are gonnna be?
It will be somewhat similar to Olympus economics but with entirely different mechanisms like TWAMMs rather than bonds. For example: you can stake FPI for sFPI and earn a high yield as RFV grows in line with CPI rate. To keep the price of FPI in line with the peg rather than having a volatile top end, the protocol will sell FPI into an FPI-FRAX AMM pair to accrue RFV value.
It sounds like it sorta has some TempleDAO mechanics to create a floor and ceiling for the token
There’s similarities in all stablecoin designs yes but FPI is totally new in terms of mechanism. And there’s no unstaking queue or anything like that
are u half iranian?
Fascinating. Not fully getting the TWAMM part. The incentive is that instead of getting discounted FPI like with bonds, you get a slippage free trade? Are not at least two pairs needed for a TWAMM to work? (Because each trade moves the price which gets arbed between the two pools before the next time weighted trade?). Or is the arb done between protocol and pool accruing to the treasury? 🤯
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