FRENS for GHST-MATIC Pair on Sushiswap

Author: FRENS Taaskforce, jarrod | aavegotchistats.com#9686

GotchiID: 20952

Discourse Thread: https://dao.aavegotchi.com/t/frens-incentive-for-matic-ghst-lp-pair-on-sushiswap/2336

Summary:

This is the first DAO proposal to be created by the FRENS Taaskforce (rebranded from FRENS Committee)

Polygon has been a huge reason behind the success of Aavegotchi. Super low transaction fees paid in MATIC have enabled the team to build a game where there is lots of activity happening onchain such as petting, bid to earn auctions, Baazaar sales, and the game art for Aavegotchis with sideviews all stored onchain.

As of early September, Sushiswap started offering 2x SUSHI rewards for farming the GHST-MATIC LP pair on Sushiswap.

https://app.sushi.com/farm?filter=2x

The FRENS Taaskforce recommends enabling a FRENS incentive to be paid for the GHST-MATIC LP pair on Sushiswap.

We recommend the target rate of FRENS that should be paid to the GHST-MATIC LP pair should be greater than the target incentive for the GHST-WETH LP pair (120%) but lower than the target incentive for the GHST-QUICK pair (135%).

This is because the impermanent loss risk for GHST-MATIC is higher compared to GHST-WETH but lower compared to GHST-QUICK. We would recommend a target rate of 130% for the GHST-MATIC LP pair.

Currently, the majority of the liquidity for GHST resides on Quickswap. See: https://frens-taaskforce.vercel.app/

This offers a great opportunity to spread some of the liquidity over to the widely adopted LP platform on Polygon Sushiswap and reduce our dependence on Quickswap.