Proposal 29 – Update Maximum Allowances in USP Backing
Summary
This proposal seeks to update the maximum allocation limits within the USP backing framework for selected assets and strategies. The proposed changes are:
- Increase BMMF Turkey Stablecoin FX Arbitrage Strategy maximum allocation from 70% to 80%
- Increase AUSD maximum allocation from 10% to 30%
- Increase PYUSD maximum allocation from 10% to 30%
These updates aim to provide greater flexibility in capital allocation while supporting scalability, diversification, and capital efficiency of USP backing.
Rationale
Increasing the maximum allowance for the BMMF Turkey Stablecoin FX Arbitrage Strategy reflects strong confidence in its consistent, market-neutral performance and its role as a core yield engine within USP backing. Expanding its ceiling allows the protocol to scale exposure to a proven and stable strategy when market conditions are favorable.
Raising the limits for AUSD and PYUSD enhances collateral diversification across multiple stablecoin issuers, reducing dependency on any single asset and improving resilience. Both assets represent high-quality, fully-backed stablecoins with strong composability across DeFi, making them suitable for larger allocations as USP grows.
Importantly, updating maximum allowances does not mandate immediate reallocation but instead provides the DAO with greater flexibility to dynamically manage capital in response to market opportunities and risk conditions. This approach strengthens USP’s ability to scale efficiently while maintaining a balanced, risk-aware collateral structure.
Pre Proposal:
| RATE | CRYPTO | TYPE |
|---|---|---|
| 100% | USDT | On Chain |
| 100% | USDC | On Chain |
| 70% | BMMF Turkey Stablecoin FX Arbitrage Strategy | On Chain |
| 25% | Ethena USDe & sUSDe | On Chain |
| 25% | Cap USD | On Chain |
| 25% | USD AI | On Chain |
| 25% | Arma Giza Agent | On Chain |
| 25% | Plasma DeFi Vault | On Chain |
| 25% | Aerodrome yTRYB/USDC | On Chain |
| 25% | Almanak Autonomous Liquidity USD | On Chain |
| 25% | Wasabi Spicy Vault USDC | On Chain |
| 20% | Aave aUSDT | On Chain |
| 20% | Aave aUSDC | On Chain |
| 20% | Ondo USDY | On Chain |
| 20% | Pendle PT Strategies | On Chain |
| 20% | Fluid USDT | On Chain |
| 20% | Sky USDS & sUSDS | On Chain |
| 10% | AUSD | On Chain |
| 10% | PYUSD | On Chain |
| 10% | Neutrl USD | On Chain |
| 10% | Midas mAPOLLO | On Chain |
| 10% | Upshift earnAUSD | On Chain |
| 10% | Neutrl Staked NUSD | On Chain |
| 10% | Staked Yuzu USD | On Chain |
| 10% | Yuzu USD | On Chain |
| 10% | Midas mF-ONE | On Chain |
| 10% | Midas mRe7Yield | On Chain |
| 10% | Midas mMEV | On Chain |
| 5% | Staked Avant USD | On Chain |
| 5% | Avant USD | On Chain |
| 5% | Midas mHYPER | On Chain |
Post Proposal:
| RATE | CRYPTO | TYPE |
|---|---|---|
| 100% | USDT | On Chain |
| 100% | USDC | On Chain |
| 80% | BMMF Turkey Stablecoin FX Arbitrage Strategy | On Chain |
| 30% | PYUSD | On Chain |
| 30% | AUSD | On Chain |
| 25% | Ethena USDe & sUSDe | On Chain |
| 25% | USD AI | On Chain |
| 20% | Aave aUSDT | On Chain |
| 20% | Aave aUSDC | On Chain |
| 20% | Ondo USDY | On Chain |
| 20% | Fluid USDT | On Chain |
| 20% | Sky USDS & sUSDS | On Chain |
| 10% | Cap USD | On Chain |
| 10% | Arma Giza Agent | On Chain |
| 10% | Neutrl USD | On Chain |
| 10% | Midas mAPOLLO | On Chain |
| 10% | Upshift earnAUSD | On Chain |
| 10% | Neutrl Staked NUSD | On Chain |
| 10% | Staked Yuzu USD | On Chain |
| 10% | Yuzu USD | On Chain |
| 10% | Midas mF-ONE | On Chain |
| 10% | Midas mRe7Yield | On Chain |
| 10% | Midas mMEV | On Chain |
| 5% | Staked Avant USD | On Chain |
| 5% | Avant USD | On Chain |
| 5% | Midas mHYPER | On Chain |
Off-Chain Vote
For
11.61M sPIKU100%
Against
0 sPIKU0%
Abstain
0 sPIKU0%
Timeline
Apr 21, 2026Proposal created
Apr 21, 2026Proposal vote started
Apr 23, 2026Proposal updated