HIP-7 (Asset Listing) - Add sFTMX to Fantom Deployment

Simple Summary

This proposal seeks the approval of mveHND holders to add the sFTMX token to the Fantom deployment of the Hundred Finance dApp.

Abstract

sFTMX is an ERC20 token that represents the staked assets and accrued rewards of Stader users, a crosschain liquid staking solution. sFTMX increases in value relative to Matic as staking rewards accrue, allowing for integration with other DeFi protocolos despite the underlying assets being locked.

Background

sFTMX is issued by StaderLabs, a multi-chain staking infrastructure provider, with ~59 mn$ in assets across Fantom, Polygon, Hedera. At its peak, Staderlabs managed ~1 bn $ in TVL, with a significant portion of that on Terra (which has since dropped with recent events). The token contracts have been audited by Halborn and Peckchield, while the project also has a bug bounty program through a collaboration with Immunefi.

Motivation

FTM holders would be able to use sFTMX lending to participate in both staking and wider DeFi services through access to liquidity granted by borrowing. Listing on Hundred Finance would provide a means of granting lending services to approximately 11.5 million staked FTM worth around ~$4 (at time of writing).

Specification

sFTMX liquidity can be found on live on Beethoven X in a ~$3.5m sFTMX<>FTM pool, ~$2m in a Spookyswap sFTMX<>FTM pool, and ~$0.4m sFTMX<>USD pool provided by Stader. sFTMX is already in use in yield optimizers like Beefy finance, Reaper farm, Liquid driver and lending/borrowing protocols such as Tarot, Creditum, Market XYZ and Spiritswap. sFTMX token would be listed on Hundred Finance with a Loan-to-Value ratio of 50%, providing reasonable protection against price volatility. In order for sFTMX to be listed, a Chainlink price feed must be activated prior to or within 2 weeks of this vote passing. In order for the vote to pass and listing to go ahead a quorum of 10% must be reached along with a majority in favor of approving the proposal.

Discussion

Further information about the potential listing can be found on the forum at: https://forum.hundred.finance/t/asset-discussion-adding-sftmx-on-fantom/84