Final: Arbitrum Stable Treasury Endowment Program

[thedevanshmehta]

@JoJo

But, going into the discussion that increasing liquidity on dexes could be key to enhance the stability of $ARB as asset in light of sells from grant programs, why don’t we try to solve for both the problems (diversification of treasury, enhancing liquidity to avoid fluctuations from grant programs)

This is a great idea! We featured the suggestion on the treasury WG end of season wrap up.

Ultimately we felt packing in utilization of interest earned or the underlying RWA asset in addition to diversification via ecosystem growth would be too much for one proposal.

@thedevanshmehta

Interest earned from RWAs will be swept to our treasury for increasing our bridged USDC holdings (currently at 10 cents).

So we decided interest earned simply goes back to our treasury as bridged USDC. Proposals for utilizing it, such as enhancing liquidity, use in CDPs, etc can follow the same process as any other proposal before the DAO

If our WG is renewed for a second season, we do plan to work on what we are calling the LAMP framework - Liquidation of ARB Mitigation Proposal. Would love to work with you on what it should look like.