This proposal would create a Curve LTC pool and introduce incentives for LTC to be moved on Ethereum. Adding a pLTC/sLTC pool would enable opportunities for LTC holders into Ethereum’s DeFi and grow liquidity for the Curve protocol.
Liquidity mining initiatives are populating Ethereum’s DeFi. While the focus is on Ethereum-based and Bitcoin-wrapped assets, Litecoin holders are currently excluded from the DeFi ecosystem.
Introducing an incentivised Curve LTC pool would increase the amount of LTC moved to Ethereum, while enabling farming opportunities for LTC. Additionally, it would increase liquidity for the Curve protocol.
A liquidity mining initiative for LTC on Ethereum would give the Litecoin community the possibility to join in the DeFi ecosystem, while creating a benefit for Ethereum’s DeFi expressed in terms of added liquidity locked in it.
Adding a pLTC/sLTC pool would attract more liquidity to Curve and users would be able to swap between two transparent LTC on ETH token representations. One of the oldest crypto communities, Litecoin is a top10 cryptocurrency in terms of trading volumes contributing over 2 Billion daily volumes to centralized exchanges (average over the last month according to coinmarketcap.com).
The aim of the proposal is to move LTC liquidity to Ethereum and to increase liquidity for the LTC trading pair on Curve.
The pNetwork DAO has voted in favour of incentivising pLTC liquidity providing on Ethereum. If passed, this proposal would create a pLTC/sLTC pool on Curve and activate incentives coming from both pNetwork and Curve.
The Curve pLTC/sLTC pool would be set up following the standard pool specifications of Curve pools.
pTokens LTC is a tokenised asset part of the pNetwork ecosystem. It is a 1:1 pegged representation of LTC on Ethereum (audited codebase and transparent cross-chain process).
Synthetix LTC is a synthetic representation of LTC on Ethereum.
If the proposal is passed and the pLTC/sLTC pool is added, the pNetwork DAO would incentivise the Curve pool distributing pLTC to everyone providing liquidity to such a pool. Such an incentive would encourage LTC holders to put their LTC at work on Curve and receive pLTC as a reward. The pNetwork DAO will distribute up to 60% APY for 60 days with a commitment of 100,000 USD/month worth of pLTC.
If the proposal is passed, the pLTC/sLTC pool would be created with additional incentives in CRV for everyone providing liquidity to such a pool.
This would bring more liquidity to the Curve protocol as well as moving LTC liquidity into Ethereum’s DeFi.