TIP-118: PSM deprecation, Incentives withdrawal, agEUR redemption

This is a proposal to perform three technical consolidation tasks on the protocol:

  1. Deprecate the ETH, LUSD and RAI PSMs. Importantly, the DAI PSM will remain fully active and the route through which FEI can be minted and redeemed.

    • The DAI redemption spread is being tightened, with a mint fee of 3bp and redemption fee of 3bp.
  2. Withdraw excess TRIBE from the incentives system, now that is has been deprecated as of ‘TIP-109: Discontinue Tribe Incentives system’ (TIP-109: Discontinue TRIBE Incentives )

  3. Convert all agEUR held in the PCV to DAI and deprecate all related contracts, as part of ‘TIP-110: Simplify PCV’ (TIP-110: Simplify PCV)

It will also transfer the admin of the Aave Tribe incentives controller proxy to Aave Governance at their request and claim the Aura airdrop that the Tribe DAO is eligible for. The relevant code changes are here: DAO vote 2: Incentives, deprecate PSMs, holding PCV deposits, agEUR redeem by thomas-waite · Pull Request #922 · fei-protocol/fei-protocol-core · GitHub .

ETH, LUSD and RAI PSM deprecation

The ETH, LUSD and RAI PSMs are being deprecated in order to further consolidate the protocol and is an extension of initiatives started in other proposals to further consolidate the PCV.

The PSMs will have their assets moved off them, their MINTER roles revoked and will be paused alongside their skimmers.

Going forward the DAI PSM will be the route through which FEIi is minted and redeemed. The redemption spread is being tightened, with the mint fee changing from 0bp to 3bp and the redemption fee from 10bp to 3bp.

5 Likes