Proposal #415
Passed on 02 Feb 2023 with 88.4% of the votes for yes.
Yes
88.4%
99.5% without abstain
Veto
0.1%
of votes cast
Ended
02 Feb 2023
88.37%
of votes cast
11.21%
of votes cast
0.36%
of votes cast
0.06%
of votes cast
This proposal would transfer 310,000 OSMO from the community pool, to be used as pool rewards over 90 days in order to bootstrap Mars liquidity on Osmosis.
Mars protocol is a Money Market and Credit protocol initially launched on Terra that will be launching a Cosmos chain as the hub of its operations for the IBC network. Mars' first outpost of operations will be on Osmosis as the home of the deepest liquidity across IBC and enable users to lend, borrow and earn against Mars governance gated credit lines.
Mars protocol wishes to quickly build liquidity on Osmosis to provide stability for the governance of their credit module and proposes that it is in Osmosis' interest to assist in funding this stability to ensure the security of and smooth operation of its outpost.
At the time of the Terra De-peg (May 7, 2022), the Mars fully diluted market cap was $797 Million, with a contained liquidity of [Hidden link]. The Mars token itself had [Hidden link] liquidity in the MARS/UST Astroport pair, the dominant Terra exchange. Under current market conditions, and the average trading value in the post-depeg climate, a MARS pool liquidity of around $3.4 million should still be achievable. [Hidden link].
In order to achieve this rapidly and establish Osmosis as the primary marketplace for the Mars token, as well as ensure that the first outpost is established on solid ground, this proposal asks for a spending of previously redirected incentives to provide bootstrapping rewards for the MARS/OSMO pool.
A community pool spend of 310,000 OSMO will be allocated to 14-day bonding within the OSMO/MARS pool over 90 days. This should cause liquidity to quickly reach the post-depeg levels of liquidity based on the current Osmosis value, the average price of the Mars token after the UST depeg, before the pool APR becomes comparable to alternative pools of this size. This spend should be considered to be a deployment of incentives previously redirected from normal OSMO incentives to the community pool.
The managing wallet is a 2/3 multisig formed of:
Lend, borrow and earn with an autonomous credit protocol in the Cosmos universe. Open to all, closed to none.
Website: [Hidden link]