BIP#32: Add BendDAO stNFT as collateral

BIP#32 is proposed to add BendDAO stNFT as collateral. This proposal would empower V2 users to simultaneously utilize stNFT for instant loans while staking through V2. For existing V1 users, the one-click migration will be activated once the stNFT is supported as collateral on BendDAO.

Background

According to the rules of community governance:

• Phase 1: Idea
  • Minimum number of supports: Pass
  • Discord Idea: https://discord.com/channels/897709643948761148/1111215579454525470
• Phase 2: BIP
  • Minimum number of voters: Pass
  • BIP#32: https://governance.benddao.xyz/t/bip-32-add-benddao-stnft-as-collateral/468
• Phase 3: On-chain voting
  • Voting Quorum: Approximately 81M veBEND (20% of the total supply)
  • Pass Rate: Over 80% Approve
  • The voting will last for 3 days.

Summary

What is stNFT?

BendDAO's new pool-based Ape staking (V2) is constructed separately from the lending structure. stNFT represents the staked NFT in pool-based Ape Staking (V2), signifying the value of the initially deposited NFT. stNFTs are minted upon deposit and burned when withdrawn. stNFT token items are issued 1:1 to the original NFTs that are staked in V2.

• Maintains the same metadata as the staked NFT
• Two NFTs with the same ID cannot circulate simultaneously
• As soon as the original NFT is withdrawn from the staking contract, the corresponding stNFT is instantly burned

Parameters

Since the value of stNFTs is consistent with that of the original NFTs, the parameters for stNFTs are set accordingly.

• stBAYC will follow the parameters of BAYC
• stMAYC will follow the parameters of MAYC

BAYC

• LTV / Collateral Ratio: 60%
• Liquidation Threshold: 80%
• Auction & Redeem Duration: 24 hours
• Redeem Fine: maximum (5% of the debt, 0.2 ETH).
• Redeem Threshold: 50%

MAYC

• LTV / Collateral Ratio: 50%
• Liquidation Threshold: 80%
• Auction & Redeem Duration: 24 hours
• Redeem Fine: maximum (5% of the debt, 0.2 ETH).
• Redeem Threshold: 50%