This pool uses the metastable pool factory and contains two liquid staking derivatives of ethereum, cbETH and wstETH. The reason for this pool deployment is to replace the composable stable pool implementation of this pairing with a pool which Balancer can continue to collect the fees on properly. Due to the activation of recovery mode, the current pool is being streamed BAL incentives without the DAO being properly compensated for the fees the pool generates. This proposal will effectively activate this new pool’s gauge and kill the current pool’s gauge to foster migration of liquidity to the preferred pool.
cbETH is Coinbase’s liquid staking derivative for ethereum, while wstETH is Lido’s wrapped staking derivative as featured in many other Balancer pools.
Described in the summary, the protocol can collect fees on the metastable pool and not the composable stable pool. Moving the incentives will motivate the liquidity providers to migrate their liquidity to the better pool option for Balancer.
- Governance: cbETH whitepaper linked as governance is not applicapable, wstETH.
- Oracles: See each rate provider contract linked here respectively cbETH , wstETH ,
- Audits: See cbETH , wstETH.
- Centralization vectors: cbETH is from Coinbase and therefore inherently has centralization risks, read the custodial risk section of the whitepaper here. For Lido and wstETH please read here .
- Market History: See cbETH , wstETH
- Value: Balancer will earn the protocol fee on all assets in the pool and so will LPs. The BIP-19 flywheel will incentivize TVL to grow here with trading volume and our staked ethereum pillars will continue to have Balancer as their ideal liquidity destination.
Killing current gauge
If approved, the DAO Multisig
0x10A19e7eE7d7F8a52822f6817de8ea18204F2e4f will interact with the
0x8F42aDBbA1B16EaAE3BB5754915E0D06059aDd75 and call
0xab8f0945 for the
data(bytes) the target
target(address) set to the gauge address 0xe624E9E85A5728072313c4F4720cDF8fD4FFdAFC.