OPAP-7 Allocation Optimization Discussion

General
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Summary:

STONE, as liquid ETH backed by an adaptive staking network, is dedicated to expanding a diverse range of underlying assets for STONE users while ensuring the stability and liquidity of STONE. If OPAP-7 is executed, approximately 42,000 ETH will be deployed into the Wrapped liquid staked Ether (wstETH)_Symbiotic strategy, potentially providing exposure to Symbiotic for all STONE users.

About OPAP-7:

The purpose of this proposal is to set the initial deployment into Wrapped liquid staked Ether (wstETH)_Symbiotic, to provide STONE users with exposure to Symbiotic in the future, without influencing any circulating STONE.

Proposed Fund Allocation

  • Lido Staked Ether (stETH)_EigenLayer: 74.45%
  • Wrapped liquid staked Ether (wstETH)_Symbiotic: 25.50%
  • Native lending pool_PMM: 0.05%

Smart Contract Address and Audits

Voting and Implementation

  • On Ethereum mainnet, STONE can be used to vote in favor or against this proposal with the weight determined by the number of STONE used to vote.
    • For: Implement this proposal
    • Against: Do not implement this proposal
  • The aim of this proposal is to offer transparency on StakeStone’s underlying assets; participation is not mandatory.
  • This proposal will be implemented if it receives more affirmative votes than opposing votes at the end of the public notice period

If nobody vote for or against this proposal during the entire voting period, this proposal will not be implemented

Description:

If the proposal is executed, approximately 42,000 ETH will be deployed into the Wrapped liquid staked Ether (wstETH)_Symbiotic strategy (The execution of the proposal will be completed by smart contract, and the specific amount will be determined by the total amount of ETH in the protocol when the proposal is executed). This portion of ETH can be converted into wstETH and restaked in Symbiotic when there is enough deposit cap in Symbiotic. wstETH itself can bring ETH PoS rewards to STONE in a rebalancing manner, while wstETH staked in Symbiotic can also generate Symbiotic Points. Accumulated rewards will be distributed to all STONE users.

Through OPAP-6, the Wrapped liquid staked Ether (wstETH)_Symbiotic strategy has been added as one of the underlying assets of STONE, demonstrating the high compatibility and adaptability of the StakeStone architecture. If OPAP-7 is approved, a portion of STONE’s underlying assets will be composed of Symbiotic, allowing STONE users in multiple chains and applications to effortlessly benefit from the Symbiotic ecosystem without the need to mint a new derivative, thus avoiding cumbersome operations and liquidity fragmentation.

The actual proportion of Symbiotic in STONE’s underlying assets is determined by the actual amount of ETH restaked in Symbiotic.

About Symbiotic:

Symbiotic functions as a thin security coordination layer enabling builders of networks to fully control and continuously adapt their own (re)staking implementation in a permissionless manner to service any possible decentralized infrastructure use case and its requirements.

Website: https://symbiotic.fi/

X: x.com

Documents: https://docs.symbiotic.fi/