I can tell you what’s happening with the underlying liquidity but I can’t tell you how much we can reasonably push AUM w/out too much impact on rebalances (complexity & costs). We just don’t have the visibility or feedback into rebalances currently. Understandable given the constraints.
Here’s what I know:
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The only thing I’ve ever heard about the capacity to grow AUM (from a liquidity perspective) was that we can safely 2x it. That was in May with AUM at around $5m. Since then, units grew about 20% so it seems that we have some room.
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@jdcook helped us look at the units, not dollars in the pools for the underlying. From the 15 tokens in MVI, 4 have lower units today than at launch, one is flat and 10 have more. Out of the 4, the fact that we have a V3 adapter that can be used for rebalances addresses 2 of them.
So, basically, based on the information I have, we have some capacity to safely grow AUM. But my information could be out of date or incomplete.
There’s nothing wrong with maintaining. I just think that we can maintain the pool in its current size with a reduction in incentives based on OA’s analysis and my perception of the LP behaviour.