Stakewise FLI/sETH2 Liquidity Pool (LP)

@fallow8 @BigSky7 @0xModene @ansteadm @Kiba Thanks for the positive feedback

We will only need to draft an IIP if we are going to allocate incentives to this pool. We also need to be careful because we need to also look at LM opportunities with LIDO as well. What ever incentives we are planning to give for this pool we will have to allocate the same for a LIDO pool.

This is reasonable. We would have to relay with Stakewise and find out when the ETHFLI supply cap will be lifted.

I believe we should always be experimenting with ways to grow AUM with our products.

Correct. The added risk gives sETH2 a unique risk profile. ETH2-FLI/ETH and ETH2-FLI/sETH2 pairs should trade at the same price but this is unlikely because it is dependant on sETH2/ETH maintaining a peg. LIDO curve LP pool is already suffering from this problem you can see the reddit post.

Staked ETH gives you 6-7% annual yield on your ETH. With Stakewise you claim the 6%-7% yield in the form of rETH2 on their platform.

Good question. We wouldn’t because it is the same pool as the Uniswap pool with incentives. It will fragment liquidity. Personally, I believe this opportunity will lead to more ETHFLI being minted to become a sETH2/ETH2-FLI LP because of SWISE incentives and INDEX incentives (if we choose to add incentives). I do not believe ETH/ETH2-FLI LP will migrate because sETH2/ETH2-FLI LP will increase their trading fees because of triangular arbitrage opportunity.