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OtterClamOtterClamby0x41222a33d9B40173118BD8B80114a9ce3617664E0x4122…664E

CIP037 - Overnight ETS Investment

Voting ended over 3 years agoSucceeded

It has been suggested that we diversify our treasury into a new strategy from Overnight.fi - a hedged USD+/WMATIC LP where the WMATIC is borrowed from Aave. This mitigates matic volatility because as the price goes down, so does the balance to pay back. The only real risk is if matic spikes upward, some capital could be lost in IL, but it would take a very large spike. Yields are about 62% APY right now with 120K TVL (so any investment would drop the APY significantly. This is also in beta, meaning it's not open to the public yet. When it does, it could drop further).

It's safer than a WMATIC/USDC pair, not as safe as a stable LP. Some investment options have been proposed:

1.) allocate $50K from stablecoins and $50K from Qi/WMATIC LP to this strategy to diversify and get less exposure to Qi. Most aggressive. 2.) allocate $25K from stablecoins and $50K from Qi/WMATIC LP to this strategy to diversify, take small profits and not hurt revenue too much. 3.) allocate $50K from Qi/WMATIC, keeping the stability of our stablecoins intact 4.) allocate $50K from stablecoins, boosting yield 5.) Keep everything just as it is

Off-Chain Vote

$50K stables/$50K Qi/WMATIC
3.21K vCLAM3.2%
$25K stables/$25K QiWMATIC
0 vCLAM0%
$50K Stables
39.86K vCLAM40.1%
$50K Qi/WMATIC
56.36K vCLAM56.7%
Do not invest in ETS
0 vCLAM0%
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Timeline

Jul 23, 2022Proposal created
Jul 23, 2022Proposal vote started
Jul 24, 2022Proposal vote ended
Oct 26, 2023Proposal updated