About the Protocol
Gyroscope designs user-friendly AMMs.
The latest product: passive, concentrated liquidity for any asset pair. The pool manages liquidity positions, creating a ‘set-and-forget’ UX for LPs. The pool design also implies that yield is more predictable (no competition between LPs for the right tick) and barriers to entrance (no active position management required) are removed.
Often neglected, but all the more important, Gyroscope pools show great performance for LPs after accounting for adverse selection / ‘impermanent loss’. This is illustrated in this Dune query tracking markouts for a Gyroscope pool and respective Uniswap/ Aerodrome pools.
Proposal Overview
Gyroscope will calibrate and deploy a custom ‘Dynamic E-CLP’ for BOLD/USDC.
The pool will be tailored to a regime where BOLD trades at parity. Should BOLD ever trade above/ below par for a sustained period, another dedicated pool may be deployed.
Usage of the funds received
Received BOLD will be redistributed to LPs via Merkl.
Impact for BOLD
This pool will improve BOLD liquidity on secondary markets. The pool also offers passive exposure to concentrated liquidity for BOLD, allowing users to seamlessly earn swap fees / receive BOLD incentives.
Threshold & Target
There is no minimum amount of BOLD required for this proposal to be delivered. Any received BOLD will be forwarded to LPs via Merkl.
Impact Measurement, Tracking and Key Metrics
Key metrics to track: (1) capital efficiency (volume / TVL) and (2a) positive LP markouts (profitable for LPs) or (2b) high sustained swap fees and (3) less slippage for BOLD/USDC trades.
Metrics will be tracked on the Gyroscope / Balancer UI and Dune.
Reporting
The Gyroscope X account and Gyroscope community members will cover this initiative.
Covered metrics will be: capital efficiency, volume, TVL, markouts, swap fee yield of LPs.
Practical Information
Receiving address: 0xA7e5d44349E3342cd6F323dE3E6C33B249c9Df38
Nature: Gyroscope Foundation EOA