Motivation

Balancer recently launched on Optimism in collaboration with BeethovenX. This deployment will soon utilize veBAL gauges for BAL emissions so it is important that BAL maintains adequate liquidity and price equivalence with Ethereum. To get around the 7 day withdrawal period on the official Optimism bridge which breaks the necessary arbitrage loop with Ethereum I have enlisted the help of Multichain. They have added support for BAL between Ethereum and Optimism, however it requires liquidity to be functional.

Thus, I propose allocating BAL from the treasury for this purpose. Please see the poll at the bottom which will serve as a temp check on the amount. Note that we would earn bridge fees on any funds deposited for bridge liquidity.

The treasury currently holds ~4M BAL so you can calculate the impact to the treasury from there depending on your poll choice.

Risk

• Multichain is exploited and our BAL is lost. You can find information about their security model here.

• Users only bridge in one direction, i.e. Optimism-> Ethereum and instead use the official bridge for Ethereum-> Optimism. This would see bridge liquidity on one side drained and we would be unable to withdraw our BAL until this was resolved somehow.

Specification

If approved, 40,000 BAL would be sent from the DAO Multisig 0x10A19e7eE7d7F8a52822f6817de8ea18204F2e4f to the LM Multisig 0xc38c5f97B34E175FFd35407fc91a937300E33860 and deposited 50/50 on both sides of the bridge.