Liquidity Mining Pools (February)

DefiDollar team would like to propose incentivized AMM pools and their respective weekly allocations for the month of February. According to the community token release schedule, 1.8 million DFD will be mined in the month of February. So, 1.8m/4 = 450,000 DFD per week.

We propose to incentivize the following pools along with their respective weekly allocations.

  1. Curve DUSD Metapool - 120,000 100,000 DFD (+ CRV)
  2. Balancer DFD/DUSD - 100,000 DFD (+ BAL)
  3. Sushi ETH/DUSD - 100,000 DFD (+ SUSHI)
  4. Sushi DFD/ETH - 80,000 85,000 DFD (+ SUSHI)
    We will be introducing a new joint liquidity mining contract to mine both DFD + SUSHI. This contract is currently under review by sushi devs.
  5. DFD Staking vault (ibDFD) - 20,000 DFD
    Weekly incentives for DFD Staking vault are in addition to the buyback amounts. This is to encourage staking until the buybacks are sufficiently high to sustain the vault independently.

Note that the uniswap pools are being retired.

Ecosystem Partners
We are onboarding new ecosystem partners, to tap into communities of other projects and bring more visibility to the $DUSD stablecoin. There will be joint liquidity mining with these projects.

  1. Frontier - Frontier is building a chain agnostic DeFi aggregation layer. They are working on integrating all DeFiDollar products into their wallet; essentially surfacing DeFiDollar suite of products to their entire user base. FRONT/DUSD pool is being incentivized with 15,000 DFD and 25,000 FRONT every week for the next 3 months.

  2. StakeDAO - A new multi-service DeFi platform built by the community. Folks at StakeDAO have been super helpful in our product development and are excited about jointly incentivizing an SDT/DUSD pool. The pool is being incentivized with 15,000 DFD and 5,000 SDT every week for at least the next 1 month.

Insurance Mining (Updated)
We are allocating 15,000 DFD per week for insurance mining with CoverProtocol.


Do we have a decent idea the APR on the staking vault without the 20k rewards? I think the logic makes sense to incentivize the stakers and provide a liquidity sink but I wonder if using it for growth instead with my partners would have a greater value. If I recall APY is 200%?

Has there been any discussion regarding incentivizing minting?

For the past month, DFD vault has had 30k DFD incentive.

  • APY sampled from last week = ~170%
  • At the current staked supply of 3.57m DFD, that makes for ~43% APY from incentives alone.
  • Reducing incentives from 30k to 20k DFD will lead to ~28% APY or less if staked amount increases. So, still a net APY of ~150%+.
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