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Aug 13 13 tweets 7 min read
Interest in over-collaterised, decentralized stablecoins becoming massive. Not surprising.

But there is one stable backed exclusively by $ETH: $LUSD by @LiquityProtocol

It's unique since it can self-fund yield at its own secondary market with $ETH liquidation proceeds.

1/ Stablecoins need liquidity. But the market is showing that StableSwap AMMs cannot properly fund LPs with only swap fees.

APYs on lending markets like @AaveAave are greater than swap fees
2/ So, StableSwap DEXes like @CurveFinance also token incentives to juice LPs yields, motivating them to supply liquidity and maintain secondary market depth for stablecoins.

It's a genesis of Curve Wars: various tokens compete for rewards/liquidity
3/ But, what if there were an option to add yield into AMM pools not from token printing, but from a source of cashflow naturally related to stablecoins themselves?

$LUSD has such a unique option
4/ Whenever a CDP position in @Liquity $LUSD is liquidated, the Stability Pool (liquidator of all CDPs) receives $ETH with a discount, and shares profits with all $LUSD stakers

@bprotocoleth already provides a permissionless automatic $ETH -> $LUSD liquidation solution
5/ But when users stake $LUSD in Stability Pool, since yield there is good, and avoid liquidity pools with lower yield, this can limit $LUSD secondary market liquidity and therefore adoption potential

6/ Is there any solution for that? YES

There is an option to take $LUSD out of an AMM pool, stake it in Stability Pool via @bprotocoleth and collect all liquidation income into AMM alongside with $LQTY rewards.

@BalancerLabs v2 architecture allows PowerPool to do that for you
7/ PowerPool is launching $LUCY, a StableSwap AMM pool consisting of a-bb-USD (analog of well-known 3CRV lending tokens on @AaveAave) and $LUSD

$LUSD is staked into @bprotocoleth generating $ETH liquidations income and $LQTY rewards, all automatically
8/ Here is in-depth piece describing how it works and some simulations on possible trading volumes and income:
9/ [a-bb-USD - $LUSD] Balancer v2 StableSwap pool yield by source vs $ETH price for recent months
10/ This next-gen automated stable yield option is named $LUCY (after the original ape) and will launch soon on top of @BalancerLabs, adding a Gauge via governance to get even more yield
11/ We welcome help for our launch with feedback or information distribution please DM @vasily_sumanov - PowerPool Head of Research

This is an opportune time to push $LUSD volumes and safe automated defensive retail stablecoin yield from $LUCY forward

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More from @powerpoolcvp

Jul 28
Are you ready for PowerPool evolution? Apply to be the first: forms.gle/Hpu9uh1TFeDbf5…

Generalized automation is coming powered by $CVP:
1/ In 2022 automation of smart-contract execution is something essential for Defi.
Now Defi usage workflow is slowly but surely migrating from manual actions ‘by users’ to automated actions ‘for users’ Image
2/ @Uniswap v3 requires automated position shifting, @BalancerLabs v2 require automated tx for asset managers operation, @iearnfinance and other yield aggregators automate yield-generating strategies and Vaults
Read 10 tweets
Jan 22, 2021
🎱 $ASSY will be gradually rolling out starting from today (within 24 hours): medium.com/powerpool/welc…
🎱 Stay tuned for announcement and the legit contract address
🎱 Launch roadmap👇
1/ 🍑The first stage of ASSY launch is the liquidity bootstrap phase. $ASSY initial value is $1.
Until ASSY TVL is under $1M, minting ASSY will be available only using a basket of assets $AAVE $SUSHI $SNX $YFI or directly using $ETH $DAI $USDC $WBTC to protect users from slippage
2/ Rolling out strategy: Dynamic M.Cap-triggered weights changing will be activated within ~7 days after bootstrap.
$AAVE will be used for staking in $AAVE safety module, $SUSHI in SushiBar. Staking activation: when DAMM will be enabled.
Read 5 tweets
Jan 20, 2021
🎱 PowerIndex v2 is coming with Unlimited ETF:
🍑 $ASSY is the first #PowerIndex v2 product based on Dynamic weights changing and $AAVE $SUSHI $SNX staking more about v2 👇
DeFi ETFs shouldn't be limited by what defines a traditional ETF. Sky's the limit. What about complex automatically traded portfolios based dynamically changing weights in AMM based on strategy and triggers? Image
It is necessary for complex ETDs containing LP tokens (aTokens, cTokens, Yearn Vaults, Uniswap/Sushiswap/Balancer LP tokens), complex financial instruments such as futures/options, algorithmic assets. USD Billions TVL is there!
Read 8 tweets
Dec 25, 2020
🎱 Current Progress Github links down below
🎱 PowerPool 2021 Q1-Q2 Roadmap:
🌲 Smart dynamic weighted AMM
🌲 L2 Governance solution
🌲 Self-balancing vault strategies for pooled tokens
🌲 Permissionless indices

1/ Current progress:
🌲 $YFI Yearn Wrapper: github.com/powerpool-fina…
🌲 $AAVE router: github.com/powerpool-fina…
🌲 #PowerIndex Wrapper: github.com/powerpool-fina…
2/ What if AMM will change token weights based on external factors and adapt weights to market situation?
Idea from @gurkin_sergey: change weights based on M.Cap/TVL/ADTV
Read 6 tweets
Nov 30, 2020
🎱 PowerIndex is almost launched! Check out the new web interface – powerindex.io. Today is the liquidity migration day! All you want to know is in this thread 👇
$CVP #PowerIndex #PowerPool #MetaGov
/1 PowerIndex new website (lite ver) — powerindex.io. The old (PRO) version still exists on app.powerpool.finance, new pool will appear in a few days.
/2 The first step for the PowerIndex launch is liquidity migration from the Baby Index. Single-asset liquidity provision option will be disabled for the first hours of the index operation due to tech reasons.
Read 6 tweets
Aug 7, 2020
It looks like each #DeFi protocol issues own governance token (GT) now. But all we know, that minority token holders don't really influence the votes. Tokens from their perspective look really useless...

But, what if they can pool or lend them?🧐
1/ As consequence protocols face well-known "Voters Apathy" problem. For example, @AragonProject @MakerDAO. Often 🐳 own the vote, while a lot of little token holders never use their tokens.
#governance #defi #web3
2/ Accumulation of voting power using AMM and pooling mechanisms will empower minority token holders, provide them income opportunities, and increases participation in governance.
Read 13 tweets

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