The sCoop - Contributor Newsletter - 2022.03.15 Tuesday

Fresh Owlpha, curated daily. This is @HOWweDAO . (previous issue )

Today’s main event: icETH, ETH + 12%, man.

Tomorrow, the day kicks off with a Basis Trading Community Call (product launches are ramping up!) and then join the Owls, Wise and otherwise, at the Leadership Forum.




Finance | YouTube:

Ice, ice baby :ice_cube:

icETH Community Call slides | recording available soon (in GDrive)

Do you like ETH? Do you like yield? Meet icETH.

ETH is the most prominent, liquid, and investable asset in DeFi today. Where do you go when want some extra yield? The most prominent options today are staking ETH - either directly or through Lido stETH - or depositing into Yearn vaults. As a result, investors must sacrifice either liquidity, utility, or yield.

BUT things got spicy when stETH was unlocked as collateral in Aave v2. We can now unlock a tokenized leveraged liquid staking strategy to multiply the yield token holders can earn on ETH in a low risk fashion. YIELDS UP TO 12%, or 2.5x the current yield vs stETH. Because of the low currency and liquidation risks, this product is significantly safer than other leveraged products like FLIs.

The product will employ a recursive strategy that lends and borrows stETH and ETH respectively until achieving the target leverage ratio (3.25x).
icETH will be composed of 60% astETH (collateral) and 40% amWETH (debt). It will rebalance in an automated fashion when the leverage ratio moves outside of the safe range (3.15x - 3.35x).

Do you have any spare ETH you’re looking to grow? I know I do. So do everyday DeFi users who want a higher yield without managing collateral and debt positions. So do DAOs wanting to enable idle ETH sitting in their treasuries. And so do institutions who want compounding ETH without executing a sophisticated strategy.

We love the “ultra-sound money” meme :loud_sound: :bat: , but winter is coming. Here comes icETH :ice_cube:. The best and easiest way to get more gainz on your ETH.

Wednesday Meetings: (UTC/1-hr, UON)
1400 - Basis Trading Community Call
1700 - BD Pod Internal Sync
1900 - Leadership Forum

Daily OWLpha: “The best DAO tools don’t introduce entirely new ways of working. They codify patterns that already work” - @chaserchapman