Stargaze Liquidity DAO - Request for stOSMO from Community Pool
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80.94%
Proposal #257 description
As a direct follow on from Proposal 249 (https://mintscan.io/stargaze/proposals/249) passing and subsequent rejected/negative sentiment from the Osmosis Community request (https://forum.osmosis.zone/t/stargaze-osmosis-stars-usdc-pol/2482) for matching USDC with STARS for the Stargaze liquidity DAO. The Stargaze Liquidity DAO is now requesting stOSMO from the Stargaze Community Pool to be used as collateral to mint USK, which will be converted to USDC to be used as PoL on Osmosis. The stOSMO will be used as described in the proposal, highlighted below:
STARS/USDC Liquidity on Osmosis: Utilizing 213,457.09 stOSMO from the Community Pool, we will mint approximately 68k USK (~15% LTV based on current stOSMO price, which gives a partial liquidation price of ~0.53c, the current price is ~$2). These funds will be swapped for USDC and matched with an equivalent amount of STARS, adding to the existing STARS/USDC Concentrated Liquidity pool 1228 on Osmosis with an estimated value of ~$136k. Ghost has a 1% Interest for minting USK against stOSMO, vs ~8% for borrowing against USDC on other platforms such as Mars or Umee/Ux
