Summary
This proposal seeks to end all BaoV2 buybacks and discontinue the following two pools currently hosted on Baofinance.io:
- baoETH-ETH/BAO 20/80 Pool
- baoUSD-LUSD/BAO 20/80 Pool
Instead revenue used for buybacks will be deposited as vote incentives for vlAURA holders to vote for AURA and BAL emissions to the liquidity pools.
Goals
- Increase Pool Attractiveness: Incentives in tokens other than BAO tokens allows liquidity providers to realize value without selling into their own liquidity.
- Simplify the Platform: Eliminating the need to host pools on multiple platforms reduces complexity and offers a more streamlined user experience.
Risks
- Potential TVL Loss: Discontinuing pools on Baofinance.io may result in some loss of total value locked (TVL).
- ** Buyback Suspension:** To direct resources toward Aura vote incentives and the upcoming S-token concept, buybacks will be halted. Buybacks may resumed in the future once there is a more diverse group of liquidity providers.
Implementation
- Pool Discontinuation: The listed pools on Baofinance.io will be discontinued, with participants encouraged to migrate to the Aura-hosted pools.
- Revenue Allocation: Current revenue will be redirected to support Aura vote incentives and the S-token concept, with the goal of increasing TVL and enhancing the profitability of Bao pools.