List MIC as Collateral Asset

Summary

Mithril Cash aims to become the de-facto standard for algorithmic stablecoins in DeFi. It is a fork of the Basis Cash protocol, which we believe to be the most robust design in the space. The project has been well received by the market, with over $1.4B in TVL in the first 24 hours after launch.

For: List MIC as a collateral asset Against: Do nothing

Motivation

Abstract The Mithril Cash protocol controls money supply similarly to how central banks of the world may guide the value of fiat money through monetary policy. By controlling the quantity of money supply in an economy by minting fresh currency or selling bonds, a target value can be achieved (In this case $1). Instead of a central bank or a currency board, rules are set and executed programmatically via smart contracts so that behavior of the system can be predictable.

Every 24 hours, the TWAP of the MIC price from the MIC-USDT Sushiswap pool is used to determine if the MIC supply needs to be expanded or contracted. The stabilization threshold is currently set to 1.01 MIC/USDT.

If TWAP > 1.01, expansionary policy is applied and new MIC is minted using the formula circulatingSupply *(oraclePrice-1)

If TWAP < 1.01, contractionary policy is applied. Mithril Bonds are made available for purchase at an algorithmically set price. With a Mithril Cash oracle price of P USDT, bonds are sold off at a price of P MIC (effective price being P^2 USDT), promising bond holders a premium when redeemed. Purchased bonds can be converted to Mithril Cash at a 1:1 rate, insofar as the preconditions are met and the Treasury is not empty.

Benefits to CREAM • As the first major DeFi protocol to integrate MIC, CREAM would be well positioned to capture additional TVL as our circulating supply grows • Potential for further synergies down the line. Leveraged strategies could be built atop the MITH protocol

Milestones • Sushiswap trading volume on Day 1: $96M • Currently ranked 5 and 6 on Sushiswap • TVL: $1.4B within 24 hours of launch. • Decentralized: 3x the number of holders as comparables • Partnerships: QCP Capital

Resources Main • Website: https://mith.cash/ • Docs: https://sauron.gitbook.io/mith-cash/ • Guide: https://mithcash.medium.com/overall-guide-of-mith-cash-for-beginners-en-zh-1325423d155a • Github: https://github.com/mithio • Dune Analytics: https://duneanalytics.com/0xBoxer/mith-cash • Yield Farming Tool: https://mith-cash-tool.web.app/mithcash/

Social / Community • Discord link: https://discord.gg/EacqCKujT7 • Telegram: https://t.co/cy1BNDWwGJ?amp=1 • Twitter: https://twitter.com/mithcash • Medium: https://mithcash.medium.com/

========== Discussion link: https://forum.cream.finance/t/list-mic-as-collateral-asset/537