MDP23.2 - Strategy for Incentivized Liquidity Provision on Balancer Finance

In line with MDP23.1 and this forum post, it is hereby proposed to decide on the strategy for the liquidity provision operation on Balancer Finance.

This proposal suggests that the 13,210 BAL currently held in the Asset Management subDAO be put into a Balancer Finance liquidity position in order to begin accruing BAL from the 80/20 BAL/WETH pool.

In the process of commencing with this opportunity on Balancer Finance, the 13,210 BAL would be provided via single-sided liquidity, and consequently split up into the allocation described above.

In its current form, it is proposed to harvest and compound 100% of all BAL rewards from the position back into the same position via single-sided liquidity entry at a time that has desirable market conditions for BAL compared to the rest of the pool allocation, as to maximize the opportunity.

It is proposed to have the current Cat Herder liaison with the lead signer from the subDAO (@jwpe) on a bi-weekly basis to determine the right schedule on harvesting and compounding rewards, keep a curated transaction history of all events relating to this venture, and inform the wider mStable community and its stakeholders on the results on a quarterly basis in form of a Transparency Report designed for this purpose.

Successful passing of this proposal will allow the Asset Management subDAO to continue with this strategy until the incentivization on Balancer Finance ends, or a different proposal be made to change the method or utilization of the tokens in question.

This proposal should be seen as a direct follow-up to a successful passing of MDP23.1, and will only be considered should the first part of the MDP close in favour.

The option with the most votes will be executed, even if it doesn't reach a majority.

Should the Asset Management subDAO deploy the 13,210 BAL it custodies on the Balancer Finance platform with the outlined strategy above?