The second 30-days period of 1inch stETH<>DAI LP rewards is set to expire on November 24th.
The second period of rewards for the 1inch stETH<>DAI liquidity pool was different from the first one. Since it has only been incentivized with 200,000 LDO (and not with 200,000 1INCH), we expected it to lose some TVL over its second month, and that is what essentially happened – the pool has lost half of its liquidity and stabilized at around $33mil TVL. Pool APY is currently around 35%, and it still appears to be an attractive option for stETH holders despite impermanent loss exposure.
To maintain the pool health and depth, we propose to continue LDO rewards for 1inch stETH<>DAI LP with the same amount of 200,000 LDO for the next 30-days period.
Please comment on this post if you do not agree with this proposal.