FIP 32 - FRAX to participate in Vesq Token Launch

Summary:

Vesq.io is an Olympus inspired project that seeks to be the reserve currency of the Polygon ecosystem. Their prelaunch event has allocated FRAX protocol an allotment of pVESQ tokens to purchase. This proposal is to use $300,000 of AMO profits that accrue to the balance sheet to swap for pVESQ that has been allotted for our protocol.

Background & Motivation:

The Vesq Protocol is a reserve currency system being built for the Polygon ecosystem. Vesq is going to use FRAX as one of its predominant stablecoins in its treasury and issue VESQ-FRAX bonds at launch. FRAX is also going to build out its Polygon ecosystem with Vesq in lending markets, liquidity, and hopefully other collaborations to come. FRAX developers have talked to the Vesq core team multiple times.

FRAX protocol earns ~$400,000/day from AMOs. Thus, we can swap FRAX stablecoins earned as profit to participate in the Vesq.io launch and show our support. This would also be a great DAO <> DAO opportunity as it aligns both protocols to grow together on Polygon.

For: Purchase pVESQ for the protocol to balance sheet

Against: Do nothing

3 Likes

i want to say with all ohm inspired forks, One key factor is it what the community makes of them to ensure they are successful or not, since frax is in at the bottom the risk to reward ratio is quite heavily skewered in its favour

If frax and vesq community members 3, 3 then it would do fine from an investment standpoint

Perhaps an AMA with their founders with the frax community would be a good idea first? To get more knowledge on them and their plans

1 Like

Hello Coud, Syed here one of the founders of Vesq, I totally agree with you, the community is key for a protocol of this nature to succeed, we feel as though we are building a solid community base so far (come join our discord), we have done 0 paid marketing/shills and have communicated with the community what is expected, I am totally down to hold an AMA with the FRAX community to better understand Vesq’s mission and we can align ourselves between FRAX and Vesq on Polygon.

We are big fans of FRAX and would like to thank Sam, the team and the community for this opportunity!

2 Likes

i would like to learn more about this project and its team.

but its $300k, so even if it implodes we dont really have much at risk.

1 Like

Sam, if you think this is a good idea, by all means, let’s go for it! Personally would also appreciate learning more about VESQ through an AMA or something (as others have proposed as well). But for me this would be really informational, and very unlikely to be a deal breaker. Also, I appreciate our protocol moving forward Fast (like it has been doing so far). So I am happy to greenlight this proposal already.

Don’t know much about Vesq. I back Sam’s proposal due to his track record. AMA would be good.

One thing that this proposal doesn’t address is getting FXS stakers behind Vesq. $300,000 is not enough skin in the game. If the whitelist is opened to FXS stakers that would benefit both communities. FXS stakers would have more skin in the game if they can get in at whitelist. FXS stakers are they type of people that any project like VESQ would want in their corner.

1 Like