Vesta Finance x Olympus Incubator
Vesta Finance Joins the Olympus Incubator Program
Hello Ohmies — we are pleased to announce that Vesta Finance has joined Olympus Incubator and will LBP on January 31st, 2022 with official launch a few days after the three day event. Our partnership through the Olympus Incubator program, will bring utility to Ohmies and bring further value to the backing of OHM.
Vesta Finance is a lending protocol on Arbitrum based on Liquity, with the added feature of multi-collateral and a set of governable parameters. Liquity is a widely used over-collateralized lending protocol on Ethereum that allows for a liquidation ratio as low as 110% on ETH.
Olympus DAO will benefit from the following:
Vesta will provide Olympus with 6% of their governance tokens vested linearly over two years. In Q1, Ohmies will be able to collateralize gOHM at 66% Loan to Value (LTV) and mint VST, Vesta’s dollar-pegged stablecoin at 0% interest with a small mint fee of 1.25%.
Vesta will benefit from the following:
- Olympus has committed to providing Vesta with the VST minted from $250K in OHM
- Launch and operational support and advice from Olympus
- Exposure to Olympus community
- Advice and assistance when required from highly skilled Olympus DAO contributors
The other core elements of the incubation are listed below:
Liquidity for VST
- Increased gOHM liquidity on Arbitrum
Governance support
- Olympus to use its governance power to vote for an Arbitrum Curve pool/s and — along with the needs and priorities of the treasury and other partners — vote to boost its Curve gauge. This will allow further yield for the Olympus treasury where it can supply liquidity to those pools
Extensive use of Olympus Pro
- Extensive use of Olympus Pro and Olympus’ other upcoming liquidity products to allow Vesta to deepen its VST and VSTA liquidity
Integration of current and future Olympus products into Vesta
- Vesta will support gOHM as collateral in Q1
- After launch Olympus will have the ability to influence other collateral types to be added including its partners
Onboarding of VST as Olympus treasury asset
- As a decentralized unit of value which Olympus has an interest in — VST is a great choice to continue diversifying the Olympus treasury and grow OHM supply. Once VST is on Ethereum mainnet — the Vesta team will work with the Olympus Policy team to establish a suitable time frame and allocation to bond VST and VST/OHM — which will then be proposed to the Olympus community
Cross-chain support
- Vesta will seek out the expertise and advice from Olympus DAO in assisting it to make VST a cross-chain asset into the future — being cross-chain will also provide a chance for Olympus to initiate pools and earn trading fees across the multi-chain universe
Governance partner
- Given that Olympus will hold 6% Olympus will be an engaged and active participant in the governance of Vesta through approved DAO mechanisms or a delegate
To learn more about Vesta Finance visit this blog for an introduction to their protocol and this link for documentation.
No other product in DeFi is committed to the success of partners like Olympus Incubator. To learn more about what we do, please visit us on twitter.
