sCIP#12 - Adding a Metapool for BUSD, TUSD or PAX

Summary:

There has been arguments that either/all BUSD, TUSD or PAX could benefit from metapools.

Right now gas is over 100 Gwei which has on and off been the norm for several months.
A swap in one of the old pools costs ~$35, a Metapool swaps costs ~$13 (at 20 Gwei, ~$7 vs ~$2.5). For those not familiar, as the older pools are lending pools, they are more expensive to interact with.
As a result those tokens could receive a great amount of small and medium swaps as a result of having good liquidity in a metapool.

We are proposing to test out a metapool on one of those coins to observe if it has a positive effect on volume and liquidity.

Motivation:

BUSD, TUSD and PAX are three medium-large cap stables and currently do not have a gas optimised solution on Curve. In order of volume, TUSD is by far the largest, followed by BUSD and PAX which tends to vary heavily.

For:

Potentially more small/medium swaps
Cheaper swaps

Against:

Will dilute liquidity

Poll:

Snapshot

4 Likes

PAX has limited liquidity currently and would benefit from a metapool. More efficient for low liquidity pools. It’s in a weird place of low liquidity and also high fees for small trades.

2 Likes