SIP-62: Removal of LUSD, DAI, and FRAX as USDs Collateral
Author: Sperax Core Team Created: June, 10, 2024 Labels: USDs-Parameters
Summary
The USDs stablecoin, currently, utilizes six collateral assets to maintain its peg to the US dollar. This proposal seeks to streamline and optimize the collateral portfolio by removing three assets: LUSD, DAI, and FRAX.
Motivation
Over 96.8% of the stablecoin market cap on Arbitrum is USDT and USDC. Sperax is coming up with its own CDP stablecoin
Overview
LUSD, DAI, and FRAX collectively represent only approximately 3% of the total stablecoin market capitalization. This limited share suggests that their removal will have a negligible impact on the overall stability and utility of USDs.
We are actively developing our Collateralized Debt Position (CDP) stablecoin. This upcoming product will offer users an alternative decentralized stablecoin option within our ecosystem, reducing the need for external stablecoins like LUSD, DAI, and FRAX as collateral.
Upon passing of this proposal, new minting of USDs will stop from LUSD, DAI, and FRAX. There will be zero redeeming fees for redeeming from LUSD, DAI, and FRAX
Technical Specification
Stop minting USDs from LUSD, DAI, and FRAX Zero redeeming fees for redeeming USDs with LUSD, DAI and FRAX
Voting
For: Remove LUSD, DAI, and FRAX as USDs collateral Against: Do not implement this proposal
| Voter | Cast Power | Vote & Rationale |
|---|---|---|
 0x01eB...8eeB65 | 73.507M | For |
 0xcDc4...679cEa | 39.699M | For |
 0x28aa...AD0108 | 18.288M | For |
 0xC7DE...b59000 | 18.132M | For |
 0x9c14...7ce28c | 11.52M | For |
VOTE POWER
Proposal Status
- Thu June 13 2024, 04:02 amVoting Period Starts
- Sun June 16 2024, 04:02 amEnd Voting Period
Current Results
1-For
219.406M
2-Against
0.078