Grant ASTR from Astar Treasury to Starfish Finance DeFi X NFT-FI as a Part of the Incentive for Liquidity Program

Proposal: Grant ASTR from Astar Treasury to Starfish Finance DeFi X NFT-FI as a Part of the Incentive for Liquidity Program.

Proponent Address: ZRmTs6gss5zkRJwe7XvnPgvEXunjsgwBcdKHjrjkxZEDNmd

Requested Amount: 1,200,000 ASTR

Date: Sat,December 3, 2022.

Short Description: Since Starfish Finance DeFi X NFT-FI was announced to be integrated into the Astar network family, the Astar community has been calling for Starfish Finance dex to be launched on the Astar network as soon as possible. We hope to have the support from the Astar team to potenciate even more our recent Starfish Finance
Dex launch, keep the momentum and help the development of the Astar network, which will also benefit the community.

Background

Astar Network Community, this is :fire:Real_Dennis_S_F​:fire: from Astar Community representing Starfish Finance team, Starfish Finance has been building on Astar and working hard since long time ago to deliver the top #1 best DeFi & NFT-FI experience on Astar Network and Polkadot. We are confident in the future of Astar and Polkadot and have been working hard to deliver the best product for the Dotsama ecosystem.

About:

Starfish Finance is a multichain protocol in the Polkadot ecosystem.

Starfish Finance is a one-stop DeFi journey with multi-token stable and weighted swap, based on Balancer V2, cross-chain aggregation for crypto assets and NFTs, and unleashing liquidity potentials in NFTs on multiple prominent ecosystems in the near future subsequently.

-Starfish Finance has Astar network as the major integrated parachain and is also listed on the Astar dapp staking.

This proposal will serve as the next step in complementing our recent and successful Starfish Finance Dex launch on Astar network Ecosystem.

Proposal:

The purpose of this proposal is to request the allocation of ASTR from Astar treasury to Starfish Finance as a part of the liquidity incentive program.

We want to request 1.2M ASTR from the Astar treasury as a liquidity incentive for the first three months of Starfish Finance Dex launching on the Astar network. In addition the Starfish Finance Dex native token SEAN is also part of the incentive program. There are currently 4 pools created by Starfish Finance Dex on the Astar network: 4pool (ceUSDT+ceUSDC+DAI+BAI), ASTR/ceUSDC, DOT/ceUSDC, SEAN/ceUSDC, and ASTR grant will be used for liquidity incentive of the above mentioned pairs.

To better describe the goal of liquidity, we will add a statement below so that the community can more clearly understand our request and how it will be used.

4pool (ceUSDT+ceUSDC+DAI+BAI)= Total rewards ASTR 65000.
ASTR/ceUSDC= Total rewards ASTR 400000
DOT/ceUSDC= Total rewards ASTR 400000
SEAN/ceUSDC= Total rewards ASTR 335000
Target total TVL 50 M.

Statement

  1. The price of ASTR change daily based on the market, but the total amount of ASTR in the proposal will be fixed.

  2. We will observe the TVL, volume, etc. of each pool and adjust the distribution of rewards in each pool according to the actual situation, and the total rewards will be ensured to be distributed among the above pools within three month.

3)The target TVL was set as a ambitious target based on current market conditions and Astar network liquidity, and we expect to exceed the set target. If the TVL exceeds the target or Starfish Finance wants to increase the TVL, we may increase the SEAN reward allocation.

4)The incentive program above only covers the first three months, but the SEAN incentive is continuous and we want it to be long-term.

5)We hope to build deeper collaborations with other projects in the Astar ecosystem to bring a better DeFi×NFT-FI experience to our community. By the way, if you are a new project on the Astar network and want to create liquidity on DEX, you are welcome to come to Starfish Finance.

The goal of the proposal is to help grow the TVL of the Astar network and provide the Astar community with the very best of Starfish Finance building the multi-chain DeFi x NFT-Fi headquarters on Astar Network with multi-asset swap, $DOT liquid staking and NFT-Fi.

Responsibilities

In order for the liquidity provision to be funded in a completely trust minimized or trustless way. Therefore in this section we explain how the beneficiary address is set up, who controls it, and will be the management work for the address.

• The address of the fund recipient: Starfish Team

Who controls the funds Starfish Finance team

Incentivized liquidity mining often attracts mercenary capital. People farm and dump, which is not good for the ecosystem.

In most cases, after the campaign period, the TVL will go back it where it was. This is not a long term solution to attract TVL.

I’d rather not put the treasury tokens into circulation unless there is a solution to prevent or reduce the farm and dump scenario.

You need to find a solution for this. Please read this Tweet.

I am connected with the guys building Resonate. If you want to partner with them, please let me know.

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Are you a member of the Starfish Team? Perhaps there should be an official Starfish official to apply.

I really like Starfish Dex’s UI

I agree with @moonme

With all the respect you deserve, it is funny how in short periods of time you change your mind about Incentive for Liquidity concept: on Thursday, July 14, 2022 you said: This is a healthy way to use the treasury funds. Now on Saturday, December 3, 2022 you say: "this often attract mercenary capital, not Good for the Ecosystem " this immediately destroys my trust in your point of view regard this topic. Thank you

Thank you for sharing your opinion.

Things are moving very fast in crypto and we also learn things very fast. From all the campaigns that have been done in the past, it is proven that incentivizing liquidity providers in such a manner does not sustain the TVL.

This is the reason why. You can say I change my mind. I agree with that. I changed because I have learnt new things.

Take a look at the DOT festival campaign. After the the campaign ended, did the TVL stay? No.

Take a look at Zenlink dual farming campaign, did the TVL stay after the end? No.

So, this is what I have learnt.

I am heading the Spacelabs initiative and there are projects who are requesting the same funds from the treasury and I told them the exact same thing I told you.

We are here to continuously improve our ways of doing things. So, this is up to you to find ways on how to do it.

faa7685c263f0c4b8819a4c3044850cf

I had a discussion with Dennis on discord. He is not even part of Starfish team. So I do not know why he is asking the funds to be tranferred to him. He is also not the one to execute the proposal.

This proposal is not relevant at all so I have to close this topic.

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