RIP #26 - Yield Optimization - Hummus Exchange (METIS)

This RIP is to decide whether or not to allocate a portion of the Treasury's AAVE deposit to Hummus Exchange on the METIS chain, and if so, how much.

Hummus Exchange: https://www.hummus.exchange/ Pools: https://app.hummus.exchange/pool Docs: https://hummus-exchange.gitbook.io/hummus-exchange/

Hummus Exchange is an officially licensed fork of Platypus Finance, AVAX's highest TVL DEX, native stable swapping protocol: https://app.platypus.finance/swap

Hummus Exchange currently has ~$16.5mil of TVL and is yielding an average of ~20% APR on USDC, USDT, and DAI, with rewards paid in METIS and HUM. This is currently 5-6x the yield we are earning on USDT in AAVE. In general, we would expect these yields to decrease over time. We would aim to take advantage of the current yields and reassess down the line as they adjust. Additionally, allocating a portion of our stable reserves to Hummus would diversify our chain and protocol exposure. While AAVE on AVAX is one of our safest platforms, we can minimize our single protocol risk among recent regulation concerns.

Execution: If we vote to allocate a portion of the treasury to yield farm on Hummus, a multisig will be set up on METIS, the authorized amount will be bridged to METIS, and deposited into the corresponding pool. Rewards in METIS and HUM will be sold and compounded back into the pool.

1. Do not allocate
2. Allocate 100k USDT
3. Allocate 250k USDT
4. Allocate 500k USDT

Read a quick summary of the current state of Metis and Hummus written by SmallCapScience here: https://typefully.com/SmallCapScience/fhtSW1s