The USDC-FEI 1bps is good, but our peg isn’t that’s the issue. This FIP will fix it but we need first get the FEI Saving Rate and/or others solutions to increase DAI reserves (sell RAI, FEI-A vault on Maker, borrow on Aave).
USDC or DAI doesn’t make much a difference as it is arbed by the DAI PSM the same way (flashbots are using the DAI-USDC PSM).