CIP#19 - Meta pools for lower liquidity stablecoins [GUSD - HUSD - USDN - USDK]

Summary:

We are proposing to add new metapools for four stable coins. The metapools are as follow:
[GUSD, [3Pool]] => https://www.coingecko.com/en/coins/gemini-dollar
[HUSD, [3Pool]] => https://www.coingecko.com/en/coins/husd
[USDN, [3Pool]] => https://www.coingecko.com/en/coins/neutrino-usd
[USDK, [3Pool]] => https://www.coingecko.com/en/coins/usdk

This aims at completing the current stable offering of the Curve protocol by adding four more US Dollar stable coin.

GUSD was requested here: [Discussion] Adding support for Gemini GUSD
HUSD was requested here: [Discussion] - Add HUSD Pool to improve the stablecoin lego

Specification:

Metapools allow for one token to seemingly trade with another underlying base pool. This means we could create for example the following pool: [GUSD, [3Pool]].

In this example users could seamlessly trade GUSD between the three coins in the 3Pool (DAI/USDC/USDT). This is helpful in multiple ways:

  • Prevents diluting existing pools
  • Allows Curve to list less liquid assets
  • More volume and more trading fees for the DAO

The Metapool in question would take GUSD and 3Pool LP tokens. This means that liquidity providers of the 3Pool who do not provide liquidity in the GUSD Metapool are shielded from systemic risks from the Metapool.

This would add another three stables from the top 10 USD stable coins as well as USD Neutrino which provides cross-chain interoperability.

Poll:

GUSD: https://signal.curve.fi/#/curve/proposal/QmcYR8u6j7DBhc9DPwQqMjV2mUpVAzbd2tC2TJmCxgkarh

HUSD: https://signal.curve.fi/#/curve/proposal/QmSq2sXZtRADY5cY4Yk5H5Q4BLPv5vNKTdboobrKhviSQU

USDN:
https://signal.curve.fi/#/curve/proposal/QmVZkHHT31L4US1qGaoXoT7p4WHrUiofx57ENv4p8NGAFq

USDK:
https://signal.curve.fi/#/curve/proposal/QmZEGvxE4kDEgw72LdxjgRg9MrzMtJpJgN6ACuSutinD2H

10 Likes

My only concern is for the UI. :smile:

:+1:

2 Likes

I studied them all and I think USDN is the smartest choice.

The community should support projects and initiatives similar to that of Neutrino instead of centralized projects by people who are biased and suspected of fraud + market manipulation.

  1. It is a DEFI. It is audited. It is open source.

  2. It works is a large blockchain ($ Waves) through a smart contract developed by more than 200 developers worldwide.

  3. It does not have centralized ballast, it does not depend on nor can it suffer interference from governments and banks. The Neutrino ballast is the $ Waves cryptocurrency itself.

  4. It has a Staking (APY) of 10 to 30% per annum in Dolar without taxes.

  5. 2-second transaction speed

  6. Rate of 0.00X … cents.

  7. It was created on a non-profit basis and aims to improve humanity.

  8. It is strongly supported in the crypto community as a great store of value against Bitcoin which is volatile.

  9. Works independently, does not depend on human intervention.

  10. It is building a #Defo (Decentralized Forex) where it will implement its technology in all national currencies: EUR-N, BRL-N, CNY-N and even GOLD-N gold. Keeping the same characteristics and potential.

  11. Neutrino provides cross-chain interoperability.

Webpage: neutrino.at
Twitter: https://twitter.com/neutrino_proto
How Work explain: https://twitter.com/search?q=Neutrino%20Crypto_Birb&src=typed_query

Thanks for the feedback, we are proposing to add all coins, not asking people to choose which one they want :slight_smile:

6 Likes

I love this idea. Curve will have new assets on board, and the liquidity of 3 pools is well used.

Then curve will keep the core position in stablecoin trading.

1 Like

Have any/all of the teams behind these tokens indicated they will help incentivize the pool?

1 Like

It depends on what kind of incentive you mean,HUSD team is paying high attention on curve and pools.

As far as I understand, users can earn crv by participating HUSD meta pool (initially, the incentives are from 3 pool,then depends on gauge allocation voting, we will see the option by community). If so, the HUSD team will work with DeFi aggregators/platforms to attract more liquidity/ trading volume from the market to the curve pool.

I believe none of those meta pools have any incentives plans right now.

Incentivizing trade volume would be the most valuable contribution to Curve. We incentivize liquidity with CRV token, but we need volume to back it up. Otherwise we are compensating LPs for nothing, really. Low volume pools just divert CRV away from pools that are doing good work earning trade fees.

Wow, this is an awesome idea! 100% support.

1 Like

From the Meta pool structure, I don’t see “divert CRV away from pools that are doing good work earning trade fees” happening. Since the CRV is still in 3pool, and if more trades happens in meta pool, LPs in 3 pool should earn more trade fees.

So in my opinion, it won’t take crv away, and will bring more trading volume to curve, since traders with different needs different background can come to together.

1 Like

Yes for me.

Great proposal.

No brainer.
Add them all please.

Thanks

Ps. The veCRV holder claim contract should come asap in my opinion.

I think we need to be very careful with adding these semi obscure stablecoins.

One centralized stablecoin could mint a large amount of tokens only to drain the 3pool.

Can we ask them for an audit of a well known firm before proceeding? If not, that’s a no for me.

@ADZ One could only drain the 3pool LP that has chosen to stake in the meta-pool. This is an explicit choice to expose ones liquidity in a meta-pool; it does not expose the entire pool.

1 Like

Not all centralized stablecoin can go BRRRR, if you are saying USDT…which is already in 3 pool. regulated stablecoins should have monthly or daily audits, the backed u.s. dollar assets should be put in bank or trust first then they can mint stablecoin. So, those stablecoins can not be printed from air.