PTIP 82 - A foundation for protocol owned liquidity

Governance PT Improvement Proposals
1

Simple Summary

Open four protocol owned liquidity positions for WETH/POOL on Uniswap V3 mainnet

Motivation

This initiative is the culmination of the Polygon Protocol Owned Liquidity and research from the Treasury Working Group. Recent discussions and links to older relevant materials can be found at A Foundation for Protocol Owned Liquidity

Executive Team Mandate

  1. Withdraw Olympus ETH/POOL V2 position
  2. Send position to TWG multi-sig 0xB74659A1011F6DCA3BA6F6e22a71bA8f414F36A1

Treasury Working Group Mandate

  1. Withdraw 100,000 USDC from PrizePool, swap for ETH

  2. Withdraw liquidity from Uniswap V2

  3. Add liquidity in four ranges to Uniswap V3

  • Range #1 TWAP protection full range
    Price 0 to Infinity
    Amounts 1.5 WETH and applicable amount of POOL (aiming for $10k value)

  • Range #2 Current active trading range
    Price 0.0004 to 0.0012 WETH per POOL
    Amounts ~40 WETH (50,000 USDC swap + UNI V2 withdrawn) and applicable amount of POOL (currently estimated at 95k POOL)

  • Range #3 One-sided POOL range
    Price 0.001 to .01 WETH per POOL
    Amount 200k POOL minus POOL spent in Range #1 and #2. Estimated to be ~105k POOL

  • Range #4 One-sided WETH range
    Price 0.0002 to 0.00045 WETH per POOL
    Amount Proceeds of swapping 50k USDC to WETH and leftover after deploying other ranges (currently estimated to be ~40 WETH)

  1. Send NFTs for liquidity positions to timelock

Proposal Technical Specification

POOL token
Destination 0xB74659A1011F6DCA3BA6F6e22a71bA8f414F36A1
Amount 183000000000000000000000

Custom contract 0xdd4d117723C257CEe402285D3aCF218E9A8236E1
Transfer
Recepient 0xB74659A1011F6DCA3BA6F6e22a71bA8f414F36A1
Amount 100000000000

Custom contract 0xc36442b4a4522e871399cd717abdd847ab11fe88
transferFrom
from 0x42cd8312D2BCe04277dD5161832460e95b24262E
to 0xB74659A1011F6DCA3BA6F6e22a71bA8f414F36A1
tokenID 321228

Status

LIVE OnChain PoolTogether Governance

7 Likes
2

You mentioned on the Discord, that this PTIP is on hold currently, right?
Any update yet ? Really wanna see this PTIP happen and thx to the whole TWG for your great work!

3

PTIP is now LIVE

Notes –

  1. Because of a limitation of the current timelock contract we are not able to use the ETH from the non-stable management diversification. Instead we will be swapping 100k USDC for ETH (previously 50k USDC). In the future the timelock contract will be upgraded to enable using the ETH for other governance needs.

  2. The specifics of the ranges have also been updated to reflect estimates based on current ETH pricing.

  3. The PTIP now also includes transferring a UNI V3 NFT out to ensure there are no complications with the overall plan for the timelock to custody this POL.

3 Likes
4

PTIP-82 has been executed, and POL on Uni v3 has been established.

You can view the [Uni v3 POOL/ETH (0.3%) pool information here]
(Uniswap Info).

POOL ETH POL
POOL ETH POL1374×767 96.8 KB

There is now $120.9k in TVL with ranges set to maintain ample active trading given market movements. Slippage for larger trades has been improved, as Uni v3 is much more efficient.

ETH buy POOL
ETH buy POOL509×607 44.8 KB

The ranges established are all available for review below. You can track the fees earned by the treasury over time and performance of positions.

3 Likes
5

Excellent work team! That’s going to make trades so much more efficient.