Completely behind the @A-Train version of the proposal even if I’m not against the original one by definition.
It manages the sell pressure risk a lot and prevents liquidity issues along the way.
Also, one thing that can be considered is that since the buyback is now done from the treasury, this process can be automated without any front run risk with the proper price oracle. I’m not exactly sure how that’d be implemented, but it could be a great argument for staking to have revenues distributed continuously.
As far as I am concerned, the buying of CRV tokens with revenues ( 10/15% of weekly MIMs ) can continue even after the “0 emissions” threshold has passed because owning a CRV treasury has a lot of implications :
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Receive 3Crv tokens as rewards from Curve, those can be used in multiple way :
- Hold the 3Crv to be able to rebalance the MIM-3Crv pool in case of an extreme unbalance event like the one that happened last week.
- Pair the 3Crv rewards with a predetermined amount of MIM from revenues to deposit and own MIM-3Crv LPs in treasury ( effectively growing POL ). The amount of MIM to use here can be capped, not sure it should be but it can be.
- Sell them on the market to buy more CRV or any other asset that could be useful to Abracadara in the future.
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Receive any airdrop from other projects that can also be used as a farming treasury or as voting power if possible ( EPS is already deployed on BSC, more are to come on Polkadot ecosystem ).
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( Speculation ) If SPELL stakers are allowed to vote for the opening of new cauldrons, and the MIM replenishes amount of those cauldrons, Abracadabra could propose a bundle to new protocols :
“Bribe our SPELL stakers with your native token, and a cauldron will be opened for you, with MIM replenishes, and a gauge on your Token/ETH Curve v2 pool voted with our veCRV”. Depending on the amount of veCRV Abracadabra holds, this could be applied for a continuous vote bringing more rewards to the new protocol pool, hence attracting more users on Curve, and potentially on Abra.
Anyways I am really happy to see Abracadabra going that route, building a treasury has become critical in my opinion to protect ourselves from mercenary LPs and to allow a faster and bigger expansion of the project.
