This proposal aims to utilize a portion of the SLP to stake on Hedera’s chain to earn interest.
TERMS: 30% of the total SLP funds will be allocated. Within the SLP, 50% from Eth, 50% from BNB will be converted to rUSD.
These funds will remain staked unless one of the following conditions are met:
- Eth/BNB price per coin rises 20% or more, and stays above that for no shorter than 1 week. This will be reviewed on Coin Market Cap. In this instance, BankSocial will unstake the rUSD and convert back to Eth/BNB within two business days.
- The community votes and passes to utilize the funds elsewhere.
Sounds good! I’m all in on growing the SLP💯
Can 30% be locked “Permanently”?
Are they staked together or separate?
What if it needs to be unlocked quickly, can the vote be speed up, or will it always have to go through the process.
30% is not locked. For purposes of this proposal, it’s 30%. We could always decide now or in the future to lock that amount as the total, or increase/decrease. Can always be voted on again to change it in the future too.
Thanks for posting! I suggest that a 20% move triggers a review of the staked funds, instead of an automatic pull. That way the DAO or delegates could make sure the decision is intentioned, instead of automatic
I like it. I would be for allocating more maybe upward to 50% unless we can stake the ETH/BNB not being used as well. Don’t like idle money and we really don’t know when the market will shift - we could be waiting for a couple of years - when in that time it could be making money and growing SLP further. Also I am not sure if it rises 20% and stays for a week is the best criteria - ETH/BNB can easily jump 20% in a week and drop again another week - it’s crypto so too much volatility. I think we might need other criteria - maybe seeing daily increases with sentiment changing over a period of maybe a month. Yes we might lose some in the upward trend but really what I think we are trying to capture is a shift from the bear to the bull and ride back up. If in time they both surpass their ATH (in a bull market) then we just need to catch in early stages when we feel pretty confident it shifted - otherwise we could be playing a game of pulling it out and then putting back in or pulling out and it not increasing much anymore. Also would be ok keeping some rUSD permantelly staked if what John said we are going to see upward to 15% or so in APR. Just my thoughts - overall I want this and think it is an awesome idea to get the SLP making money and paying out, showing people it works - this will drive BSL price appreciation and SLP growth and also being able to show people what we got and how different (it really works) which to me is more powerful then trying to capture ETH/BNB increases but will go with what every we propose if group agrees.
Since it will be on the saucerswap farm as USDC-rUSD (or rUSD-USDC, I am uncertain) it will have to be converted in both stable coins equally.
Since 50% will be eth and 50% bnb. It think it will be best to farm it twice.
1 x with the ethereum part
1 x with the bnb part
This way if either of them move above the 20%, that ‘entry’ can be unstaked easily and be put back into the SLP
This idea is focused on keeping the ethereum and bnb separated, not the % that are proposed.
I hope this makes sense.
I’m all in with the proposal
I have a few questions on the proposal, thank you Joe for the write up!
Does 100% of the yield go back to growing the SLP?
If we do have an active loan request, would the community need to vote to pull the funds or would the delegates vote to pull the funds for said loan?
Would the delegates vote to convert back to ETH/BNB if there is a shift in market conditions?
I think for 1. it is the same staking terms as the exchange liquidity terms - I don’t think that changes regardless what we do with the SLP. But I could be wrong on that…
For 2 the way it sounds is we can unstake/stake what we need at any point. Why I suggest keeping more rUSD until it is needed or market changes. But I could be wrong on that…
Would be nice if we knew what the return is on the staking, do we?
What are the staking conditions, so that we can we stake it ALL and pull it from staking if need arises for loan?
Overall agree to putting the money to work.
I think John said that it could be upward to 20-24% APR on rUSD staking but it is variable in the Telegram chat when we first discussed this.
It also sounds like from other comments and the way proposal written that can stake/unstake anytime - no locking periods.