Thread by @pscltllrd

#PLAAS in action in @CurveFinance on @0xPolygon through the 4eur pool and @DFXFinance

USDC > EURT > EURS > USDC

Profit: +1.81% (almost no gas, thanks Polygon).

A bit more about this arb in a short 🧵and why collab > profits maximalism for bringing more value to Polygon.

1/7

More $USDC would have been made with $jEUR through jarvis.exchange since:

1. there is no price impact with jEUR (I had a tiny slippage on DFX)

2. there is more jEUR in the 4eur pool (so I would have gotten 10 euros more).

2/7

Taking out $jEUR would have indeed be more beneficial for the pool to help the rebalancing process.

But my point is was more to help rebalance the $EURS-USDC pool on @DFXFinance.

Why? Because:

3/7

@DFXFinance is great!

When the pools are balanced they are unbeatable (check their CADC-USDC market... better prices for CADUSD than on Jarvis).

So a better balance in the EURS-USDC pool = better liquidity source for EURS on Polygon = better for the 4eur pool.

4/7

The success of the 4eur pool is about its capacity to remain balanced (ideally 25% of each Euro stablecoin).

If we succeed, we can create the most robust interest-bearing Euro stablecoin on @0xPolygon, and therefore an awesome on-chain Euro saving account.

5/7

Ofc taking out jEUR would have maximized our short-term profits + it would have generated trading fees for Jarvis.

But that's not the point of DeFi. We are not here to create value only for us. We are to provide value to the ecosystem.

6/7

Collaboration is a win-win long-term outcome for the entire DeFi space. Predators behaviour is only good for the short-term.

Long live the 4eur, and go to rebalance the $EURS-USDC pool on DFX! The entire DeFi space on Polygon will be better after that!

7/7