SDGP #6: Create Stake DAO pool on Market Protocol on Polygon

Summary:

We propose to create a Stake DAO pool on Market Protocol on Polygon.

Rationale:

MarketXYZ is an authorized fork of Rari Capital. The Market Protocol empowers anyone to create isolated interest rate markets that enable borrowing and lending of any token based asset which supports the ERC-20 specification. Market is currently deployed on Polygon, Fantom, Avalanche and Moonbeam.

Website: https://www.market.xyz/

Documentation: https://docs.market.xyz/audit-reports

Audits: https://docs.market.xyz/audit-reports

Twitter: https://twitter.com/market_xyz

Discord: https://discord.com/invite/b4NxV28r8X

Medium: https://marketxyz.medium.com/

This proposal aims to create our own Market pool on Polygon controlled by the Stake DAO governance to allow the DAO and users to borrow against the $SDT and $BPT tokens & liquidity pools like SDT/ETH LP. On Market, the design of the pool allows borrowing against $SDT and $BPT tokens and liquidity pools but not allowed to be borrowed, this feature is called ‘protected collateral’.

Create a pool on Market gives also the possibility to set the pool in the interest of Stake DAO and the users, thus, Stake DAO will be able to choose which tokens could be lended, in collateral, protected collateral, but also curve interest rates and the LTV of each token in collateral.

Tokens included in the Stake DAO Market Pool are :

• SDT
• SDT/ETH LP
• BPT
• BPT/ETH LP
• BPT/MUST LP
• PAR
• agEUR
• MAI
• FRAX
• DAI
• jEUR
• USDC
• WETH
• WBTC

Stake DAO Market pool set up:

• As protected collateral:

• SDT -> 60% LTV

• SDT/ETH LP -> 55% LTV

• BPT -> 60% LTV

• BPT/ETH LP -> 55% LTV

• BPT/MUST LP -> 55% LTV

• As collateral:

• PAR -> 70% LTV

• agEUR -> 75% LTV

• MAI -> 75% LTV

• FRAX -> 75% LTV

• DAI -> 80%

• jEUR -> 70% LTV

• USDC -> 80% LTV

• WETH -> 80% LTV

• WBTC -> 80% LTV

Means:

Human resources: Deploy the pool on Market Protocol. It will take less than 1 hour.

Treasury resources: There is no cost for the treasury to create the pool on Polygon

Technical Implementation:

Use the Market Protocol sdk to deploy our own pool. The Market pool will be on the Market frontend.