[BIP-407] Enable LCNY/LUSD/ETH Gauge [Ethereum] with 2% emission cap

PR with Payload

https://github.com/BalancerMaxis/multisig-ops/pull/482

Gauge Proposal Template:

Summary: Enable a Balancer gauge for LCNY-LUSD-WETH pool on Ethereum. LCNY is the immutable and decentralized CNY pegged stable on Ethereum. Link to pool: 0x8ed9e70bfa17a1e2c4f8e561c8d0c2d1acc092fa Link to gauge: 0x2efCc89a1D534a8ee0e8dD469fa05cb20ccF5C19

References/Useful links:

Link to: • Website • Documentation • Github Page
• Twitter

Protocol Description:

Alternity is a decentralized protocol built on the Ethereum blockchain, inspired by the design of the Liquity Protocol.

The protocol provide users with a stablecoin that is pegged to the Chinese Yuan, achieved by utilizing Ether as the required collateral. Loans are paid out in LCNY (a CNY pegged stablecoin) and need to maintain a minimum collateral ratio of 110%.

Alternity aims to cater to users who value diversification and seek alternatives to USD-pegged stablecoins.

As a protocol, Alternity is non-custodial, immutable, and governance-free.

Motivation:

Alternity Protocol is addressing the growing demand for a stable, decentralized, and Yuan-pegged financial instrument in the DeFi ecosystem. As the global economy continues to evolve, the need for diverse stablecoin options that cater to various markets becomes more evident.

Recognizing China's growing influence and the rising importance of the Yuan, Alternity offers an alternative solution with a Yuan-pegged stablecoin, providing diversification, risk management, and a more robust DeFi ecosystem.

Incentivization to this pool will help drive liquidity for users who want to use decentralized and immutable CNY pegged stable in order to diversify their portfolio. Stable diversification will ultimately lead to rather healthier DeFi ecosystem.

Specifications:

1. Governance: Governance free.

2. Oracles:

• LCNY utilizes Chainlink oracles for CNY and ETH.
• LUSD utilizes ETH oracle

Tellor is Alternity’s secondary (fallback) oracle. They’re fully decentralized — price data is requested, with a “tip” attached — and miners compete to push accurate data and win the tip. Inaccurate data is disputed, and the threat of stake-slashing incentivizes honest price reporting.

3. Audits: Alternity is a Liquity fork that was audited by:

• Trail of Bits
• Coinspect

4. Centralization vectors: There are no centralization vectors. Alternity and Liquity are built to have maximized resilience.

5. Market History: Alternity has limited history, as it is a new protocol in the process of bootstrapping. The protocol was launched on the 19th August 2023 and attracted 100+ ETH in trove deposits. The success of LUSD has shown interest in this type of assets.

6. Value: The pool can become the main source of liquidity for LCNY as well as additional liquidity source for high volume assets – LUSD and WETH.

Specification:

The Balancer Maxi LM Multisig eth:0xc38c5f97B34E175FFd35407fc91a937300E33860 will interact with the GaugeAdderv4 at 0x5DbAd78818D4c8958EfF2d5b95b28385A22113Cd and call the addGauge function with the following arguments: gauge(address): 0x2efCc89a1D534a8ee0e8dD469fa05cb20ccF5C19 gaugeType(string): Ethereum