Summary:
This pool uses the ComposableStablePoolFactory-v3 1 which addresses the reentrancy vulnerability disclosed during February 2023. This gauge is uncapped, and would enter as a “core pool” under BIP-19. This means 65% of 50% of yield generated by this pool is to be used for bribing for votes on it via Hidden Hand. The remaining 35% goes to Balancer DAO as revenue.
This proposal is for a new pool rETH / bb-a-wETH to be created on Arbitrum.
References/Useful links:
Protocol Description:
This pool utilises rETH and linear pool bb-a-wETH which deposits wETH into Aave v3 wETH reserve. The linear pool utilises a wrapper developed by Aave Companies.
Motivation:
The rETH pool on Ethereum is one of our most profitable pools in terms of fees earned per dollar of emissions. More rETH liquidity on Balancer should have a positive impact on Balancer’s revenue generation and TokenLogic expects liquid staked ETH to be quite popular on L2’s. This pool is a progression along the journey of capturing this new market.
Incorporating the bb-a-wETH will lead to additional revenue to Balancer DAO and also additional incentives flowing through to Hidden Hand which veBAL holders can benefit from.
Specifications:
- Governance: Please see this guide which outlines Rocket Pool’s DAO structure.
- Oracles: Arbitrum rETH Oracle, see here
- Audits: For Rocket Pool and Aave v3, see below
Centralization vectors: Rocket Pool is a protocol for decentralized and trustless ETH2 staking.
Value: Balancer will earn the protocol fee on rETH yield and deposit yield generated by Aave v3 on Arbitrum via bb-a-wETH.
It is our goal to make this the highest TVL pool for rETH on Optimism. Once we have the new weighted pool factory we will create additional pools with rETH that will help increase it’s usage on Optimism, thus creating more swap fee revenue in addition to the protocol fee we apply to rETH’s yield.
Details:
Link to Pool: rETH / bb-a-WETH Pool
Link to Gauges: rETH / bb-a-WETH GaugeThe 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 0xad2632513bFd805A63aD3e38D24EE10835877d41 and the corresponding gauge type for the data(bytes) argument.
data(bytes) : 0x3a04f900000000000000000000000000ad2632513bfd805a63ad3e38d24ee10835877d410000000000000000000000000000000000000000000000000000000000000004
Disclosure:
This proposal is the sole work of @Llama contributor, @Matthew_Graham, via the legal entity TokenLogic. Llama is a Service Provider to Aave DAO.