Continue LDO rewards for 1inch stETH<>DAI LP

Proposals
1

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.

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2

good idea :heart: :heart: :heart: :heart: :heart: :heart: :heart: :heart: :heart: :heart: :heart:

3

Same as neighborhood post, I think this should be reduced: Continue LP rewards for Sushi DAI<>wstETH pool - #2 by vsh

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4

This definitely makes sense.
Given these pools perform very similarly in pretty much every way (check the boards for Sushi LP and 1inch LP), I suggest reducing incentives by 75% and sticking with 50,000 LDO for the upcoming 30-days reward period.

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5

That sounds reasonable to me.

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