PIP-96 - Wind down pUSD/pETH lending operations and uncustody treasury

ABSTRACT

Wind down pUSD/pETH lending operations and uncustody treasury.

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BACKGROUND

JPEG'd should cease support and maintenance of the pUSD/pETH lending for all vaults. Encourage all depositors to unwind and payback positions. Uncustody treasury to JPGD governance token holders. Interest rates would be increased immediately across all vaults and go up exponentially to encourage borrowers to pay back their loans. ETH and any other assets in JPEG'd treasury would be uncustodied to JPGD governance token holders.

JPGD governance token holders should be staked in a contract by a Snapshot date in Q1. This date will calculate % share of the contract for uncustodying assets. Periodically between Q1 and Q2 treasury assets will be sent to the staking contract and JPGD holders will claim them. There will be a 30-day cliff from the first claim date before JPGD can be withdrawn, and the total balance will be vested linearly per block over 4 months starting from the first uncustody date. JPGD contributors will continue to get funded through end of Q2 to support and maintain the wind down process.

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SPECIFICATIONS

Interest will increase to 100% for all pUSD/pETH vaults. It will exponentially increase over Q1 and Q2. Any positions liquidated will be auctioned off and proceeds go to treasury.

JPGD governance token holders stake JPGD in a contract by a Snapshot date in Q1. The contract calculates % share of contract to determine amount of uncustodied assets to receive.

Periodically between Q1 and Q2 treasury assets are sent to the contract for JPGD governance holders to claim. Staked JPGD is vested 4 months linearly after the first uncustody date with a 30 day cliff. JPGD can be withdrawn after 4 months.

EOM