This is a proposal to allocate the entirety of protocol loaned liquidity (PLL) ($215,000) to the ROWAN:DAI pool.
The council proposes allocating protocol loaned liquidity to ROWAN:DAI because: DAI is a popular over-collateralized defi stable coin with a strong track record (it has never depegged). Different users prefer to hold different stable coins for different reasons. Many spread their stable asset holdings in various tokens as part of a basic risk management strategy. You never know if a stable coin is gonna lose peg, hence people like to have options.
The more quality options we offer our users the bigger the odds that they keep their liquidity in their Sifchain wallets (even if they don’t always pool them) which increases the odds that they’re going to spend or pool that liquidity on Sifchain later on — as opposed to if they were holding those stables on another DEX, like Osmosis.
Our USDC pool is 1M, and FRAX is +600k deep, however our current DAI pool has less than 3k in it and is unusable for anyone swapping more than $5 at a time. With PLL we can fill DAI up so that it also becomes tradable for a broader scope of users.
We motion to allocate PLL to ROWAN:DAI until:
@TechStacker votes yes on this proposal July 5, 2022
@Beyakan votes yes on this proposal
@AB Charlie votes yes on this proposal