ARC-19: Incentivise AVAX, SOL & ETH pools

Proposals
1

Summary

Incentivise wormhole-bridged AVAX (wAVAX), SOL (wSOL), ETH (wETH) liquidity pools in Astroport. The purpose of this proposal is to create deep L1 pools of wAVAX/axlUSDC, wSOL/axlUSDC, wETH/axlUSDC in Terra v2 for Terra dApps to obtain TWAPs, Terra users and dApps like Nebula Protocol to diversify to other L1 tokens on Terra.

Abstract

Astroport currently remains the higher transactional volume DEX in Terra v2 and having multiple deep liquidity pools of other L1 assets will maintain its lead as the main DEX of Terra v2. Moreover, having deep liquidity of wAVAX/axlUSDC, wSOL/axlUSDC, wETH/axlUSDC pools will allow protocols like Nebula Protocol to obtain TWAP of these pools & access to these assets on Terra.

In Terra Classic, Astroport has pools for wETH, wSOL, wETH, wsstSOL (LS derivative) & wsstETH (LS derivative). However, establishing too many pools will dilute the ASTRO rewards required to incentivise deep liquidity of these pools.

Motivation

Access to L1 assets will allow Terra native users to diversify their portfolio without leaving the Terra ecosystem and maintaining too many wallets. Creating these deep liquidity pools on Astroport will allow dApps to be built on top of it and making it the default DEX primative on Terra.

Specification

Thanks to @Raimon for setting up the Astroport pools for wAVAX/axlUSDC, wSOL/axlUSDC, wETH/axlUSDC.

The following pools should be incentivised with the same alloc_points as LunaX/LUNA LP:

  1. wETH/axlUSDC LP
  2. wSOL/axlUSDC LP
  3. wAVAX/axlUSDC LP

Copyright

Copyright and related rights waived via CC0 .

Update (28-Jun-22): Added wAVAX/axlUSDC, wSOL/axlUSDC, wETH/axlUSDC pools.
Update (30-Jun-22): Amended proposal to incentivise wAVAX/axlUSDC, wSOL/axlUSDC, wETH/axlUSDC pools.

2 Likes
2

I support the proposal of course,
2 comments:

  • If I am correct, anyone can create those pools as it is permissionless. I would be personally interested to work on that,
  • Would it not be much simpler to have pools against axlUSDC in terms of understanding the price of those assets and compare them / arb them?
3

I’d really like this. Then I can easily dump my Terra 2 Luna as it unlocks and convert it all to AVAX and say bye. :joy: (sorry! Just being honest!)

4

@Raimon , that’d be great. I do not have the technicals to execute this but getting feedback from the forums. Most are inclined to have these pools plus a few more instead:

  1. wAVAX/LUNA
  2. wSOL/LUNA
  3. wETH/LUNA
  4. wAVAX/axlUSDC
  5. wSOL/axlUSDC
  6. wETH/axlUSDC

The first 3 pools could provide good arb opportunities when price fluctuates, for the benefit of ASTRO token holders. On the other hand, Pools 4-6 could be main pools for it to be incentivised with ASTRO tokens to build up liquidity of these pools that are in USD terms.

I will be updating my original post with the comments here.

5

So far I have been able to create those pools:

Now users can (need to) bridge their tokens from other chains and start adding liquidity.

1 Like
6

Great! we need to promote more those new pairs! make instructions how to move through the bridge.

7

That’s fairly simple actually, just use Wormhole (now Portalbridge and beware of scamming sites) and you can move assets from Solana, Avalanche and Ethereum to Terra.