PR with Payload
[BIP-819] Enable Aave Boosted osETH/aWETH Gauge on Balancer v3 Arbitrum
Summary
Proposal to add gauge support for the new osETH/aWETH Composable Stable pool on Balancer v3 for Arbitrum.
References/Useful Links
Protocol Description
StakeWise is a DeFi protocol that provides a simple, non-custodial, and secure way to stake ETH and GNO, while preserving access to DeFi through liquid staking tokens such as osETH and osGNO. It enables users to not only stake but also farm, restake, and borrow against their staked assets.
StakeWise V3 introduces a permissionless staking marketplace that allows users to choose their own node operators, optimize staking profits, minimize slashing risk, and even operate their own Vaults. Vaults are isolated, trustless staking pools that offer fully customizable staking terms, ensuring a tailored and secure staking experience for individuals, DAOs, and institutions alike.
At the core of StakeWise V3 is osETH — a liquid staking token that offers in-built slashing protection and accrues rewards from a highly diversified network of validators. osETH minting is dependent on the Vault’s LTV ratio, with standard Vaults allowing minting up to 90% of the staked ETH value, and DAO-approved Vaults offering up to 99.99% LTV, backed by stringent requirements and a 5M SWISE bond for enhanced security.
StakeWise DAO, governed by SWISE token holders, oversees protocol parameters, operator standards, and Treasury management, ensuring that the protocol remains community-driven and secure.
For more details, see the StakeWise Documentation.
Motivation
TokenLogic has been working with StakeWise to adopt an Aave Boosted pool upong migration liquidity from Balancer v2 to Balancer v3. The new Aave Boosted Pool will significantly enhance the capital efficiency of the osETH liquidity pool and provide liquidity providers access to yield from Aave.
The new osETH/aWETH pool will replace the existing v2 pool as the primary liquidity venue for osETH. The new Aave Boosted pools will offer superior capital efficiency with WETH deposits earning yield from Aave and greater liquidity concentration, from a higher Amplification factor, is expected to enhance liquidity depth, thereby providing a better user experience whilst also generating a cost savigns for StakeWise.
A gauge is critical to bootstrap TVL, strengthen liquidity depth, and support broader DeFi integrations for osETH, helping it become a core building block for staking-related strategies across the ecosystem.
Specifications
1. Governance
The StakeWise protocol is governed by the StakeWise DAO, with all decision-making power vested in SWISE token holders. Protocol upgrades that involve upgradable contracts must undergo a community vote, followed by multisig approval, ensuring a transparent and decentralized governance process. Core infrastructure components, such as the osETH token contracts, are immutable, providing additional security and resilience to the protocol.
2. Oracles
StakeWise leverages a decentralized and independent oracle network consisting of 11 established staking service providers. These operators are bound by service-level agreements (SLAs) and are responsible for accurately and reliably reporting validator balances to the protocol’s smart contracts, ensuring transparency and operational integrity. More information here.
3. Audits
StakeWise V3 has been audited by Halborn, Sigma Prime and Consensys. All the audits can be found here.
4. Centralization Vectors
StakeWise is designed to minimize centralization risks. Governance decisions are executed fully on-chain by SWISE token holders, while the oracle network is decentralized across multiple independent and reputable staking operators, ensuring robust security and trustlessness at every layer of the protocol.
5. Market History
This is a new Balancer v3 pool specifically created to provide osETH liquidity paired with aWETH (Aave-wrapped WETH). The V2 pool has been doing great for the past two years and has grown to be one of the biggest Balancer pool by TVL.
cf: Balancer V2 Pool, Eth
6. Value
The osETH/aWETH pool will serve as the primary liquidity hub for osETH, enabling seamless integrations with major DeFi protocols that use aWETH as a base asset. Establishing deep liquidity in this pool is critical to facilitating efficient swaps and expanding osETH’s utility.
Specification
Enable Gauges
The Balancer Maxi LM Multisig ‘0xc38c5f97B34E175FFd35407fc91a937300E33860’ will interact with the GaugeAdderv4 at ‘0x5DbAd78818D4c8958EfF2d5b95b28385A22113Cd’ and call the addGauge function with the following arguments:
- Pool address: 0x1a36195044abbad8807ceea78ec645c0c5d09593
- Gauge(address): 0x0fc6169f74b1d0bbe7a269c1ee8d92edb58b1ade
- GaugeType(string): Arbitrum
Maxi Edits:
- added pool address
- added gauge address
- add payload