GIP-25: Should "Senior Pool Periodic Withdrawal Requests" proposal be approved?

The Senior Pool’s system of “first come first serve” withdrawals is not serving Senior Pool liquidity providers (LPs) when utilization is high. High utilization has encouraged secondary market sales, which has created a secondary market discount that is attractive for bots to instantly arb once native liquidity is available. This has created a lot of frustration for LPs that are willing to wait for some liquidity. A new system is needed that more fairly distributes incoming capital.

We propose to replace the current system with a bi-weekly withdrawal system where LPs may submit a request to withdraw from the Senior Pool by depositing their FIDU into a withdrawal request.

If there is enough capital to honor all outstanding withdraw requests at the end of the period, all withdrawers will have 100% of the value of the FIDU they requested to withdraw allocated to them in USDC.

If there is not enough capital to honor all outstanding withdraw requests at the end of the period, all available USDC will be allocated to withdrawers pro-rata. In other words, if there is only 80% of the USDC necessary to fulfill all withdraw requests, all withdrawers will receive 80% of the value of the FIDU they’ve requested to withdraw. Withdraw requests that are partially filled will be automatically rolled over to the next period.

Withdrawers may choose to withdraw their allocated USDC at any time. The standard protocol withdraw fee of 0.5% still applies.

LPs may cancel their request to withdraw at any point for a cancellation fee. The fee will be applied to the outstanding FIDU balance of the withdraw request. Proceeds from the cancellation fee will be sent to the protocol reserve.

To prevent small withdrawal requests from receiving an infinitesimally small amount of USDC from a pro-rata allocation, withdraw requests under a certain threshold value will be fulfilled 100% — subject to capital available. This means that if the value of your withdraw request is under the threshold value, you will be able withdraw 100% of the USDC value of your position.

Proposal discussion: https://gov.goldfinch.finance/t/gip-25-senior-pool-periodic-withdrawal-requests/1183

YES - Replace the current withdrawal system with periodic withdrawal requests.

No - No change