0x962228a9…9255sent to0xbeccb6bb…9bf6·#23,491,861·view on Etherscan
addMarket(address)# Add DOLA/wstUSR Convex LP Market to FiRM
Forum Link: https://forum.inverse.finance/t/add-dola-wstusr-convex-lp-market-to-firm/606
## Summary
This proposal adds the DOLA/wstUSR Curve LP token (LPT) as a collateral option on FiRM. The new market mirrors the risk framework of the existing DOLA/USR LP markets while directing part of aggregate exposure to the yield-bearing wstUSR leg. To keep total USR-related exposure unchanged, we propose reducing the aggregate DOLA/USR LP ceilings to $25m and setting the DOLA/wstUSR LP ceiling to $25m, preserving a combined $50m limit across USR-family LPs as previously approved and expanded by governance.
Why now: the DOLA/wstUSR LP accrues the staking yield from stUSR via wstUSR, which should be structurally more sustainable for the DAO versus points-only flows. While the current Resolv incentives award a lower multiplier to DOLA/wstUSR versus DOLA/USR (e.g., 20× vs. 30×), the embedded stUSR yield helps offset that difference over time.
## Background
* The DAO previously approved the DOLA/USR Convex LP market on FiRM and later raised its ceilings (Convex + Yearn variants) with an aggregate cap of $50m
* This proposal keeps the same overall USR-related exposure while introducing the yield-bearing wstUSR variant as an alternative collateral market
## Motivation
* Sustainability: wstUSR wraps stUSR, which accrues protocol yield; LPing DOLA against wstUSR lets borrowers capture that yield path while borrowing fixed-rate DOLA on FiRM.
* No net risk expansion: we reallocate ceilings from DOLA/USR to DOLA/wstUSR 1:1 (see “Ceilings & Reallocation”) instead of increasing aggregate exposure.
## Ceilings & Reallocation
This proposal will uphold the [previously authorized $50 million total cap](https://forum.inverse.finance/t/raise-dola-usr-lp-firm-market-ceilings/589) across USR-family LPs. The current DOLA/USR LP limits will be scaled down proportionally from the existing split (Convex $40 million, Yearn $10 million) to convex $20 million and Yearn $5 million. The new DOLA/wstUSR LP limits will mirror this, with convex receiving $20 million and Yearn receiving $5 million.
### Risk & Oracle (unchanged approach)
* Collateral profile: Stable-to-stable Curve LP with DOLA and wstUSR; wstUSR unwraps to stUSR, accruing yield against USR units.
* Oracle methodology: Mirror the approved DOLA/USR LP oracle approach using a conservative LP valuation (Curve virtual price and Chainlink USR/USD price feed) via the deployed custom token price feed adapter used for USR-family LPs.
* Liquidations: Same liquidation factor/incentive and settlement paths as DOLA/USR LP markets.
* Governance & operational considerations: This does not add a new issuer exposure beyond USR/stUSR; it redistributes ceilings toward the yield-bearing wrapper. Prior USR collateral risk assessment and monitoring continue to apply.
## Parameters (match DOLA/USR LP settings)
We propose to inherit the existing DOLA/USR LP market parameters, which have already been vetted by governance, with a temporary increase to the daily borrow limit in order to facilitate a more seamless migration for users (this will be adjusted back down to 2m after the migration has mostly been complete):
* Collateral Factor (CF): 90%
* Liquidation Factor (LF): 100%
* Liquidation Incentive (LI): 5%
* Daily Borrow Limit (BorrowController): 5,000,000 DOLA (temporarily at this level whilst users are migrating from the DOLA/USR market to this one)
* Minimum Debt: 3,000 DOLA
* Oracle stalenessThreshold: 86,460 (≈ 24h)
These values match the approved template previously used for the DOLA/USR Convex LP market. [(Inverse Finance Forum)](https://forum.inverse.finance/t/proposal-to-add-dola-usr-convex-lp-market-to-firm/546)
## On-Chain Actions
* Add DOLA/wstUSR LP Convex Market to DBR Contract
*Set borrowController of Market to FiRM BorrowController
* Set Market Supply Ceiling to 20,000,000 DOLA
* Set Daily Limit in BorrowController to 5,000,000 DOLA
* Set Collateral Factor to 90%
* Set Liquidation Factor to 100%
* Set Liquidation Incentive to 5%
* Approve DOLA/wstUSR LP Convex Market on the DBR Helper
* Set Minimum Debt Amount in BorrowController to 3,000 DOLA
* Set stalenessThreshold for DOLA/wstUSR Convex LP market to 86460 (24 hours)
* Set FiRM Oracle Price Feed for DOLA/wstUSR Convex LP to the deployed custom tokenPriceFeed contract
* Add DOLA/wstUSR LP Convex Market to ALE
* Add DOLA/wstUSR LP Convex Market to CurveDolaLPHelper
* Reduce DOLA/USR LP Convex market ceiling to 20,000,000