CIP #4 - Reshape liquidity

—- Summary -— This proposal aims to set up a detailed plan to reshape $CVG liquidity.

—- Rationale -— The rationale behind seeding 2 pools (TriCVG and CVG/FRAXBP) was the following:

• Allowing people to swap with crvUSD and ETH ( for convenience and deeper integration within Curve by using crvUSD);
• Benefiting from Frax incentives to benefit from free voting power on the CVG/FRAXBP pool.

However, it is now clear that it wasn’t an efficient way to kick-start the liquidity. This strategy led to liquidity fragmentation, and high price impact, which kept large buyers away and was detrimental to the price action because of a poor absorption capacity of WLs selling pressure.

This is why we propose to migrate all the liquidity toward the CVG/FRAXBP pool, to remediate the issues mentioned above.

The TriCVG pool will be deprecated, and later on, an ETH/CVG pool will be seeded, and serve as main liquidity.

—- Means -— 1- Remove all the Protocol Owned Liquidity from the TriCVG pool; 2- Migrate all the liquidity to the CVG/FRAXBP pool.

—- Vote -— 1- Adopt the proposal 2- Reject the proposal 3- Abstain 4- Do not take part in the vote.