MIP-48 Rebalancing of Moonriver Token Liquidity Incentives

Proposals Moonwell Improvement Proposal
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MIP-48 Rebalancing of Moonriver Token Liquidity Incentives

This is an automated proposal generated by the Moonwell Market Reward Adjustment Tool.

  • Submitter: Fechuky
  • Generator Version: 1.0.13
  • Generated At: Fri, 12 May 2023 01:49:41 GMT
  • Network: Moonriver
  • Block Height: 4,223,323

The submitter (Fechuky), as part of this proposal, will get 100,000 MFAM sent to their wallet at 0x87E1e08eDAfD16346d8328e2CF260ff8Bdad9e84.

Safety Module

At the time this proposal was generated there was 172,215,705 MFAM staked in the Safety Module, with a valuation of $233,653.55 (based on a MFAM price of $0.001357 pulled from SolarBeam).

This proposal, if executed, would adjust the rewards on the Safety Module to keep emissions the same and emits 5,140,099 MFAM over the next 28 days:

  • Current (estimated APR = ~38.93%):
    • 2.1247 MFAM / second
    • 183,574.97 MFAM / day
    • 5,140,099.14 MFAM / reward cycle (28 days)
  • Proposed (estimated APR = ~38.93%):
    • 2.1247 MFAM / second
    • 183,574.97 MFAM / day
    • 5,140,099.14 MFAM / reward cycle (28 days)

DEX Liquidity Pool Rewarder

At the time this proposal was generated there were 89,395,896 MFAM and 19,205 MOVR provided by liquidity providers in the SolarBeam MFAM/MOVR pool totaling $242,575.66.

This proposal, if executed, would adjust the rewards on the Dex Rewarder to keep emissions the same and emits 5,763,141 MFAM over the next 28 days:

Current rewards will expire at Fri, 19 May 2023 03:30:00 GMT

Proposed rewards will expire at Fri, 16 Jun 2023 03:30:00 GMT

  • Current (estimated APR = ~42.05%) days:
    • 2.3823 MFAM / second
    • 205,826.57 MFAM / day
    • 5,763,144.00 MFAM / reward cycle (28 days)
  • Proposed (estimated APR = ~42.05%):
    • 2.3823 MFAM / second
    • 205,826.48 MFAM / day
    • 5,763,141.46 MFAM / reward cycle (28 days)

Core Protocol Rewards

Below are the current markets supported by the Moonwell Protocol, along with the proposed adjustments to the reward outputs.

USDC.multi Market
Latest price $1.0000
Supplied 8,741,699.39 USDC.multi
Borrowed 6,062,796.77 USDC.multi
Supplied TVL $8,741,349.72
Borrowed TVL $6,062,554.26
Utilization 69.35%
MFAM Incentive Share 64%
MOVR Incentive Share 64%
Estimated APRs Current Proposed
Supply Side 6.80% 8.65%
Borrow Side -3.53% -3.53%

MFAM Incentives

Current Proposed
Supply Side 0.8885 MFAM / sec 1.2362 MFAM / sec
+28.13% 76,767.71 MFAM / day 106,807.25 MFAM / day
2,149,496.00 MFAM / cycle* 2,990,603.14 MFAM / cycle*
Borrow Side 0 MFAM / sec 0 MFAM / sec
+0% 0 MFAM / day 0 MFAM / day
0 MFAM / cycle* 0 MFAM / cycle*

MOVR Incentives

Current Proposed
Supply Side 0.0019 MOVR / sec 0.0026 MOVR / sec
+28.13% 163.07 MOVR / day 226.88 MOVR / day
4,565.96 MOVR / cycle* 6,352.64 MOVR / cycle*
Borrow Side 0 MOVR / sec 0 MOVR / sec
+0% 0 MOVR / day 0 MOVR / day
0 MOVR / cycle* 0 MOVR / cycle*
  • Reward cycle is 28 days long

ETH.multi Market
Latest price $1,791.62
Supplied 1,166.78 ETH.multi
Borrowed 111.82 ETH.multi
Supplied TVL $2,090,415.88
Borrowed TVL $200,337.53
Utilization 9.58%
MFAM Incentive Share 15%
MOVR Incentive Share 15%
Estimated APRs Current Proposed
Supply Side 11.87% 6.70%
Borrow Side -3.50% -3.50%

MFAM Incentives

Current Proposed
Supply Side 0.5215 MFAM / sec 0.2897 MFAM / sec
-80.00% 45,059.31 MFAM / day 25,032.95 MFAM / day
1,261,660.70 MFAM / cycle* 700,922.61 MFAM / cycle*
Borrow Side 0 MFAM / sec 0 MFAM / sec
+0% 0 MFAM / day 0 MFAM / day
0 MFAM / cycle* 0 MFAM / cycle*

MOVR Incentives

Current Proposed
Supply Side 0.0011 MOVR / sec 0.0006 MOVR / sec
-80.00% 95.72 MOVR / day 53.18 MOVR / day
2,680.02 MOVR / cycle* 1,488.90 MOVR / cycle*
Borrow Side 0 MOVR / sec 0 MOVR / sec
+0% 0 MOVR / day 0 MOVR / day
0 MOVR / cycle* 0 MOVR / cycle*
  • Reward cycle is 28 days long

MOVR Market
Latest price $6.32
Supplied 142,832.88 MOVR
Borrowed 37,282.01 MOVR
Supplied TVL $902,033.75
Borrowed TVL $235,447.40
Utilization 26.10%
MFAM Incentive Share 6%
MOVR Incentive Share 6%
Estimated APRs Current Proposed
Supply Side 12.14% 7.15%
Borrow Side -6.09% -6.09%

MFAM Incentives

Current Proposed
Supply Side 0.2125 MFAM / sec 0.1159 MFAM / sec
-83.33% 18,357.50 MFAM / day 10,013.18 MFAM / day
514,009.91 MFAM / cycle* 280,369.04 MFAM / cycle*
Borrow Side 0 MFAM / sec 0 MFAM / sec
+0% 0 MFAM / day 0 MFAM / day
0 MFAM / cycle* 0 MFAM / cycle*

MOVR Incentives

Current Proposed
Supply Side 0.0005 MOVR / sec 0.0002 MOVR / sec
-83.33% 38.99 MOVR / day 21.27 MOVR / day
1,091.86 MOVR / cycle* 595.56 MOVR / cycle*
Borrow Side 0 MOVR / sec 0 MOVR / sec
+0% 0 MOVR / day 0 MOVR / day
0 MOVR / cycle* 0 MOVR / cycle*
  • Reward cycle is 28 days long

xcKSM Market
Latest price $24.88
Supplied 24,022.84 xcKSM
Borrowed 4,070.89 xcKSM
Supplied TVL $597,805.02
Borrowed TVL $101,303.60
Utilization 16.95%
MFAM Incentive Share 5%
MOVR Incentive Share 5%
Estimated APRs Current Proposed
Supply Side 11.12% 8.10%
Borrow Side -4.65% -4.65%

MFAM Incentives

Current Proposed
Supply Side 0.1352 MFAM / sec 0.0966 MFAM / sec
-40.00% 11,682.04 MFAM / day 8,344.32 MFAM / day
327,097.22 MFAM / cycle* 233,640.87 MFAM / cycle*
Borrow Side 0 MFAM / sec 0 MFAM / sec
+0% 0 MFAM / day 0 MFAM / day
0 MFAM / cycle* 0 MFAM / cycle*

MOVR Incentives

Current Proposed
Supply Side 0.0003 MOVR / sec 0.0002 MOVR / sec
-40.00% 24.81 MOVR / day 17.72 MOVR / day
694.82 MOVR / cycle* 496.30 MOVR / cycle*
Borrow Side 0 MOVR / sec 0 MOVR / sec
+0% 0 MOVR / day 0 MOVR / day
0 MOVR / cycle* 0 MOVR / cycle*
  • Reward cycle is 28 days long

FRAX Market
Latest price $1.00
Supplied 619,817.92 FRAX
Borrowed 492,711.58 FRAX
Supplied TVL $621,027.65
Borrowed TVL $493,673.23
Utilization 79.49%
MFAM Incentive Share 5%
MOVR Incentive Share 5%
Estimated APRs Current Proposed
Supply Side 9.97% 9.97%
Borrow Side -4.05% -4.05%

MFAM Incentives

Current Proposed
Supply Side 0.0966 MFAM / sec 0.0966 MFAM / sec
+0.00% 8,344.32 MFAM / day 8,344.32 MFAM / day
233,640.87 MFAM / cycle* 233,640.87 MFAM / cycle*
Borrow Side 0 MFAM / sec 0 MFAM / sec
+0% 0 MFAM / day 0 MFAM / day
0 MFAM / cycle* 0 MFAM / cycle*

MOVR Incentives

Current Proposed
Supply Side 0.0002 MOVR / sec 0.0002 MOVR / sec
+0.00% 17.72 MOVR / day 17.72 MOVR / day
496.30 MOVR / cycle* 496.30 MOVR / cycle*
Borrow Side 0 MOVR / sec 0 MOVR / sec
+0% 0 MOVR / day 0 MOVR / day
0 MOVR / cycle* 0 MOVR / cycle*
  • Reward cycle is 28 days long

USDT.multi Market
Latest price $1.00
Supplied 566,128.26 USDT.multi
Borrowed 365,425.13 USDT.multi
Supplied TVL $566,592.49
Borrowed TVL $365,724.78
Utilization 64.55%
MFAM Incentive Share 5%
MOVR Incentive Share 5%
Estimated APRs Current Proposed
Supply Side 8.14% 9.73%
Borrow Side -3.28% -3.28%

MFAM Incentives

Current Proposed
Supply Side 0.0773 MFAM / sec 0.0966 MFAM / sec
+20.00% 6,675.45 MFAM / day 8,344.32 MFAM / day
186,912.70 MFAM / cycle* 233,640.87 MFAM / cycle*
Borrow Side 0 MFAM / sec 0 MFAM / sec
+0% 0 MFAM / day 0 MFAM / day
0 MFAM / cycle* 0 MFAM / cycle*

MOVR Incentives

Current Proposed
Supply Side 0.0002 MOVR / sec 0.0002 MOVR / sec
+20.00% 14.18 MOVR / day 17.72 MOVR / day
397.04 MOVR / cycle* 496.30 MOVR / cycle*
Borrow Side 0 MOVR / sec 0 MOVR / sec
+0% 0 MOVR / day 0 MOVR / day
0 MOVR / cycle* 0 MOVR / cycle*
  • Reward cycle is 28 days long

Definitions

MFAM - The Moonwell Apollo governance token

Liquidity Incentives - MFAM tokens that have been allocated for use as rewards to incentivize liquidity growth.

Core - Moonwell Apollo lending protocol (Moonwell: DeFi’s Liquidity Well).

DEX LP - Solarbeam’s MFAM/MOVR farm (Solarbeam - The DEX on Moonriver, powered by SOLAR).

Safety Module - Smart contract that allows users to stake their MFAM tokens in order to earn liquidity incentives and help backstop the Moonwell protocol.

Reward Speed - The rate at which MFAM tokens (on a per second basis) are distributed proportionally to DEX LPs, wallets staking in the Safety Module, and those supplying/borrowing on Moonwell.

1 Like
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Hey Moonwell FAM, Voting is live for my reward speed proposal MIP-48 . There are more no votes than yes votes right now, so I would like to bring additional attention to this proposal and its importance.

MIP-48 not only rebalances rewards, but also transfers MFAM tokens to the Moonwell protocol and the Solarbeam farm. If this proposal fails then rewards will run dry and a new rewarder contract will have to be deployed for the DEX farm. This would not be good.

This proposal will also decrease reward speeds for supplying MOVR, ETH, and KSM. I think this may be a reason a couple of large mfam accounts have voted against the proposal. This is only because there has been a large drop in liquidity in these markets recently (see attached market screenshot).

If you hold MFAM or stake MFAM, please make sure to cast your vote and help this important proposal pass!!

Link to governance proposal: MIP-48

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