Temperature check: Explore acquiring mStable?

The mStable team is currently considering their options as they plan to shut down if they are unable to find an acquirer. This proposal is to gauge interest from the OUSD community in exploring the opportunity for Origin to acquire mStable.

This could be a good chance for us to hire some great talent, diversify Origin’s treasury, increase the TVL of OUSD, and grow our community. It could also be a big distraction if we invest a lot of time and it doesn’t work out.

At a high level, here’s what a potential deal could look like:

• MTA holders would be able to burn their tokens in exchange for OGN, OGV, or a mixture of the two. The tokens would be locked & subject to vesting.
• Origin would inherit mStable’s ~$2.6M treasury and admin privileges for their smart contracts.
• Origin would upgrade the contracts for MUSD to convert and/or deposit the backing stablecoins to OUSD. MUSD balances would be zero’d out and an equivalent amount of OUSD would be minted directly to their wallets. MUSD funds on Polygon would be bridged over to OUSD on the Ethereum mainnet. Currently, $12.84M of TVL could be migrated from MUSD to OUSD, but we expect this number to drop as word spreads about the situation.
• Origin would interview each of the mStable team members that are deemed to be a good fit for open positions at Origin.
• While we have no immediate ideas of how their products would fit at Origin, we recognize that their team has deep experience in DeFi and lots of relevant knowledge relating to stablecoins, yield-generation, and ERC-4626 vaults.

We’d like to hear community feedback before investing more time in due diligence.

As always, please join the discussion in the #ousd-governance channel in the Origin Discord before voting.