PR with Payload
Summary
This proposal requests that BalancerDAO transfer 1,499.85 stkAAVE, resulting from [BIP-689] Claim stkAAVe from Linear Pools, to the karpatkey-managed SAFE. These funds will be combined with the existing stkAAVE balance and utilised for yield-generation strategies. karpatkey will present new strategies for DAO approval in the coming weeks to optimise these holdings.
Furthermore, building on the precedent established in BIP-452, this proposal seeks authorization for karpatkey to delegate the resulting voting power to its governance multisig, utilising the whitelisted delegation permission granted through BIP-473. karpatkey will actively use this delegated voting power to advocate for BalancerDAO’s interests within Aave governance.
Motivation
Beyond the inherent yield provided by stkAAVE (currently 4.85% APR), this asset presents further opportunities for yield generation. For instance, stkAAVE allows for discounted borrowing of GHO on Aave. As of this writing, GHO borrowers with stkAAVE can borrow at a reduced rate of 3.59%, compared to the standard rate of 5.13%. karpatkey plans to present a new strategy in the coming weeks that leverages this opportunity, optimising Balancer’s treasury and enhancing its yield-generation capabilities.
Additionally, stkAAVE grants voting power in Aave governance when delegated. Following the precedent of BIP-452, this proposal seeks authorization for karpatkey to delegate that voting power to its governance multisig, as permitted by BIP-473.
It’s worth noting that in September 2023, karpatkey launched a delegation platform and became a recognized delegate for Aave. In the first two months, karpatkey actively participated in over 60 on- and off-chain votes and authored a proposal aimed at aligning the Aave and Balancer ecosystems. In October 2023, BalancerDAO formally recognized karpatkey’s expertise and commitment, selecting us as Balancer’s delegate on Aave through BIP-452.
This delegation will give karpatkey more weight to support initiatives that foster stronger alignment between the Balancer and Aave ecosystems.
Specification
The Balancer DAO Multisig 0x10a19e7ee7d7f8a52822f6817de8ea18204f2e4f will interact with the stkAAVE 0x4da27a545c0c5b758a6ba100e3a049001de870f5 token and call transfer function, passing the karpatkey managed treasury 0x0efccbb9e2c09ea29551879bd9da32362b32fc89 as the “to” address (recipient), and 1499850055174218460000 as “amount”.
Upon completion of the transfer, and based on the delegation permissions granted to the karpatkey-managed SAFE, karpatkey will delegate the voting and proposal power of the stkAAVE tokens to its governance multisig.
Interacted Addresses
| 0x4da27a545c0c5b758a6ba100e3a049001de870f5 | stkAAVE Token |
| 0x0efccbb9e2c09ea29551879bd9da32362b32fc89 | Balancer Treasury managed by karpatkey (Delegator) |
| 0x8787FC2De4De95c53e5E3a4e5459247D9773ea52 | karpatkey governance multisig (Delegatee) |
Disclosure
We have disclosed that karpatkey is the active treasury manager for Balancer DAO.
Copyright
Copyright and related rights waived via CC0.