Summary

Following the approval of CDP-4, we propose bridging the NEURON token to the Base L2 Network to increase adoption. Bridging to Base enables the NEURON token and Cerebrum DAO to take advantage of L2 benefits such as lower transaction fees and access to the Coinbase community. Moreover, we can enable a liquidity trading pool on Aerodrome Finance, which provides Cerebrum DAO with incentivized rewards at this time.

Overview

Although the Ethereum Mainnet has its strengths such as a large developer community, an established ecosystem, and broader adoption, the constantly changing and high transaction fees create a barrier for NEURON token transfers and trading activities, and for lower NEURON staking strategies which our Product Working Group is seeking to implement that provide utility to the broad NEURON HODLR community.

L2 networks like Base solve this challenge by offering faster and lower cost transactions. Bridging NEURON from Ethereum Mainnet to the Base L2 Network will enable a more accessible and cost-effective environment for our community by reducing transaction costs for activities that create utility for our community holding the NEURON token. This initiative has the potential to increase the token activity, provide more engagement, and contribute to the growth of our community.

Liquidity

To create a liquidity trading pool, we plan to use Aerodrome Finance (“Aerodrome”), a Decentralized Finance (DeFi) protocol that functions as an automated market maker (AMM) and liquidity hub on the Base network. We request 13 ETH and 180,000,000 NEURON tokens for creating a liquidity trading pool on Aerodrome.

By creating a liquidity trading pool on Aerodrome, our community members who add liquidity on Aerodrome will have the potential to earn AERO emissions as rewards. To support this reward initiative, we request up to 90,000,000 NEURON tokens over the next 20 weeks, distributing 4,500,000 NEURON tokens per week/epoch.

Proposal Terms to Approve

• Authorize the Cerebrum DAO Coordination & Operations Working Group to provide up to 13 ETH and 180,000,000 NEURON tokens for liquidity trading pool creation on Aerodrome Finance as approved under CDP-4.
• Authorize the Cerebrum DAO Coordination & Operations Working Group to spend up to 90,000,000 NEURON tokens over 20 weeks to support liquidity reward initiative on Aerodrome Finance: NEURON/WETH pool.
• Authorize the Cerebrum DAO Coordination & Operations Working Group to either use the AERO emissions earned from liquidity provision as incentives to support reward initiatives or retain them as voting power.