Proposal: HBAR Incentives for HCHF & HLQT V2 Pools

Proposal
1

HBAR incentives (from grant) to be deployed on SaucerSwap pools associated with HCHF and HLQT for 12 months.

Introduction:
This proposal aims to incentivize liquidity provision for the three HLiquity-related V2 pools. The incentives, provided in HBAR by The HBAR Foundation, are specifically designed to boost liquidity for HCHF and HLQT-related V2 pools. These incentives will not impact the current LARI weights.

Pools:

  1. For HCHF:

a. V2_USDC/HCHF SaucerSwap | Leading Crypto Trading Protocol on Hedera - Fast, Secure Swaps with Low Fees. Stake & Earn.

b. V2_HBAR/HCHF SaucerSwap | Leading Crypto Trading Protocol on Hedera - Fast, Secure Swaps with Low Fees. Stake & Earn.

  1. For HLQT:

a. V2_HBAR/HLQT SaucerSwap | Leading Crypto Trading Protocol on Hedera - Fast, Secure Swaps with Low Fees. Stake & Earn.

The distribution of the amount of HBAR assigned to encourage the use of pools will be adjustable based on the liquidity of the pools, assigning a higher percentage to the most used pools or those with greater liquidity.

Motivation:
Stablecoins are crucial for the Hedera ecosystem, providing stability and fostering broader DeFi adoption. HCHF is an overcollateralized stablecoin backed by HBAR, offering a reliable asset for users. Additionally, HLiquity, the protocol behind HCHF, is the first decentralized borrowing protocol on Hedera, allowing users to draw interest-free loans against HBAR in the form of HCHF, a Swiss Franc stablecoin.

HLQT captures protocol revenue, rewarding users for their participation in the ecosystem.

Benefits:

  • Supports stablecoin liquidity on Hedera, crucial for DeFi adoption.
  • Encourages the use and adoption of HCHF, enhancing the ecosystem’s stability.
  • Helps maintain a diverse range of liquidity pools within the SaucerSwap ecosystem.
  • Rewarding early protocol participants and those who are participating in staking and as liquidity providers on SaucerSwap

Links:

Website https://hliquity.org/

Documentation https://docs.hliquity.org/

Sentinel Report HCHF Sentinel: Sentinel

X: x.com

Voting:

Yes: We support the implementation of HBAR incentives on SaucerSwap V2 pools associated with HCHF and HLQT.

No: We do not support this incentive.

2 Likes
2

Big point of emphasis.
This proposal does not change any of the HBAR farms or LARI distribution from other Liquidity Pools. This is an entirely new allocation of HBAR for this LARI proposal.

Also, it’s interesting to have the LARI distribution change based on liquidity. Very novel. I like it.

I have no issues with the proposal. It has addressed all the necessary questions of where the rewards are coming from, how it would be distributed and for what duration of time.

3 Likes
3

The Governance- proposal is now live: SaucerSwap | Leading Crypto Trading Protocol on Hedera - Fast, Secure Swaps with Low Fees. Stake & Earn.

1 Like
4

Proposal 3537 is now in the Election phase. Voting ends on January 25th, 2025. Thanks for the support: