Summary:
This pool uses the ComposableStablePoolFactory-v3 and is composed of two Gearbox linear pools. The underlying tokens are USDC and DAI. These will each be wrapped through Gearbox’s capital provision market to earn LPs additional yield. This gauge would enter as a “core pool” under BIP-19, meaning protocol fees earned by this pool would be used to bribe for votes on it. The gauge can be uncapped based on the contents being all large cap stable tokens. Gearbox’s diverse lending market permits users to borrow for several use cases making the lending market lucrative and beneficial for Balancer LP’s to tap into. Gearbox also allows for lending of various other assets and given this initial case this opens the opportunity for more to come in the future.
References/Useful links:
Gearbox: Link to:
• Website
• Documentation
• Github Page
• Communities
USDC: Link to:
• Website
• Documentation
• Github Page
• Communities - Coingecko link
Protocol Description:
Gearbox is a fully composable leverage protocol where users can provide liquidity as a lender for yield. This is where the boosted source of yield is delivered to the wrapped portion of tokens in this pool. On the opposite side of Gearbox’s market, users borrow assets in order to leverage up in various Defi protocols to participate in farms, and function is a “risk-on” style of investing. USDC is the dollar backed stablecoin issued by Circle. DAI is the decentralized overcollateralized stablecoin by MakerDAO.
Motivation:
Balancer’s ability to increase capital efficiency using linear and boosted pools is taking shape across the protocol. This Gearbox boosted pool fits Balancer’s initiative to be a protocol where LPs can safely tap into external yield sources, while maintaining effective liquidity for swapping. This will earn both LPs and the DAO yield and provide Idle with a place for their wrapped tokens to easily be swapped and deposited as the pool increases in TVL.
Specifications:
- Governance: USDC are centralized and does not have a governance forum. DAI is collateralized by MakerDAO. Gearbox’s governance details can be seen here.
- Oracles: This pool only relies on the rate providers of the linear pools to inform when yield is earned.
- Audits: See Gearbox’s here
- Centralization vectors: USDC is inherently centralized.
- Market History: See USDC here. and Gearbox here.
- Value: LPs & Balancer will earn the protocol fee on underlying bb-g-USD as well as swap fees. BIP-19 will incentivize TVL to continue to grow here with trading volume and this implementation will continue to draw in new volume, as well as showcase the power of these pool types.
Link to pool: 0x99c88AD7dc566616548adde8ED3eFfa730eB6C34
Link to gauge: 0x19A13793af96f534F0027b4b6a3eB699647368e7
Specification
The DAO Multisig 0x10A19e7eE7d7F8a52822f6817de8ea18204F2e4f will interact with the AuthorizerAdaptor at 0x8F42aDBbA1B16EaAE3BB5754915E0D06059aDd75 and call performAction with the GaugeController at 0xC128468b7Ce63eA702C1f104D55A2566b13D3ABD for the target(address) argument and using 0x3a04f900 followed by the gauge address 0x19A13793af96f534F0027b4b6a3eB699647368e7 and the corresponding gauge type for the data(bytes) argument.
data(bytes) : 0x3a04f90000000000000000000000000019a13793af96f534f0027b4b6a3eb699647368e70000000000000000000000000000000000000000000000000000000000000002