Signalling Vote: how to proceed with staking on Enzyme vault (first 50% AUM)

SUMMARY Over the last few weeks, members have reviewed and discussed a proposal that recommends restarting the Nexus Enzyme vault & diversifying ETH across staking providers. This vote is a non-binding signalling vote, which will be used to gauge members' support for either proposal or if there is demand to seek alternatives to the existing proposal.

RATIONALE The assets on the Nexus vault on Enzyme have been idle for the last few months. At the same time the cost of the Proof of Reserve Chainlink Oracle has been a recurring operating expense that is not being offset by any revenues or yields. With this proposal Avantgarde proposes to put back those assets to work in several phases, starting to generate staking rewards for the Nexus’s Capital Pool, while ensuring that a diversified approach minimises the risks for the Mutual.

SPECIFICATIONS The proposal suggests implementing risk-managed native staking by selecting node operators and monitoring risks. It aims to provide diversification beyond Liquid Staking tokens and emphasises the importance of Enzyme's ability to access a variety of node operators while maintaining consistent Proof of Reserve in ETH. The plan involves allocating 50% of the idle WETH (6,624 WETH) to Kiln initially and waiting for the integration and audit of Stakewise V3. The proposal aligns with the timeline and allows the Mutual's Engineering Team to focus on existing priorities. This Snapshot covers the first part only, i.e. 50% allocation to Kiln.

EXPENSES Avantgarde proposes a competitive flat annual fee of 0.3% (inclusive of protocol fee) based on total assets under management, while waiving half of the fees during the interim period in which the AUM is partially deployed. This fee corresponds to around 6% of annual staking rewards at the current APY%.

VOTING OPTIONS You can choose from one of the following options when you cast your vote:

Option A: YES, stake 6,624 WETH through Kiln Option B: NO, make no changes. Option C: None of the above. Explore other solutions.