[GIP-35] Cider'd Final Parameters

EDIT 12.6 - changed cider’d LM to 4 months to match [GIP-36] GEAR/WETH Liquidity Mining - #5 by ivangbi

The purpose of this proposal is to finalize the parameters of the Gearbox Cider’d Bootstrap Liquidity plan (henceforth called Cider’d) here: [GIP-31/1] GEAR Strategy Cider’ed Liquidity

Proposal

The proposal is to launch Cider’d, as outlined in the original proposal, with the following set of decided parameters:

  1. GEAR price range of $0.015-$0.03
  2. ETH commitment range of 2,000 to 3,000
  3. GEAR commitment range of 120 million to 160 million
  4. Audit cost is 16,000 USDC, audit will be done by Chainsecurity, with an intended completion date of Dec 11th.
  5. Multisig Txns can be prepared as early as Dec 12th, with the start of Cider’d as early as Dec 13th.
  6. 2 days to supply GEAR (Dec 13th, 14th), then 2 days to supply ETH (Dec 15th, 16th)
  7. Fair trading period duration of 6 days (Dec 17th-22nd)
  8. Sell fee (withdraw only ETH) starts at 25% day 0 down to 0% at the end of day 6.
  9. Buy fee = 0%
  10. Fee is distributed earmarked for liquidity mining in some form over 4 months (initially thru cider’d liquidity mining contract). LPers during fair trade would also recieve a share of fees, retroactively (6 days proportional to 4 months).
  11. Pay 0xCider 350k GEAR for their work
  12. Curve V2 liquidity parameters will mimic the YFI/WETH Curve V2 pool

Additionally, the DAO will vote on the following parameter:

  1. DAO treasury to commit 400 ETH from strategic round 2 funds IF the ETH side does not meet the minimum by the last hour. The excess will be withdrawn back to the treasury. (YES/NO)

Context:

Most of these parameters have been narrowed down through discussion on the original proposal.

There are also a couple of current ideas that may become proposal in the future that have crossover with this proposal:

  1. There is an initial idea to create a balancer GEAR/FBP pool on balancer or curve, or another liquidity pool on Balancer. Additional pools will be necessary to pursue an oracle and create volume through arbitrage. If the DAO commits 400 ETH from strategic round 2, it would most likely later need to unwind this liquidity to seed the GEAR/FBP pool. See here: Idea: GEAR smol LM proposal - #3 by 0xcider
  2. There is an idea for the DAO to provide guaranteed LM on top of the unknown quantity of fees from Cider’s method. Voters may consider if this affects their views on any of the variables, though general sentiment seemed favorable to the variables listed above.

Voting

There are two YES options - one approving parameters 1-12 and approving parameter 13, and one approving parameters 1-12 and dissaproving parameter 13. Voting will once again be ranked choice because we’re gonna keep forcing it down people’s throats until they understand (and because once again it makes the most sense here).

Option 1 - YES to parameters 1-12, commit 400 ETH
Option 2 - YES to parameters 1-12, do NOT commit 400 ETH
Option 3 - NO to some or all parameters, propose something new.

3 Likes

YFI parameters for reference: [GIP-31/1] GEAR Strategy Cider’ed Liquidity - #131 by 0xcider

Maybe contributors (like DAO members workers) should have been allowed too?

No, we can do gooder.

Reward @ov3rkoalafied here koala: cider-gear.eth
0xBAAcfc49f7E9BFBeE5F87dB65d0AAe2AB7326089
:slightly_smiling_face: