[Temp Check] Add WOO as collateral on Arbitrum (v3)

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The proposal to add WOO as collateral on Aave v3 on Arbitrum is gaining positive community feedback, with suggestions for initial parameters and potential benefits like increased TVL due to WOO Network's user base, a Chainlink price feed, and upcoming WOOFi Pro launch. Next steps involve a TEMP CHECK Snapshot and possibly an ARFC stage, pending community approval.

What is this about?

The discussion revolves around a proposal introduced by BenYorke to onboard WOO as collateral to Aave v3 on Arbitrum. The proposal is backed by a commitment from the WOO Network to bootstrap the borrowing market with 2.25 million WOO. WOO Network has a substantial user base and token presence in the market, with a significant portion of the circulating supply being staked. The proposal is currently in the stage of gathering community feedback before moving on to a TEMP CHECK Snapshot and potentially an ARFC stage.

How is the community reacting?

The community's reaction to the proposal has been generally positive. 0xkeyrock.eth supports the listing of WOO but suggests considering Aave v3 on Ethereum for higher liquidity. KevinF, on the other hand, supports the Arbitrum listing, citing the availability of a Chainlink price feed and support from Binance. Jengajojo is seeking input on initial parameters, and BenYorke suggests looking at parameters similar to those for FXS. Midoji expresses support for the proposal, noting the potential for increased token holders and value with the launch of WOOFi Pro on the mainnet. KevinF also mentions that WOO-related pools will receive ARB incentives, which could increase TVL on Arbitrum. Gauntlet has provided specific recommendations for listing WOO on Arbitrum v3, including the use of Isolation Mode and conservative initial supply and borrow caps.

Why this is positive?

  • WOO Network's significant user base and market presence could enhance Aave v3 on Arbitrum.
  • The commitment of 2.25 million WOO to bootstrap the borrowing market shows strong support from the WOO Network.
  • The availability of a Chainlink price feed for WOO on Arbitrum facilitates the listing.
  • The upcoming launch of WOOFi Pro and ARB incentives are expected to increase WOO's TVL on Arbitrum.

Why this is negative?

We have not been able to determine whether this will be negative.

Next actions

The next steps include continuing to gather community feedback and preparing for a TEMP CHECK Snapshot. If the feedback is favorable, the proposal may escalate to an ARFC stage.

Posted a month ago

Last reply a month ago

Summary updated 12 days ago

Last updated 06/12 00:43