Moving BAG DAO Liquidity from Uniswap V3 to Uniswap V2

Background:

When the BAG migration concluded, we chose Uniswap V3 as the preferred pool option for token liquidity. This decision was based on the belief that concentrating liquidity within a smaller price range would be more capital efficient and allow larger orders with reduced slippage. However, this approach resulted in most of the liquidity being withdrawn as the price did not adjust dynamically under selling pressure.

Had we opted for Uniswap V2, the same selling pressure would have driven the token price down further, but we would have retained more ETH in the pool. As sellers sold their tokens, the pool would have automatically rebalanced, offering a lower price for subsequent sellers, thus conserving more ETH within the pool.

Proposal:

1. Remove all liquidity from Uniswap V3 on the Ethereum mainnet and from Thruster. There will be no V3 pool of any kind.

2. Create an ETH Mainnet V2 liquidity pool on Uniswap, allocate 15 ETH, and pair it with the corresponding amount of BAG. Lock this liquidity using Unicrypt for a period of 2 years.

3. Create a Blast Mainnet V2 liquidity pool on Thruster, allocate 30 ETH, and pair it with the corresponding amount of BAG.

4. Any further changes to the liquidity pools will require a governance proposal.

Rationale:

Providing liquidity is essential for any crypto project, as it enables new participants to buy into the project without experiencing significant slippage. Locking the liquidity enhances our credibility, especially on platforms like DEX Tools, which view this as a critical factor. Furthermore, notifying about changes in liquidity pools ensures the transparency of our beloved DAO. By moving to Uniswap V2, we aim to maintain a more balanced and stable liquidity environment, ultimately benefiting our community and project stability.