In this latest transmission, we look at: Rebalancing Rewards, the Locked CNC All-Time High, the New Omnipools, and the Latest Liquidity Allocation Votes (LAVs) results.
Rebalancing Rewards
On the 26th of February, voting went live to enable rebalancing rewards.
As per the official “Conic v2: A New Hope” announcement, the team initially disabled the rebalancing rewards for the Conic v2 launch. With a follow-up DAO vote required to enable these for the Omnipools pool.
This vote was expected to occur 4–6 weeks after v2’s launch, subject to the Omnipool total value locked (TVL). The vote itself was launched on Snapshot and concluded on March 2nd.
The vote saw a massive 1.7M vICNC in support (93.18%), and a tiny 6.82% abstain. The successful conclusion of the vote means that as of the next Liquidity Allocation Votes (LAVs), rebalancing rewards would once again be enabled for all Omnipools.
Locked CNC All-Time High
On February 27th, Conic hit an all-time high of locked CNC—over 2,000,000 to be precise!
The current circulating supply locked is 31.07%, and the APR for vICNC holders is around 18%. The APR depends on the amount of CNC bonding, but as of the last few epochs, all available vICNC has been sold.
As a reminder, these vICNCs are locked and range from 4 to 8 months. The bonding is only active for the first 52 weeks, and the cncCRVUSD LP tokens will get staked on Conic to earn CRV and CVX—streaming into the reimbursement plan and vICNC lockers.
The New Omnipools
On the 28th, both the USDT and FRAX pool CAPs went live and concluded on the 5th of March. This included the addition of the FRAX+PYUSD pool, following Paypal’s proposal we highlighted in the last ConeLink transmission.
These CAPs were to determine the whitelisted Curve pools to receive liquidity allocations from the v2 FRAX Omnipool at launch:
How did each of the pools fair? Well, the USDT pool had an even split between the top three pools. However, MIM+3crv had a low turnout, falling short of the required 34% quorum with only 21% of the vote.
As with the USDC, FRAX sees a fairly even split amongst its three pools, with USDC+crvUSD being the most popular at 99% almost a 10% lead over FRAX+PYUSD.
What happens next? Both pools will be included in the next round of LAVs, and once these conclude, the new Omnipools will go live.
Latest LAV Results
The latest LAV went live on February 29th and concluded on March 5th. The newest distribution of each of the pools is as follows:
crvUSD POOL
USDT+crvUSD — 41.27%
USDC+crvUSD — 40.05%
FRAX+crvUSD — 18.69%
ETH POOL
ETH+stETH — 33.70%
ETH+stETH (ng) — 27.01%
WETH+frxETH — 26.57%
ETH+frxETH — 12.71%
USDC POOL
PYUSD+USDC — 36.29%
USDC+crvUSD — 33.78%
DAI+USDC+USDT — 16.53%
FRAX+USDC — 13.39%
The latest LAV shows that the biggest gainer was PYUSD+USDC in the USDC pool, with >36% in its first LAV. In the USDC pool, DAI+USDC+USDT took the biggest hit, dropping over 13%—worth noting that USDT+crvUSD is still the most dominant Omnipool in votes across all pools.
Interestingly, following the LAV conclusion, it was discovered that PYUSD had not yet been added to the Curve Meta Registry—a bit of a show-stopper for inclusion in the Omnipools. Therefore, the vote weights from the LAV were distributed proportionally among the other three pools.
Conic Team member bb8 confirmed in Discord that they had coordinated with the Curve team and that PYUSD would be included in the Curve Meta Registry by the next round of LAVs. It will be interesting to see if it still gets such a dominant vote.
Additionally, in the next ConeLink, we can also compare the pool liquidity fluctuations between the additional USDT and FRAX pools.