Hi, FEI community,
I’m Théo, core-contributor at mStable.
mStable is a Decentralised Stablecoin Ecosystem composed of a capital-efficient AMM and a high-yielding savings account product.
I am reaching out today to discuss a partnership opportunity arising from the fresh launch of our Emission Controller.
FEI & mStable have been maintaining a long-standing relationship: mStable just partnered with Ondo and FeiProtocol to provide liquidity for the $MTA token using Liquidity-as-a-Service. mStable & FEI are about to release an incentivized Feeder Pool widening the DeFi stablecoin ecosystem
mStable just released its version of the Gauge controller, inspired from Curve’s, which will dictate rewards distribution over the next 6 years (~30m MTA).
All the current Vaults in mStable are represented as dials. Dials represent voting destinations within the Emissions Controller contract, $MTA stakers can determine the amount of MTA which are sent to a dial’s recipient contract.
The upcoming FEI / mUSD feeder pool is a Vault and has already a live dial on the Emission Controller UI (see image below)
We thought it would be highly beneficial for FEI to take on an MTA position and vote for this mUSD / FEI pool, thus directing higher rewards that will inevitably attract more liquidity to the pool.
This is an opportunity to go a step further with shared governance and treasury diversification while bringing significant extra TVL to FEI. It is also a nice way to do a joint marketing campaign highlighting both protocols
We see several options to do this:
- Buy MTA on the open market
- Buy discounted MTA through the current Olympus Pro Bonds offering
- Contemplate a DAO<>DAO token swap for the purpose
- mStable will be emitting 35m MTA over the next 5 years. The amounts redirected per pool will be proportionate to votes
- FEI could opt to stake their MTA. They would be then eligible for subsequent boosts in MTA rewards, following this scheme. In addition, staking would give FEI the opportunity to become a delegate and get some additional votes (i.e extra MTA reward) due to FEI strong brand awareness in DeFi.
- In the case of a swap, the MTA from the mStable Treasury DAO would be exchanged for the equivalent USD value of TRIBE, using the 30 days simple average price at the time that voting ends. Currently 1 TRIBE = 1.091MTA. Price feed could be [[TRIBE/USDT] (Binance) and [MTA/ USD (Chainlink)
- MTA is cheap and the launch of the Emissions Controller is a few days old. We assume it will lead to a lot of competing interests. Getting an early exposure to both right now could be a smart economic bet
- The 500k MTA / Olympus Pro-Bond Program will expire in 4 weeks. It’s an ideal opportunity to buy some MTA at a discount
- The Convex /Curve way of getting inflation is becoming very competitive and unaffordable. This would be a cheaper way to make pools more attractive
Balancer DAO is already on board and will be voting and earning for the first epoch rewards.
Happy to hear your thoughts about this and answer any questions you might have