Simple Summary

This SCCP proposes the establishment of a Gnosis Safe, managed by the Treasury, to hold the 5 million sUSD minted under SIP-2151. The Treasury will use this safe to offer market makers sUSD loans. Market makers can deposit yield-bearing Static AAVE USDCn tokens as collateral, which can be minted on paraswap, and receive sUSD loans at 90% LTV with no interest or fees. To reclaim their collateral, market makers simply return the borrowed sUSD to the safe.

Motivation

The primary motivation is to provide market makers with a seamless mechanism to on-ramp and off-ramp sUSD, enhancing the trading experience for traders on Optimism. Market makers interested in participating can submit a request via the Synthetix Discord. Treasury has full discretion over program applicants, reserving the right to reject small traders or those engaging in non perp market arbitrage activities. Priority will be given to market makers with a proven track record of executing high-volume arbitrage on Optimism.

Copyright

Copyright and related rights waived via CC0.