Summary:
A proposal by the DefiDollar team to create a Curve pool for Aave sUSD (aSUSD) and Aave Dai (sDAI) stablecoins.
Motivation:
The proposed pool will be of particular interest to decentralization maximalists and users who want to hedge against any particular centralized stablecoin failing while also capitalizing on the following:
-
Trading fee from stablecoin price fluctuations.
-
Having Aave tokens instead of vanilla coins will maximize capital efficiency.
-
Capture the momentary upticks in yield of a particular underlying asset i.e. it is common to see Dai, sUSD, giving out 30%+ APR but only for a few hours.
-
Farm $CRV - may choose to lock it to gain voting power and boost.
Relevance to DefiDollar ($DUSD):
DefiDollar is a meta stablecoin index backed by Curve LP tokens. It aims to provide the easiest way for users to store value in stable digital assets while accruing returns from the underlying DeFi Protocols. To that end, a protocol integration with a decentralized stablecoin pool was proposed earlier, however instead of a smart balancer pool, a curve pool will be more beneficial owing to a superior AMM for the said purpose.
Poll:
https://signal.curve.fi/#/curve/proposal/QmUkxrTf5HFSHguJhXzXcZumLGVLxrGzNRYSGkRpymJH4o