Wanted to raise a query about the use of liquidity in two parts.
Firstly, why is the liquidity being used on Astroport alone? This proposal is between Stride and ATOM, with Astroport seemingly only coming into this as they are deploying contracts on Neutron. Currently, ATOM, stATOM and STRD are not listed on Astroport despite the availability of the IBC connection.
Osmosis is also planning on deploying Cosmoswap, our cross-chain liquidity solution, to Neutron. If the benefit to Stride is that the quantity of stATOM increases, and the benefit to both is the ease of access to these liquidity pools then surely it makes more sense to spread this liquidity between liquidity locations in order to achieve both breadth and suitably deep cover.
This would also benefit Stride as the incentivisation of the existing stATOM/ATOM pools could potentially reduce, allowing them to be redirected to more liquid staking derivatives as more chains are onboarded - which in turn would result in higher revenue share with ATOM stakers from this agreement.
Secondly, just wondering why there is an automatic sunset clause in there rather than a minimum guarantee.
The ATOM Accelerator DAO members have agreed to steward the 450K ATOM liquidity position as described above until October 1st, 2023 at the latest. At that time, if Cosmos Hub has not passed a signaling proposal to establish a new solution for the liquidity position, then the ATOM Accelerator will begin the process of returning the funds to the Cosmos Hub community pool. This process would involve using the Stride app to unbond the stATOM side of the position, which would take approximately three weeks. Therefore, in this scenario the ATOM Accelerator would return the 450K ATOM in the liquidity position to the Cosmos Hub community pool no later than November 1st, 2023.
This seems to write you into a corner. What happens if this doesn’t happen in time or a proposal isn’t quite agreed upon when the unbonding period gets triggered? Surely would make more sense to have the liquidity guaranteed until the 1st October 2023, then inaction or indecision maintains the status quo.