https://forum.threshold.network/t/proposal-begin-incentivizing-liquidity-to-tbtc-v2-curve-pool/285
Prior to the official launch of the tBTC v2 bridge we will need to have a plan to ensure a liquid market. Rather than waiting for launch to figure this out, I propose that we preemptively direct incentives towards the tBTC v2 Curve pool.
There are two reasons we should do this:
- As discussed by @mhluongo on Discord, to establish a Yearn vault we need to have rewards flowing to the tBTCv2 pool. Ideally, the most efficient approach would be that we simultaneously do this with Yearn on launch. However, given that Matt’s experience coordinating this with the yearn team has demonstrated this will be a slow process, we should start the process sooner rather than later.
- As we learned with the T launch: being prepared for the launch is incredibly important. Unlike with T, we have the opportunity to prepare the liquidity before we open the bridge with the v2 tBTC in circulation right now. Doing this will help us get a head start and help us incentivize the remaining v1 holders to convert the tBTC.
How much?
I suggest that we start incentivizing with 300k T and adjust upwards or downwards based on results after the first epoch.
Links
Curve tBTC Pool with 300 tBTC v1: https://curve.fi/tbtc
Curve v2 Pool with 0.8 tBTC v2: https://curve.fi/factory/41