The aim of this proposal is to establish a new satellite city pool that provides yields for the farmers through deposition of $Boring, which can be redeemed at anytime. This will allow BoringDAO to further collaborate with Sunder protocol to provide a solution that enables participants to enjoy the voting rights while being able to bear interest. The yield of this farm will be sourced from the Manifest Destiny. In this way, there will be no effect on $Boring inflation. At the same time, this new pool can attract more $Boring to be staked, which will increase tunnel capacity as well.
Option A: a new pool will be established
It will not only allow participants to gain yields through deposition of $Boring straightaway but also redeem the interest at anytime. Compared to pptoken pool, pptoken holders have to wait for 24 hours to redeem the extra mint fee rewards. Currently, the product made from pptoken-obtc is about 110,000/day, pptoken-oltc 30,000/day, pptoken-oDoge 10,000/day. With the establishment of the new farm, the product made will be composed of pptoken-obtc 100,000/day, pptoken-oltc 22,500/day, and pptoken-oDoge 7,500/day.
Option B: no Boring farm will be established
No emission rate will be changed. But farmers will not be able to bear interest through deposition of $Boring and acquire redemption at anytime. The collaboration with Sunder Protocol may not move on.
Regarding Sunder protocol, they are incubated by Sushi and Nsure, both of which are our partners. Briefly, it can split project tokens, such as $BORING, into 1:1 governance tokens + income tokens. If you want to know more, more details can refer to: https://sunder.finance/
In addition, we hope that the pools of oLTC and oDoge can be moved to the satellite city to increase the tunnel capacity of oBTC, and the reward will remain unchanged.
This will be a win-win solution, as our token emissions remain the same. At the same time, token holders can enjoy earning yields without sacrificing on voting rights. The collaboration with Sunder protocol will allow users to mine Sunder, while Sunder can also gain support from our project
Supplementary Plan - reduce pledge ratio from 115% to 105%
Recently, the tunnel capacity has reached maximum limit and we’ve been actively seeking possible solutions. The current tunnel capacity is about 1203.058 oBTC, which worth of $57,285,062.4, and the total value of collateral is around $65,877,821.7 under a pledge ratio of 115%. (1) If we reduce the pledge ratio from 115% to 105%, we can increase the tunnel capacity by $5,455,720.2. (2) Besides that, the establishment of the Satellite City pool will encourage users to move oLTC and oDoge from the Wild West pool to the new pool. (3) Also this new pool can attract at least 20,000,000 more $BORING to be staked, thus will further increase the tunnel capacity. Overall, we estimate the total tunnel capacity can be increase by around $10M. We recognize that reducing the pledge ratio is the last option, and if the capacity issue gets solved this time, we promise that we won’t consider reducing the pledge ratio again for a long period of time. If anyone has any thoughts to increase the tunnel capacity without reducing the pledge ratio, please feel free to make suggestions/comments.
