CIP #9 - Avalanche Index Stable Coin Index

Status: Proposed Discussion link: https://gov.cook.finance/t/avalanche-chain-and-index Created: 11/12/21

Executive Summary

To implement a yield bearing stable coin index on Avalanche.

Problem Statement

Currently there is no yield bearing stable coin index on the Cook Platform on Avalanche.

Proposed Solution

Overview

To implement a yield bearing stable coin index on Avalanche

Rationale

Stable coin yield farming is always attractive to DeFi users, however, only getting the interest rate on single stable coin isn’t ideal. It’s better to have a group of different stable coin yield farming assets to gain more consistent APY.

Specification

Ask the Cook core team to implement a yield bearing stable coin index on Avalanche. The components should include USDT.e, USDC.e DAI.e and MIM. Then put those on yield yak for yield farming. The allocation should consider both TVL and APY on yield yak and the market cap.