P88: Join Liquis as Launch Partner

Summary:

Join Liquis as launch partner to support jFIAT concentrated liquidity on UniV3

Context:

Uniswap V3 allows concentrated liquidity: liquidity that is allocated within a custom price range. In earlier versions, liquidity was distributed uniformly along the price curve between 0 and infinity. This highly increases liquidity efficiency, leading to more volume, and with the potential of supporting stablecoins peg.

Bunni is a liquidity engine for incentivizing Uniswap v3 liquidity composed of two parts:

• Protocol that wraps Uniswap liquidity positions into fungible ERC-20 tokens
• vetokenomics system for incentivizing Bunni liquidity

It enables the creation of gauges receiving emissions while the liquidity is in range. However, the liquidity isn’t actively rebalanced and a gauge can be killed if the liquidity is out of range.

Liquis is a governance wrapper built on top of Bunni that launched a few days ago after one month of pre launch program (similar to Convex & Aura).

Bunni Twitter: https://twitter.com/Timeless_Fi Bunni App: https://bunni.pro/ Bunni Docs: https://docs.bunni.pro/

Liquis Twitter: https://twitter.com/Liquisfi Liquis App: https://www.liquis.app/ Liquis Docs: https://docs.liquis.app/

Motivation

In addition of the pre launch program, Liquis also has a launch partner program, which is closing soon. The goal of this proposal is to explain this program and consider participating with Jarvis DAO. The conditions are 0,1% of LIQ supply vested over 4 years for 10,000$ worth of votes incentives for vlLIQ holders (controlling veLIT voting power).

While the tokens are vested, the voting power can still be used until the end of the vesting duration, further increasing the yield or enabling recycling part of the bribes spent. More information on the program can be found here: https://mirror.xyz/liquis.eth/K_-1jp7sLkylKc2V1XxkK0CObsqyaTq-89yScI4tapo

With the recent P-87 part I about treasury optimization, the goal is to grow protocol owned liquidity on several exchanges. Once the risk framework needed for part II will be approved, creating jFIAT concentrated liquidity pools will end up requiring less capital for the same efficiency. We’ll also be able to create the vlLIQ bribes on Warden Quest, enabling the DAO to clawback unspent incentives if the votes objectives aren’t reached.

If this proposal is approved, the Jarvis DAO will be a launch partner by committing an amount of $10k of votes incentives for vlLIQ holders over the next 3 months and will receive 0,1% of the LIQ supply. A higher amount can be decided but the max duration is 6 months to spend the bribes. Note that the distribution split doesn’t need to be linear.

With Liquis recently launching, the partner program is closing this week. For this reason, this proposal is a bit time sensitive and will be published on Sunday.

Pros of incentivizing liquidity on Bunni/Liquis

Built on top of Uniswap v3 LIT tokenomics are live (oLIT & veBoost) Liquis (Convex-like) recently launched will enable strategy optimisation Launch partner program earning LIQ tokens vested & voting power Updating a range earning rewards can be done by governance Protocol Owned liquidity can reduce costs

Cons of incentivizing liquidity on Bunni/Liquis

Liquidity is not automatically rebalanced oLIT option token design is complex for users (liqLIT improves this) BPT 80/20 design & oLIT redemption create selling pressure on LIT token Bunni gauges can be killed if out of range (Process)

Means

Allocate 10k$ worth of bribes for vlLIQ holders over the next 6 months to receive 0,1% of the total supply vested over 4 years but with voting power available from the start.

Specification

Mainnet multisig address: 0x2CA74be68f0A0e053F030D143C1376806BaBEdc9

Voting options

Yes, join Liquis as launch partner No, don’t join the program Abstain