Proposal to add pufETH Gauge

Gauge Proposal Template:

Summary:

Puffer would like to join the Curve ecosystem by introducing a pufETH gauge. pufETH is Puffer’s recently launched LRT as part of its pre-mainnet stETH deposit campaign and reached $150M TVL in it’s first day.

References/Useful links:


Protocol Description:

Describe the proposed asset(s), the corresponding protocol(s), and historic prices of the token (price must come from the source of highest liquidity).

Motivation:

Puffer operates as a decentralized native liquid restaking protocol native to its ecosystem. Prior to its mainnet launch, pufETH serves as a yield-generating token, mirroring the yield of wstETH, while also providing users the opportunity to accumulate both Puffer and EigenLayer points. With the mainnet going live, the protocol will undergo a transformation, where the existing stETH will be exchanged for ETH. This ETH will be utilized to support Puffer’s decentralized validators. Subsequently, Puffer will evolve into a fully-fledged native restaking protocol. This development enables users to earn uncapped Eigen points and enjoy restaking rewards once EigenLayer AVSs become operational.

Specifications:

  1. Governance: Puffer’s governance and token are not yet live, but the protocol will decentralize this process after the full mainnet launch.
  2. Oracles: pufETH does not rely on an oracle
  3. Audits: You can find our audits here https://github.com/PufferFinance/pufETH/tree/main/audits from SlowMist and BlockSec.
  4. Centralization vectors: Puffer’s was designed to mitigate centralization pressures in Ethereum liquid staking. We strive to build a sustainably decentralized protocol.
  5. Market History: pufETH has no previous history (launched on 01/31/2024) but is functionally similar to wstETH and later will be similar to other LRTs. Since it’s launch yesterday it received $150M in deposits.
2 Likes

Looks good to me! pufETH has been growing exponentially since its launch, and it would be beneficial for Curve to further support them with CRV gauge incentives to build deeper liquidity on Curve.

Gauge vote: https://dao.curve.fi/vote/ownership/600

TVL: https://defillama.com/protocol/puffer-finance