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The Crypto Volatility Index (CVI) team is planning to introduce several updates and is seeking a 200,000 ARB grant to incentivize active traders and liquidity providers, aiming to increase the Total Value Locked (TVL) and Open Interest (OI) on the CVI platform on the Arbitrum network. While the proposal has received general support from the community, concerns have been raised about CVI not being native to Arbitrum and the need for it to prove itself as a protocol before receiving such a grant.
This discussion revolves around the Crypto Volatility Index (CVI), a decentralized 'VIX'-like product tailored for the crypto market. The CVI team is planning to introduce several updates including a new Ultra CVI (UCVI) with x3 Volatility Index, a hedging feature for the Theta Vault, leverage options of up to x16, and a referral program. They are also planning to integrate with Uniswap v3 on Arbitrum to support concentrated liquidity for the CVI and UCVI Volatility tokens.
The team is seeking a 200,000 ARB grant to incentivize active traders and liquidity providers with $ARB alongside the $esGOVI rewards. The primary objectives of the grant are to increase the Total Value Locked (TVL) on the CVI platform on the Arbitrum network and to boost Open Interest (OI), reflecting increased trading and investment activity on CVI. The success of the grant objectives will be measured by tracking Key Performance Indicators (KPIs) such as TVL Growth, OI Increase, and User Participation.
The community reaction to the proposal is generally positive. Lout, Shahsgold, Josseh80, and Guineafowl expressed strong support for the grant request, highlighting CVI's uniqueness as a DeFi protocol and its potential to attract new users and TVL into the Arbitrum ecosystem. However, ITUblockchain expressed reservations about the proposal, stating that they could not support it as they believe Cvi.finance needs to prove itself as a protocol, especially as it is not native to Arbitrum.
The proposal is seen as positive because it aims to incentivize active traders and liquidity providers, which could lead to increased activity on the CVI platform. The grant could also help to attract and retain new liquidity providers, enhancing the ecosystem and increasing the use of the protocol. The involvement of the creator of the VIX, Professor Dan Galai, as an advisor of CVI, was also seen as a positive sign.
The main concern raised was that CVI is not native to Arbitrum, which led to some skepticism about the proposal. ITUblockchain expressed the view that Cvi.finance needs to prove itself as a protocol before receiving such a grant. Additionally, Matt_StableLab reminded Cvi.finance that grant funds can only be used to incentivize Arbitrum contracts and not to incentivize referrers.
Posted 2 months ago
Last reply 2 months ago
Summary updated 24 days ago
Last updated 03/12 14:24