Into the Brine Vol. 4 — Yearn Collab and Smart Treasury

Website | Twitter| Github | Discord | Forum

Pickle Finance has been a bit of a roller coaster ride recently, to say the least. In this issue, we cover:

  • The Yearn Collaboration 🤝
  • Our Smart Treasury Implementation 💵

Yearn Collaboration 🤝

There is a lot to be excited about for this upcoming collaboration. Andre’s post outlines the synergies well. However, many are understandably confused about the finer details. Here, we try to address some of the questions which have been raised.

PickleJars

  • Until then, the existing PickleJars will continue to operate and accept deposits.
  • Following the migration, Pickle will be accepting yToken deposits so users can earn PICKLEs on top of their yVault APYs.

DILL (PICKLE locking)

  • The boosted rewards are in the form of increased PICKLE rewards, and NOT in the form of underlying Jar/Vault returns.
  • The mechanics of DILL largely mirror those of veCRV from Curve.fi.

Next Steps

  • Details of the revenue model going forward are still being hashed out.
  • Following this, how $CORN is to be funded can be discussed by the community.

Smart Treasury 💵

The Smart Treasury provides three main functions:

  1. Automatic buyback machine — fees generated from the protocol are used to buy back PICKLEs, which reduces the circulating supply.
  2. Liquidity provider — the Smart Treasury serves as a liquidity provider and can generate trading fees for the protocol.
  3. Token issuance pool — the Smart Treasury facilitates the secondary issuance of PICKLEs (separate from our Farms) for things such as grants.

Why is this Important?

  • The Smart Treasury provides another source of protocol revenue in the form of trading fees.
  • The Smart Treasury receives all protocol fees to thus maximize buy pressure (with the exception of revenue diverted to DILL holders).

To our knowledge, we would be the first project to implement a Smart Treasury — allowing Pickle Finance to pioneer innovative incentive models in DeFi.

Technical Details

There are a few final issues we are working out with the Balancer team before this becomes fully operational. Stay tuned for updates!

Join Us

Disclaimer

Get the Medium app

A button that says 'Download on the App Store', and if clicked it will lead you to the iOS App store
A button that says 'Get it on, Google Play', and if clicked it will lead you to the Google Play store