Proposal to whitelist StakeDAO CurveYCrvVoter in Curve’s SmartWalletWhitelist contract, which would allow StakeDAO to lock CRV, participate in Curve governance, and build more sophisticated strategies leveraging Curve.
- StakeDAO is a user-friendly interface for anyone to easily access DeFi strategies.
- StakeDAO recognises the importance of Curve for DeFi, which is why its first strategies are focused on bringing capital into Curve.
- StakeDAO is presenting the case to be whitelisted inside Curve, which would allow StakeDAO to lock CRV and participate in the governance.
→ StakeDAO’s position regarding locked CRV:
StakeDAO intends to maximise its boost through two streams:
- StakeDAO has a strategy allowing depositors to lock CRV tokens in perpetuity.
- A portion of CRV earned from the strategies will also be locked in perpetuity to boost rewards.
Upon reaching a 2.5X boost, StakeDAO will continue locking earned CRV into the VoteEscrow to maximise governance rewards (set at 10% and can later be increased through governance).
It is estimated that over 10M CRV will have to be locked in perpetuity to maximise StakeDAO’s boost.
Allowing StakeDAO to interact with Curve smart contracts will enable StakeDAO and its users to participate in the ecosystem and to build more interesting products with Curve (DeFi lego).
StakeDAO’s objective is to build products on Curve and become a gateway for new users who can in turn benefit from both Curve and StakeDAO’s offerings. Thus, widening participation in both the Curve ecosystem and DeFi as a whole. However, until Stake DAO is whitelisted, the range of products that can be built is very limited, hence this proposal.
This function will enable two things:
- Allow the StakeDAO smart contract to lock CRV
- Allow StakeDAO to participate in the governance
Note: this whitelisting process was designed by Curve to ensure only trustworthy contracts achieve whitelisted status to protect users.
By approving whitelisting, StakeDAO further contributes to the growth of the Curve ecosystem and brings more users who would not easily interact with Curve otherwise.
By approving whitelisting, there will be additional liquidity inside Curve coming from StakeDAO - but StakeDAO thinks it will bring more value than the dilution it causes to other Curve liquidity providers by building strategies which further strengthen Curve’s position as the backbone of DeFi.