IQIP-6: Increasing Long Term Liquidity for the IQ Token with Olympus Pro

Background

IQ token liquidity has been rising with over $4 million in liquidity locked through the IQ-FRAX yield farm on Uniswap, to accelerate IQ’s liquidity growth the IQ token can integrate Olympus Pro.

Olympus Pro, is a product that allows protocols to bootstrap long-term liquidity through bonding. Olympus Pro has already been used by several leading DeFi protocols including Frax Finance, Alchemix, and Thorstarter.

Olympus Pro was developed by Olympus DAO, a leading DeFi protocol. Their governance token OHM is a leading decentralized reserve currency with a market cap of over $3 billion.

How it Works

If this proposal passes to integrate Olympus Pro, IQ holders will be able to get IQ at a discount through buying IQ-ETH SLP Bonds. To buy IQ Bonds, IQ holders will supply liquidity to the IQ/ETH pair on Sushiswap and then bond those LP tokens (sell the LP tokens for IQ Bonds) to Everipedia’s DAO. In return for giving a discounted price of IQ, the IQ Bonds will distribute IQ to bondholders over a 7 day period. To provide the IQ tokens to support the IQ Bond sales this proposal would issue 2m IQ/day.

For more information on how Olympus Pro works in general check out their docs+specs on their site.

Benefits

This proposal, if passed, would give IQ holders the opportunity to get IQ at a discount without the risk of impermanent loss.

It would also allow the IQ protocol to acquire IQ-ETH liquidity ensuring that the IQ token has long term liquidity.

Through co-marketing with Olympus DAO the IQ token will also be seen by the Olympus community of Ohmies which includes over 10,000 DeFi users who’ve turned OHM into a $3 billion plus dollar protocol.

Vote Options

YES, Initiate Olympus Pro with 2m IQ/day emissions. DO NOTHING