Keyrock Delegate Platform

Delegation Pitch
9

Update Uni v3/v2 Deployment Process

The proposal streamlines the process of deploying Uniswap allowing it to efficiently launch on new EVM chains. With the emergence of Layer 2s and popularity of Layer 1 EVM chains, liquidity is becoming increasingly fragmented. These trends require Uniswap to become flexible in deploying across a large number of chains.

For these reasons deploying Uniswap cross chain has become a standard procedure, and the quicker the process the more advantage we have being first movers and gain market share.

Additionally, it is important that the DAO retains power over deciding incentive distributions. While deploying Uniswap on a chain is often a trivial and straightforward decision, the strategy and amount of incentives requires further discussion specific to the chain.

Onboarding Package Bundle

This proposal bundles the incentive packages for Sei, Manta, Taiko and MoonBeam into a single OnChain vote. We voted FOR as the incentives align with what we supported in the Temperature Check. We believe these four chains have potential and Uniswap will benefit from increased TVL and dominance due to the incentive programs. Combining the proposals into one bundle reduces the workload required for the delegates and governance members.

Topic: Defi Education Fund

This request is for a substantially large amount of $UNI tokens.

  • Uniswap v3 UNI/ETH 0.03% Pool has 4.5k ETH in total buy-side liquidity ($13m).
  • 2% depth of $200k-$300k on Tier 1 exchanges like Binance and Coinbase.
  • DEF has already received 1m UNI tokens in 2021 from the Uniswap DAO.
  • The requested amount is much larger than most UNI proposals.

Our sentiment reflects that of others — Our belief is that Uniswap’s large contribution has been unjustified given the lack of responses on the forum. Going forward, more accountability and transparency is required.

We would like to highlight that:

  • DEF has yearly expenses of around $2 million. They have a runway of around 2 years.
  • DEF has made commitments to provide monthly updates via calls and governance forum.
  • 1m UNI is around $7m; this amount gives DEF around 3.2 additional years of runway.

While we do see the benefit in funding the DEF and believe their work is valuable, we see no reason that an upfront commitment is required from the DAO — especially for such a large amount. A yearly contribution would be more appropriate, giving the DAO flexibility to pivot on their contributions based on the updates provided by DEF.

We voted against this proposal and instead voted for a 300k UNI contribution in the amended proposal by Stablelab.

Uniswap Delegate Rewards

Governance is a core process that ensures the decentralization and strategic vision of Uniswap. Delegates are a crucial part of this process. Without the 10 million delegation program, proposals would struggle to reach quorum; even now, with most delegates having 100% voting turnout, overall participation is around 6%, while 4% is needed to reach quorum.

Delegates perform hard work and require significant effort to conduct the necessary due diligence to vote and participate in discussions. It makes sense to provide incentives for these actions since as delegates are not incentivized by the value of their UNI tokens.

Finding the ideal incentive program to fairly incentive delegates is an iterative process. Delegate rewards have been long discussed, and this is the first real implementation on Uniswap - small improvements and adjustments can be made after using these 3 months as a trial period.

We believe that this proposal will help increase governance participation and improve the quality of discussions on the forum. We have applied here.

[Temp Check] Onboard Uniswap to Redstone

Redstone has only 526 ETH TVL on their Layer 2.

Due to the Extremely low TVL, we are not convinced that this deployment will be beneficial for Uniswap yet. Despite this, Redstone has already financed a front end meaning deploying without incentives has no additional costs for the DAO.

We will vote for this proposal with no incentives. However, we recognise the ecosystem is still in its early stages and incentives may be justified in the future.

[Temp Check] Uniswap Onboarding Package - Manta

The Manta ecosystem is in its early stages. Manta prioritises DEFI through incentives such as native yield, DEFI airdrops, and Manta airdrops for ecosystem applications - giving Manta Potential to become a DEFI Hub.

Despite its high TVL of $520m, Manta lacks sufficient DEX liquidity. Only 4% of the TVL is in DEXes, while 96% is in lending platforms. Additionally, a large pair of liquidity lies in stable pair of STONE/WETH. As seen in simulations, swaps on chain incur significant slippage.

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Based on the above, launching and incentivising Uniswap on Manta is beneficial for both parties:

  • Uniswap: Expand market share, Cross chain dominance, increased user base.
  • Manta: Increased total value locked, bluechip DEX on Manta.

Due to this we support a joint campaign with $MANTA and $UNI rewards.

  • Manta is currently running their Renew Paradigm Program which aims to accelerate yield by incentivising $Manta, $Stone, and $WUSDM pools. $3m MANTA tokens are allocated for this initiative to a total of 11 protocols. This program rewards protocols that allocate their native token as rewards. This overlaps Uniswaps current proposal.
  • Quickswap also has a joint partnership with MANTA where they received : 85k MANTA in LP rewards, 50k to future MANTA LPs, 50K to future $MANTA, $STONE, $wUSDM LPs. The total amounts too $500k + at current prices. We believe there is potential in collaborating with MANTA to incentivise LPs from their side.

We vote Yes to this proposal

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