[BIP-549] Enable Gauge for instETH/wstETH [Ethereum]

PR with Payload

Summary:

This is a proposal on behalf of InceptionLRT to enable a gauge for instETH/wstETH on Ethereum. instETH is the Restaked Token dedicated to stETH, obtained through InceptionLRT’s restaking mechanism and platform.
InceptionLRT is an isolated Liquid Restaking protocol for Liquid Staking Tokens (LSTs), enabling the restaking of various LSTs with the initial focus on stETH and rETH. Its core feature is the issuance of Isolated Liquid Restaking Tokens (iLRTs) for each restaked LST.

References/Useful links:

Link to:
• Website: https://www.inceptionlrt.com/
• Documentation: https://docs.inceptionlrt.com/
• Github Page: GitHub - inceptionlrt/smart-contracts: Smart contracts, vaults, tokens, and associated tests for the InceptionLRT project
• Communities: https://twitter.com/InceptionLRT, Discord: InceptionLRT

Protocol Description:

InceptionLRT is an isolated Liquid Restaking protocol for Liquid Staking Tokens (LSTs), enabling the restaking of various LSTs with the initial focus on stETH and rETH. Its core feature is the issuance of Isolated Liquid Restaking Tokens (iLRTs) for each restaked LST.
These iLRTs can be freely traded and used in other DeFi protocols while maintaining segregation from the underlying LSTs. This architecture addresses potential risks associated with basket-based LRTs like increased complexity, counterparty risk, and often unclear pool rebalancing rules.
InceptionLRT is specifically designed to bolster the EigenLayer framework by addressing a critical challenge: the issue of liquidity locking in the protocol. This advancement positions InceptionLRT as a key player in enhancing the fluidity and accessibility of restaking in the DeFi landscape.

Motivation:

InceptionLRT aims to enable a gauge for instETH/wstETH to substantially increase the liquidity of instETH, while supporting its utility and viability for integration into a range of DeFi protocols.

Specifications:

  1. Governance: ING holders participate in decision-making, influencing the protocol’s direction and policies, including the Node Operators, AVSs and restaking strategies.
    Incentive Allocation: Through gauge weight voting, veING holders direct incentives and rewards towards preferred liquidity, impacting the protocol’s dynamics.
    Rewards and Participation: Providing ING to liquidity pools like the 80-20 Balancer Liquidity Pools and locking the LP token earns veING, granting access to various protocol.
  2. Oracles: Rate Provider for instETH.
  3. Audits: InceptionLRT undergoes security audits and checks to ensure the safety of user funds. Latest by Veridise: Audit
  4. Centralization vectors: The InceptionLRT Litepaper introduced the vision for Inception as a decentralized system where independent node operators work to power the growth and development of Web3. Further detailed information may be found here: EigenLayer - Inception iLRTs Docs.
  5. Market History: No major volatility - CoinGecko.
  6. Value: The pool is intended to be the primary source of liquidity for instETH on Ethereum and allow for a healthy stimulation of volume.

Pool: 0xe3e0022d25194431a98e8bf5034d2617c96e1d44
Gauge: 0xCDA1B6704B108dF230d2a36da4C088C6afd6f335

Transaction: The Balancer Maxi LM Multisig eth:0xc38c5f97B34E175FFd35407fc91a937300E33860 will interact with the GaugeAdderv4 at 0x5DbAd78818D4c8958EfF2d5b95b28385A22113Cd and call the addGauge function with the following arguments:

gauge(address): 0xCDA1B6704B108dF230d2a36da4C088C6afd6f335

gaugeType(string): Ethereum

1 Like

https://snapshot.org/#/balancer.eth/proposal/0x587297bf1a75f30c9a93955d721c89cd41badc56e529f2443a9905eca11c6e9e