Pike LTIPP Council Recommended Proposal

Link to Application

https://forum.arbitrum.foundation/t/pike-ltipp-application-draft/21824

Council - 3/4 Yes Votes

Feedback

Wintermute Feedback) Pike’s application was very strong and they scored well in a range of criteria. Their application was very thorough in describing their execution strategy, goals, milestones, and KPIs. They had a good emphasis on attempting to attract new users and deposits to Arbitrum using their existing user base. Their requested grant size is very large given their age and protocol usage. Typically we would be against such a request however, they have provided performance-based milestones to unlock further tranches of their grant. The other concern is that they currently have no audit (one is being completed with ottersec). Ultimately, we think that Pike brings new and novel infrastructure to Arbitrum making it easier to connect with users across different chains. It will allow collateral to stay on Arbitrum while users explore other chains; and vice versa. Therefore, we feel like it’s ultimately the DAO’s decision as to whether or not they want to take a risk on the potential long-term benefits of Pike. We will support this application.

GFX Feedback) This was a strong proposal in most areas other than request size and audits (which are still ongoing). Given the clear execution strategy, milestones, and metrics to proceed with the grant plan, Pike was able to overcome the softer scores in those areas of the rubric. We recommend approving this grant.

GMX Feedback) While the product offering seems compelling, I question the size of the requested ARB and the ability for Pike to deliver on their aspirational goals relative to the size of the ask. If Pike were to lower their ask, I would be more receptive to their application. The Pike Protocol is aiming to bring cross-chain lending to the Arbitrum Ecosystem, they are in a capped launch at the moment, the product has yet to prove that it has significant demand for cross-chain lending/borrowing. They have stiff competition with native borrowing/lending platforms that are native to Arbitrum including Radiant. Their grant request has a wide range but overall I think it is too expensive and I fear when the incentives dry up so will the TVL gathered from the protocol. It would be better if they had a firm lower ask to test if their protocol gathered significant traction and then come back to the DAO for a large ask at a later time.

Karel Feedback) Vote FOR Pike's proposal.

Comprehensive proposal that scored well across the rubric with a detailed execution plan, milestones, and with a lens to maintaining stickiness throughout LTIPP. While this is a very large (ranged) grant size request in contrast to their life, the protocol has seen strong adoption across TVL and users, and the grant unlocked will be conditional upon the achievement of milestones which reduces risk. Over to the DAO.