SIP-3 | Strategic expansion on Maverick

Voting options:

• (Option 1) Expand on Maverick, add MAV to the Treasury Composition aiming at 4%, and start strategic acquisition of MAV tokens from the open market.
• (Option 2) Expand on Maverick, add MAV to the Treasury Composition aiming at 4%.
• (Option 3) Expand on Maverick, don't add MAV to the Treasury Composition.
• (Option 4) Do not expand on Maverick.
• Abstain.

Summary: The goal of this proposal is to expand Spiral to the Maverick Ecosystem.

Context: In a nutshell, Maverick Protocol is an innovative & incentivized automated market-making protocol.

Since launching its Dynamic Distribution AMM, Maverick has supported over 2.5B trading volume, with the highest 374% protocol capital efficiency ratio (Volume/TVL). Within 4 months of launch, Maverick has become a major AMM provider in the LST market. It supported the highest trading volume in the LST market yesterday, with over 30% of the LST trading volume on chain.

Maverick protocol also shares Spiral’s core vision — optimizing the market efficiency and making it available for everyone. This is why positioning ourselves in the early stages of Maverick will be a really great move for Spiral.

The suggested expansion includes:

1. Allocating some of the Treasury assets to the pools on Maverick as a part of Spiral’s Treasury Management strategies. This will allow Spiral DAO to increase its share of the MAV token and significantly increase Treasury APR.
2. Allocating a portion of our COIL/USDC POL to Maverick. This will significantly increase our liquidity and will increase the overall utilization of funds. This will also contribute to increasing the yield for our Treasury and accumulating MAV. This step will also increase our POL efficiency and might be useful for redemption mechanisms in the future.
3. Allocating part of our Treasury composition for accumulating MAV aiming at 4% weight to start. veMAV wars are promising to be really big in the next couple of months at least. It looks like in the coming years it’s going to be really close to Curve by the scale, and Spiral DAO definitely should join as Spiral DAO mechanics are closely tied to the vote/incentives market. The earlier we start, the faster we will be able to get a significant share of the veMAV market and become a big player in the coming veMAV wars.
4. Building products around Maverick ecosystem and integrating them into the Spiral ecosystem. There is already some development going on in this area. More on this later. Spiral will be able to get a portion of MAV airdrop from liquidity providing as well as a portion of veMAV for locking part of MAV tokens and possibly an incentive for building on top of Maverick.

Maverick is also going to heavily incentivize protocols after its full launch which will also benefit our strategy both in terms of yield and possible veMAV share accumulation. Maverick Ecosystem Incentive Season 1 (Medium: https://medium.com/maverick-protocol/maverick-ecosystem-incentive-program-95cf76dbfa5e).

Expanding and integrating with Maverick is also a great opportunity for Spiral to increase its influence and role in the ecosystem as well as attract a lot of attention and TVL. Spiral/Maverick integration seems like a logical step for the DAO which benefits both our and Maverick’s ecosystem efficiency and will bring a lot of value for Spiral Community.

Means:

• 4% of the Treasury allocated to collecting veMAV
• Treasury Multisig will have to do multiple transactions for allocating part of our POL as well as other Treasury assets to Maverick.
• Dev contributors will have to work on the smart-contract base for products built around Maverick ecosystem and integrate them into our DAO.

Technical implementation:

• The Treasury Multisig will have to perform several txs:
  • Allocate POL to Maverick
  • Choose strategies and allocate Treasury assets to Maverick for yield generation and MAV accumulation.
  • Regularly perform actions regarding MAV token management such as claiming and voting.
• Building products on top of Maverick requires a new code base, which will have to be audited as well as some changes on the Spiral front.