Reaching out to the Sushi community about a tBTC/KEEP pool on Sushiswap

Summary:

There has been some discussion in the Keep community to create a KEEP/tBTC pool, and I think a long-term partnership between the Sushi and Keep communities to jointly incentivize a KEEP/tBTC pool would make SushiSwap the most liquid venue for KEEP and be a great volume driver for the exchange. I’d like to hear the Sushi community’s opinion on this idea.

Motivation:

The tBTC/wBTC has been a successful venture, with now 10M in TVL, which is currently by far the biggest pool on the weekly menu. I believe a tBTC/KEEP pool could be a more long-term, and suitable pool for the Sushi and Keep communities to incentivize as it’s a non-stable pair, where SushiSwap’s constant function AMM model shines. Having an incentivized tBTC/KEEP pool would make SushiSwap by far the most liquid place to trade KEEP, bridging KEEP with other liquid tBTC pairs and BTC (since tBTC is always redeemable 1:1 for BTC).

KEEP is in the very beginning of its distribution phase, where it is mostly still in the hands of private investors. I believe that having an incentivized pair on SushiSwap would make SushiSwap well positioned to capture the volume that will happen once the asset starts to be distributed more widely to the public via liquidity mining and stakedrop mechanisms.

I’d suggest adding this pool to the Omakase bar, as it’s the current way for SushiSwap to incentivize pools in a more permanent manner.

Note:

I want to note that I am not from the Keep team and cannot speak for them. I do know that the Keep team has expressed multiple times that they’d like to incentivize a KEEP/tBTC pool, and am fairly confident they would be interested to put their incentives towards a Sushiswap pool if the Sushi community is open to adding it in the Omakase bar.

I have shared this proposal to the Keep community at the same time, and am inviting the Keep team to signal here that they’d like to incentivize this pool, so that the Sushi community can see that themselves.

7 Likes

It’s unclear what kind of volume a KEEP/tBTC pool would have, why begin with a permanent pool and dilute Sushi rewards for a potentially low volume pool? tBTC is not that liquid and KEEP is not traded much, it just keeps dumping every day: https://www.coingecko.com/en/coins/keep-network

Start with a Menu of the week and see what kind of volume it might bring first is my suggestion.

I greatly appreciate the reach out for collaboration, and we are always interested in collaborating with other projects.

Though as Morganic said, I think the best way to start is to include KEEP/tBTC in weekly menu and then from there we can have further discussions on permanent inclusion to the menu.