The goal is to create Idle Perpetual Yield Tranches with a mStable strategy. We look forward to onboarding a new piece to our tranche suite
Idle is the longest-running and most-resilient DeFi yield aggregator and rebalancing protocol, which offers allocation strategies that allow users to maximize returns and optimize risk exposure across DeFi protocols.
Recently we released “Perpetual Yield Tranches” in beta version here, capped now at $5M during the guarded launch. Tranches allow users to enjoy optimized DeFi yields with built-in protection on deposits by holding the Senior class, and leveraged yield exposure with Junior one:
- Senior Tranche offers the safest way to access DeFi yields, thanks to its built-in protection feature. With this instrument, LPs can enjoy and participate in complex and exotic products, reducing the exposure to tail risks. Senior Tranches intrinsically have a first lien on the underlying assets — they’re first in line to be repaid in case of default (hack, loss of funds);
- Junior Tranche receives an amplified yield by carrying a higher grade of risk, as Junior holders have a second lien or no lien at all in case of fund losses. This class of tranches is designed to receive a higher share of yield compared to the Senior class, which will proportionally compensate their Junior counterparts for taking such risks.
As the focus of the Idle protocol is and has always been the security of its users our new implemented product Perpetual Yield Tranches has been audited by Consensys diligence and Certik.
We launched the first $DAI tranches pool that tokenizes the risks & yields of idleDAI Best-Yield pool.
More info in our announcement: Introducing Perpetual Yield Tranches - Guarded Launch Phase #1
The tranche with the mStable strategy will support mUSD deposits, so mUSD from the main contract will then be sent to the new strategy which will put those in lending in the Save product. The strategy will then receive imUSD (the interest bearing version of mUSD), those should then be staked in their Vault in order to earn MTA rewards. The strategy itself should ‘tokenize’ the imUSD staked in the mStable Vault with a synthetic version of imUSD and send this synthetic back to the main tranche contract. An example of this can be found in this Convex strategy.
A wrapper contract should also be created to allow users to directly deposit underlyings supported by mStable and mint mUSD before depositing in the Idle tranches, an example of this can be found here (for deposit only in this case, but for mStable both all other logic , deposit and redeem should be implemented).
Technical documentation for Tranches is available here.
Up to 3500$ in IDLE + 3500$ in MTA depending on completeness
- Security approach
- Gas efficiency
- Development grade (only strategy code, unit tests, tests in fork)
- Documentation completeness
- Plus for deployment scripts
Interested applicants can announce themselves here in the Idle governance forum to avoid that multiple candidates start working on the integration.
No KYC or personal info is required.
Deadline: 8th December 2021
Devs can ask questions and receive support from the Idle team by joining the dedicated Discord #Dev channel