Idle

Summary

This Temperature Check introduces the DAO to DAO proposal with Lido, strengthening the partnership between Idle and Lido.

This proposal consists of three initiatives: stkIDLE delegation, $IDLE KPI option, and $LDO reward program.

With this snapshot, the Idle DAO votes on the 1st and the 2nd initiative, which involve the transfer of $IDLE tokens from the Idle DAO treasury.

Motivation

Since February 2022, Lido has been a key partner of Idle by supporting our protocol and our new primitive, Perpetual Yield Tranches, to scale and grow with new liquidity providers. We would like to introduce, then, a new DAO to DAO collaboration proposal between Idle DAO and Lido.

The proposal relies upon three initiatives and introduces a voting power delegation. A delegation of voting power between DAOs temporarily assigns resources that carry intrinsic financial benefits.

Thanks to this delegation, Idle and Lido will be able to:

• Foster meta-governance activities, with $LDO token holders involved in Idle DAO governance decisions. Idle will be able to broaden the current voting user-base, onboarding a reputable stakeholder in its decision-making process.
• Expand the Gauges ecosystem adoption, enabling Lido to join the competition to increase their stETH-based Gauge weights.
• Improve the business value proposition, with Lido empowered to offer increased APY (via LP reward boost) to onboard strategic liquidity providers interested to use risk-adjusted liquid staking solutions.

Details

A detailed description of the initiatives is available in the forum post.

stkIDLE delegation → Forum section

Size: 100,000 $IDLE Duration: 6 months Beneficiary: Lido

Idle DAO will lock 100,000 $IDLE and grant to Lido DAO:

• Off-chain voting power
• Gauges voting power
• LP rewards boost

Actions:

• 100,000 $IDLE will be transferred to the Treasury League Multisig
• Treasury League will stake the received $IDLE for 4 years
• Treasury League will delegate the LP reward boost to Lido DAO as an NFT

$IDLE KPI option → Forum section

Size: Between 25,000 and 100,000 $IDLE Duration: 6 months Beneficiary: Lido

Idle DAO will lock 100,000 (extra) $IDLE in a UMA KPI option. Lido will be rewarded conditional to the following TVL milestones reached on the stETH-based PYTs.

Actions:

• 100,000 $IDLE will be transferred to the Treasury League Multisig
• Treasury League will lock the received $IDLE into the KPI option
• Treasury League will grant it to Lido DAO

$LDO reward program → Forum section

Size: Between $30k and $120k in $LDO per month for each PYT Duration: 6 months Beneficiary: Idle stETH-based Senior PYTs

Lido will incentivize stETH-based PYTs with $LDO rewards following the below TVL threshold-based model.

Voting Options

Please cast your vote on one of the following options: FOR: Approve D2D collaboration with Lido AGAINST: Vote against D2D collaboration with Lido DISCUSS MORE: Discuss more the proposal

This poll is available for both $IDLE token holders and stkIDLE holders. The final $IDLE voting weights will be calculated using the approved calculator.