helpful!! Definitely support this idea!! Maybe implement them alongside Potion and $MIG when the market rebounds, help them gain traction… :frog::man_mage:

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4

I like the cauldrons, but maybe we should have a higher LTV on the wETH/USDC cauldron. I wouldn’t be too worried about the liquidity of those assets. I’d love if we could redo the fee structure on the current OP/USDC cauldron too as there could be some great delta neutral strategies built on top of it.

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