ARC-8: SAYVE<>UST Pool Addition to Astroport with Dual Incentives

Proposals ARC (Astroport Request for Comments)
1

Summary

Add dual incentives to SAYVE<>UST pool on Astroport ($SAYVE & $ASTRO token emissions). The purpose of this proposal is to receive feedback from the community about this idea and gather thoughts regarding the rewards before putting up a poll.

Abstract

Launched on Pylon Gateway on December 21st, 2021, Sayve is a savings and earning protocol built on the Terra Blockchain, with an AI-powered Learn to Earn mechanism. Sayve aims to onboard the next generation of crypto users by helping combat education inflation and rewarding learning.

For more details about SAYVE’s tokenomics, you can check out our website

Motivation

To reduce price impact and volatility for $SAYVE and ensure that our store of value is not subject to price manipulation, the SAYVE community can provide 1 billion $SAYVE as LP rewards, linearly distributed over 4 years**

Specification

In order to grow the SAYVE-UST pool and protect the Sayve protocol’s funds, we propose a dual incentive campaign involving both $SAYVE and $ASTRO tokens.

We propose that the Astral Assembly provides rewards in line with $SAYVE pool incentives which would be equivalent (given the current $SAYVE price) to approximately 1200 ASTRO tokens per day ( 438,000 ASTRO per year).

The estimated dual rewards APR is shown below for various levels of liquidity.(estimated APR values assume that $SAYVE = $0.01, $ASTRO = $1.70)

Liquidity in SAYVE-UST pool SAYVE Rewards APR Astro APR Total Reward APR
$1,000,000 250.00% 74.46% 324.46%
$2,000,000 125.00% 37.23% 162.23%
$5,000,000 50.00% 14.89% 64.89%
$10,000,000 25.00% 7.45% 32.45%
$20,000,000 12.50% 3.72% 16.22%

[EDIT: table info was incorrectly inserted and is now updated]

Copyright

Copyright and related rights waived via CC0 - creativecommons

2 Likes
2

Forgive me if I am mistaken but have we talked about SAYVE before?

It may be useful to speak more towards the token, utility, and factors such as volatility.

While Sayve seems to be a good mission being pioneered in Web3 the ASTRO community must be intentional about what tokens and pools to endorse and support.

At the $1mm and $2mm levels of liquidity it will be the highest combined APR on the protocol - what fees do you intend to set?

3

Hi Fig

Thank you for your reply and feedback.

Regarding fees, the pair is already created on astroport

https://app.astroport.fi/pools/terra1k8lvj3w7dxzd6zlyptcj086gfwms422xkqjmzx

it is a default constant Product xyk with 0.3% / 30bps
The high apr is based on our ample amount of LP incentives and the assumption of the price at $0.01
We are able to do so because there are no seed or VC investors and the majority of the token emission in the 1st year comes solely from Pylon Gateway pools. This gives a lot of flexibility in adjusting token distribution.

To learn more about the token and utility, more details can be found here.
https://medium.com/sayve-protocol/sayve-protocol-tokenomics-2d9800890af1
The volatility initially comes from our product targeting a non-crypto market, where we need early supporters to provide liquidity while our team builds a product for the retail market.

1 Like
4

Ah, I see. Thanks for the clarification here.

Missed it in my initial scan through the pools.

1 Like
5

Based on the above proposal, SAYVE asks for 438,000 ASTRO for our SAYVE-UST pool, which makes alloc_points= 4862, bringing in generator alloc_points total sum to 1,109,862

• SAYVE-UST: 438,000 ASTRO (0.438% of 100,000,000) , alloc_points = 4,862

2 Likes
6

The executable message for this proposal looks like the following:

[
   {
      "order":"1",
      "msg":{
         "wasm":{
            "execute":{
               "contract_addr":"terra1zgrx9jjqrfye8swykfgmd6hpde60j0nszzupp9",
               "msg":"eyJzZXQiOiB7ImxwX3Rva2VuIjogInRlcnJhMWRycmFkdHk0NnpxdW40NjI0cDhhM3NwOWg1amZnOXBod2xnbm0yIiwiYWxsb2NfcG9pbnQiOiAiNDg2MiJ9fQ==",
               "funds":[
                  
               ]
            }
         }
      }
   }
]

The value in msg is a base64 encoded version of the following:

{"set": {"lp_token": "terra1drradty46zqun4624p8a3sp9h5jfg9phwlgnm2","alloc_point": "4862"}}