YIP: Make ETH/YAM New Treasury Purchase Pool

Link to forum: https://forum.yam.finance/t/yip-make-eth-yam-new-treasury-purchase-pool/602

Basic Summary

We propose to update the treasury purchase asset to ETH, remove incentives on the YAM/yUSD pool, add incentives to the YAM/ETH pool, and transition target price from 1yUSD to $1.00.

Abstract

The current YAM/yUSD pair has significant liquidity implications for those wanting to enter YAM, as Uniswap routing creates significant barriers. Once in the treasury, any transaction the treasury wishes to take also requires multiple steps to exit yUSD. By switching the treasury purchase asset from yUSD to ETH, the protocol will be able to solve the liquidity issues and allow for more future flexibility in treasury allocation.

Motivation

Solve liquidity issues and have more treasury flexibility.

Specifications

We would need to make modifications to the rebaser to purchase from the YAM/ETH pool and utilize a combination of the YAM/ETH TWAP Uniswap oracle and ETH/USDC TWAP Uniswap oracle to target a price of $1.00 as opposed to 1 yUSD. Additionally, we would need to turn off the YAM/yUSD incentivizer contract and deploy a new YAM/ETH incentivizer contract (with the same rewards to start).