Title: Expand & Incentivize LayerZero Markets on SaucerSwap
Author(s): SaucerSwap Labs
SaucerSwap Voting Interface: SaucerSwap | Leading Crypto Trading Protocol on Hedera - Fast, Secure Swaps with Low Fees. Stake & Earn.
Related Discussions: V2 Pool(s) for LayerZero USDC/wETH (0.15%), USDC/wBTC (0.15%) and HBAR/wBTC (0.30%)
Submission Date: 2025‑09‑19
Summary
This proposal, which serves as an addendum to V2 Pool(s) for LayerZero USDC/wETH (0.15%), USDC/wBTC (0.15%) and HBAR/wBTC (0.30%), adds and incentivizes LayerZero-based markets on SaucerSwap by (i) creating WBTC/HBAR and WETH/HBAR 0.15% V2 pools, and (ii) reallocating existing LARI weights from hashport pools to their LayerZero counterparts on a 50/50 basis. Upon passage, the WETH items activate immediately. WBTC items are authorized now and will activate when LayerZero WBTC support becomes available.
Motivation
Adding LayerZero (Stargate) routes alongside hashport diversifies bridge risk, broadens access for Ethereum/L2 users, and improves price discovery via cross-chain arbitrage. Mirroring hashport markets with LayerZero pairs lets users choose their preferred bridge path in a fair manner, with market behavior informing future adjustments.
Specification
Target pools (0.15% fee tier)
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Create: WETH/HBAR V2 — LayerZero WETH
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Authorize (go-live upon support): WBTC/HBAR V2 — LayerZero WBTC
Mechanism
- Reallocate existing LARI weights from the corresponding hashport pools to the LayerZero pools on a 50/50 split
LARI weight changes
WETH/HBAR
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SAUCE: WETH[hts]/HBAR 3.5% → 1.75%; WETH/HBAR (LayerZero): 0% → 1.75%
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HBAR: WETH[hts]/HBAR 3.3225% → 1.66125%; WETH/HBAR (LayerZero): 0% → 1.66125%
WBTC/HBAR (queued until LayerZero WBTC support)
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SAUCE: WBTC[hts]/HBAR 5% → 2.5%; WBTC/HBAR (LayerZero): 0% → 2.5%
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HBAR: WBTC[hts]/HBAR 2.7434% → 1.3717%; WBTC/HBAR (LayerZero): 0% → 1.3717%
WBTC/USDC (queued until LayerZero WBTC support)
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SAUCE: WBTC[hts]/USDC 2.50% → 1.25%; WBTC/USDC (LayerZero): 0% → 1.25%
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HBAR: WBTC[hts]/USDC 1.8986% → 0.9493%; WBTC/USDC (LayerZero): 0% → 0.9493%
WETH/USDC
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SAUCE: WETH[hts]/USDC 1.5% → 0.75%; WETH/USDC (LayerZero): 0% → 0.75%
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HBAR: WETH[hts]/USDC 0.9493% → 0.47465%; WETH/USDC (LayerZero): 0% → 0.47465%
[hts] denotes Hashport-bridged assets. “LayerZero” refers to ERC-20 assets bridged via LayerZero (Stargate).
Activation and dependencies
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Immediate on passage (WETH): create WETH/HBAR V2 (0.15%) and begin incentives; WETH/USDC (LayerZero) continues/initiates incentives per the weights above.
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Conditional (WBTC): once LayerZero WBTC support is live, create WBTC/HBAR V2 (0.15%) and apply the queued reweights for WBTC/HBAR and WBTC/USDC.
Rationale and benefits
50/50 split (Hashport ↔ LayerZero)
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A 50/50 emissions split is a fair, measured baseline that avoids pre-selecting a winner, preserves continuity for existing LPs, and lets market behavior inform future adjustments.
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We will monitor TVL, volume, active LP counts, and net bridge inflows. If liquidity and usage materially consolidate on one side, a follow-up governance update will realign weights accordingly.
Routing efficiency and stability
- Establishing HBAR base legs (WETH/HBAR and WBTC/HBAR at 0.15%) improves routing for LayerZero assets. Many paths can clear efficiently through HBAR, lowering slippage on cross-asset swaps (for example, USDC ↔ WETH via HBAR) while strengthening arbitrage loops between bridges. This supports sustained volume and more stable execution in the LayerZero markets.
Voting options
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YES — Approve
Create/authorize the specified 0.15% V2 pools and implement the 50/50 LARI reweights (WETH items effective immediately; WBTC items queued until LayerZero WBTC support).
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NO — Reject
Do not create the new LayerZero pools or reallocate emissions; retain current hashport allocations.
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ABSTAIN