Gearbox DAO

Summary

This proposal outlines a plan to capitalize on Sonic’s rapid growth and optimize Gearbox DAO’s liquidity deployment. By leveraging Sonic’s blazing-fast onchain experience and its focus on DeFi, we aim to establish Gearbox as a key player in this ecosystem.

To achieve this, we propose:

1. Migrating $1M USDC from Gearbox DAO’s mainnet liquidity to Sonic
2. Incentivizing deposits with 12M GEAR over a 2-month period to attract liquidity and drive adoption.

Motivation

Sonic’s liquidity is expanding at an exceptional rate, positioning it as a highly promising growth venue for DeFi protocols. By offering GEAR incentives, we can attract liquidity providers, strengthen Gearbox’s presence and adoption.

Moreover, moving $1M of DAO-owned USDC to Sonic helps reduce reliance on GEAR incentives while earning Sonic points, ensuring a more sustainable growth strategy.

The proposed 12M GEAR allocation (over 2 months) will be distributed across the wS and USDC.e pools as follows:

• 7.5M GEAR → wS Pool

• Target TVL: $5M
• Expected Reward APY: 3.5%

• 4.5M GEAR → USDC Pool

• Target TVL: $5M
• Expected Reward APY: 2.5% The Gearbox DAO’s $1M USDC liquidity migration to Sonic will help bootstrap the USDC pool while minimizing the need for additional incentives. Notably, the DAO itself will not be eligible for GEAR rewards but will earn Sonic points.

The rewards will be distributed over an initial 2-month period, with the flexibility to adjust based on performance.

Voting

Simple Yes/No