Proposal: Liquidity Creation for FXS/AFXS Pair

Governance Proposals Liquidity Providing
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Introduction

Allstake is an omnichain (re)staking protocol that enhances staking rewards across multiple blockchains by offering shared security and flexible liquidity solutions.

Background

This proposal requests Frax to provide liquidity to Allstake to establish a liquidity pool for the FXS/AFXS pair. This initiative will enhance staking and restaking options for the Frax governance token, FXS, allowing users to earn additional rewards from both Frax and Allstake.

Requested Liquidity

  • 100,000 FXS total:
    • 50,000 FXS will be deposited into Allstake to mint 50,000 AFXS.
    • The remaining 50,000 FXS and 50,000 AFXS will be used to create a Curve pool for the FXS/AFXS pair.

Liquidity Deployment Strategy

  1. Liquidity Pool Creation: The FXS and AFXS tokens will be paired to create a liquidity pool on Curve.
  2. Staking the LP Tokens:
  • 50% of LP tokens will be staked in Convex - Curve (FXS/AFXS pool).
  • 50% of LP tokens will be staked in Convex - Frax (FXS/AFXS pool).

Yield and Rewards

  • Allstake Points Multiplier: 3x

Benefits for Frax DAO

  • Increases utility: additional earning opportunity for FXS holders
  • Promotes long-term holding of FXS.
  • Strengthens Frax’s multichain presence with more staking and liquidity opportunities as Allstake adds additional chain support of Frax.
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Alex, can you provide us with more background about Allstake including links to your smart contracts and socials?

I haven’t heard of AFXS and can’t seem to find the token anywhere.

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Hi, thank you for your interest and thoughtful questions. I’d be happy to provide more details about Allstake and the tokens we’re utilizing.

About Allstake:
Allstake is an omnichain (re)staking protocol designed to bring shared security to multiple chains. Our team is composed of crypto veterans and early contributors to major projects like NEAR and EOS. We’ve also received angel investment from Illia Polosukhin, co-founder of NEAR Protocol, and have the backing of the NEAR Foundation.

Social Links & More Information:
You can find more about us and our protocol here: Allstake Links
Audit information: Allstake Audit

Let me know if there are any additional questions or clarifications I can provide. We’re committed to transparency and look forward to further engaging with the Frax community.

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Token Contracts:
Here are the token contract details for the assets in our proposal:

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