sCIP#19 - AAVE aStable Pool (aDAI/aUSDC/aUSDT)

Summary:

This proposal would introduce a new pool composed of three tokens: aDAI/aUSDC/aUSDT. aTokens are yield-bearing tokens from AAVE. The pool would allow traders to efficiently swap between those yield bearing tokens to quickly switch into a better yield. Liquidity providers of those tokens will also be able to earn trading fees on those tokens.

They would also offer a new alternative to current yield bearing options on Curve.

Specification:

aUSDC: https://etherscan.io/token/0x9bA00D6856a4eDF4665BcA2C2309936572473B7E
aUSDT: https://etherscan.io/token/0x71fc860F7D3A592A4a98740e39dB31d25db65ae8
aDAI: https://etherscan.io/token/0xfC1E690f61EFd961294b3e1Ce3313fBD8aa4f85d

Poll:

https://signal.curve.fi/#/curve/proposal/QmUqNa5apxgojemsJHhAMnXShahk63kjhYsMVpzKxRxMsv

9 Likes

Makes a lot of sense. This is an easy one to support.

The only thing I wonder is how the pools should be segmented relative to Compound.

This proposal is to create an Aave pool for aDAI, aUSDC, and aUSDT.
This would be similar to the Compound pool for cDAI and cUSDC (when that pool launched there was no cUSDT).

So, I wonder if it makes sense to have an Aave pool and a Compound pool, or to have a Aave/Compound DAI pool (aDAI, cDAI) and a Aave Compound USDC pool (aUSDC, cUSDC) and maybe the same for Tether.

Interesting proposal. To give some background, when users deposit to the Aave Protocol, they get a “receipt”, an interest-bearing yield token, so called aTokens. For example, when you deposit 100 USDC into Aave Protocol, you will receive 100 aUSDC that grows algorithmically in your address balance. Essentially, stablecoin aTokens are permissionless savings accounts which are even quite even in use of payments due to the balance increase nature.

In the past, there has not been a venue to swap stablecoin-based aTokens with deep liquidity, and with the help of Curve community and CRV incentivisation, we might see utility where swapping aTokens would become seamless way to swap your yield from one stablecoin to another. It’s also brings liquidity into Curve and utility for Aave users, bringing the Aave and Curve communities closer together.

cTokens are different in nature and technical implementation, would not see similar value as having a deep aToken stablecoin pool. In terms of technical implementation, I recommend to launch this implementation upon Aave v2, which will include gas efficient aTokens.

Thanks for the Curve community of thinking the Aave fam <3

4 Likes

Yeah, would be interesting to have a curve pool with support for AAVE v2.

2 Likes