SIP-15: Yield Stacking for Liquidity Providers
Authors: @monstar, @dalakos8
The main aim of SIP-15 are to increase the yield for liquidity providers by stacking additional yields on top of the liquidity being provided by Siren LPs.
What is Yield Stacking
In order add additional yield, I propose that all the LP buckets get placed into the yield earning versions of themselves when not in use (for withdrawals etc).
The ideal mapping for this would be as follows:
- Sushi -> xSushi (sushibar) + 7.58% APY
- Matic -> TBD
- Uni -> Compound + 1.6% APY
- WBTC -> Compound + 1.6% APY
- WETH -> Cream +1.93% APY
- YFI -> Aave + 0.48% APY
Sushi is the main one with a big value add for LPs, but with almost $10mm of liquidity, and likely more in the future it’s important to add this additional yield now so everyone can share in the benefits.
- FOR: Implement yield stacking and provide additional yield to LPs
- AGAINST: Do not implement yield stacking