SSV-ETH Uniswap v3 Liquidity Pool Proposal

[SpookyG]

This proposal is up for vote on Snapshot: GO VOTE
https://snapshot.org/#/mainnet.ssvnetwork.eth/proposal/0xf7403acc3524836832e1ff4f7bda8993783e685c24b3b3ae17cdb2b96a87dd8b

Proposal Overview
This is a proposal for the DAO to add liquidity to the SSV-ETH Uniswap v3 Liquidity pool on mainnet.

Motivation
The current slippage on Uniswap is very high due to the lack of liquidity. As such, it is of utmost importance to deepen the liquidity for the SSV-ETH trading pair.

A Uniswap v3 pool has already been initialized by the SSV community and as Uniswap is also aligned with the core SSV values this should be the chosen DEX to start.

Mechanics
Uniswap V3 SSV-ETH liquidity pool shall be funded on Ethereum Mainnet by the multisig committee and will not be actively managed as “Full Range” shall be chosen (0 to infinity price range).

SSV DAO shall supply $500k of SSV and $500k of ETH according to CMC on day of liquidity pool funding.

0.3% fee tier shall be used.

SSV from the Blox DAO Grant shall be used. ETH from the DAO Partner Program shall be used. If the DAO does not have enough ETH, it shall sell USDC on Uniswap to aquire the needed ETH.

The resulting LP Token shall be held by the DAO and any and all rewards belong to the DAO.

Execution
Ensure DAO has $500k worth of SSV and $500k worth of ETH.

Open “APPS” in Gnosis Safe
Choose WalletConnect app

In a separate browser tab, go to https://app.uniswap.org/
Click “Connect Wallet” and choose WalletConnect
Click on “Copy to clipboard” below the QR code.

Go back to WalletConnect in Gnosis Safe and paste the copied data

The Connection to Uniswap V3 has now been established.

Go Back to Uniswap and select “Pool”
Click “+ New Position”
Under “Select Pair” choose SSV and ETH. If SSV is not already Imported search SSV and click “Import”. Click “Import” again.
Under “Deposit Amounts” input 500k$ worth of ETH. Equivalent SSV will automatically fill.
Ensure 0.3% fee tier is chosen
Click “Full Range” and Click “I understand”
Click “Approve SSV”

Go back to Gnosis Safe and Complete the transaction, wait for the transaction to complete

Go back to Uniswap, and click “Preview”
Click “Add”

Go back to Gnosis Safe and Complete the final transaction

I intend to submit this proposal for voting on snapshot Oct 29, 10AM UTC
Edit: Submitted

[fod]

I agree that we need at least one pool with decent liquidity. I hope that the market will naturally add some soon, but if not, this is a good option. However, logistically, the DAO does not have any SSV to add without minting it, correct? Is that something that the community wants? (minting $500k of SSV)

[SpookyG]

I think it’s a bit of a chicken and egg problem, if there is no liquidity people won’t trade, if people don’t trade there is no incentive to add liquidity. We saw this with CDT as well.

No minting is needed, DAO should have 500k SSV (~$7M USD) at it’s disposal From the DAO Grant by Blox.

If the DAO Partner program vote goes through the DAO should also have enough ETH at it’s disposal to initiate the pair so no need to dump SSV either.

[satoshimonkey]

I agree this.
“SSV DAO plays a major role in the success of the network.”
For the network to succeed, it must also provide access to investors in the US territory who do not have access to Binance.
I believe that 500,000 USD of SSV & ETH will be the cornerstone of a great Liquidity and can give the market a boost.

[fod]

Yes, you are correct. I missed that detail in the article.

I agree with this proposal and think having a healthy market that is accessible to all is critical to the project. This base of liquidity should be a good start.

Also note that these deposits should earn a significant amount of income and can be withdrawn at any time in the future if no longer deemed necessary to the market.

[AdamBlox]

Hi, thanks for the proposal. I think its missing some details:
What is the price range for the pair?
Who manages the price range if we need changes?
Liquidity tokens and fees should be held by the DAO
Who executes the transactions on behalf of the DAO? Blox team?
What is the fee we should set for the pool? standard 0.3%

Better be as specific as possible

Good start

[fod]

The price range is “Full Range”, which means 0 to infinity. You’ll see the option to select this when you go to add liquidity. You won’t need to manage the price range.

I think the Blox team should execute these transactions.

The 0.3% fee pool should be the primary pool. Plus it’s already been initialized.

[satoshimonkey]

I totally agree with fod’s opinion, and I think it would be nice if the voting on the snapshot could be start as soon as possible.

price range is full range, and blox Team should execute transactions. (Because, we must use DAO treasury ETH)

[AdamBlox]

Noted, the DAO belongs to you guys. If you want it in snapshots faster. All you need to do is upload it there. Again, please try to edit the proposal so it will have all the necessary details for the Multisig committee to execute it in case it passes

[SpookyG]

I can’t seem to edit the post anymore? I have flagged this post for moderation, I will edit the proposal based off your feedback when I am able to edit this post again…

[AdamBlox]

we didnt change anything on admin level. Let me know if you need me to double check

[SpookyG]

yeah I still cant edit the post

[AdamBlox]

Strange, can you reach out to me on Discord? Ill try to solve the issue

[SpookyG]

I have edited the proposal to include your feedback, made the mechanics section a bit more specific. Please take a look and tell me what you think!

[satoshimonkey]

That’s a very good suggestion. Let’s start voting by suggesting to the snapshot.

[caikn]

Why is there no USDT transaction on coin

[caikn]

请问什么时候才能在币安上有usdt交易兑，管理

[alonmuroch]

@SpookyG Not sure if it’s needed (or if I’ve seen it anywhere) but it will be much easier for the multisig committee to execute this proposal (if and when it passes) if there are precise instructions.
What do you think?
(just a suggestion)

[BenAffleck]

I agree with the proposal. Looks good to me.

Just out of curiosity: Why use the SSV DAO grant instead of buying SSV on a CEX (volume, price, liquidity)?

[satoshimonkey]

In the same sense as a treasury stock buyback, it seems okay to purchase and supply SSVs that are currently undervalued.