SPS Governance Proposal - Restructuring DAO LPs

Purpose

After the most recent DAOn Hall, I ran a series of polls in an attempt to determine what proposals the SPS DAO would like to see related to its ongoing DeFi strategy. Please note that this proposal is going to require multiple steps in order to provide a clear and actionable set of instructions for the SPS Treasurers in the event that this proposal passes.

Proposal

If this proposal passes, the SPS DAO will make the following changes as soon as the SPS Treasurers can be organized to do so:

Close the existing targeted range DEC:USDC v3 position on Pancake Swap (#1250953)as well as the existing SPS:ETH v3 position on Pancake Swap

Create a new DEC:USDC v3 position with a range of 0 to 0.00101 on Pancake Swap with 100,000 USDC and an equivalent amount of DEC. The pool fee will be 0.05%

Swap the extra USDC for 20,000 USDT, $20,000 worth of BTCB, $20,000 worth of ETH and $20,000 worth of SOL on the BSC chain.

Create a new SPS:USDT v3 infinite range position on Pancake Swap with 20,000 USDT and an equivalent amount of SPS. The pool fee will be 0.05%

Create a new SPS:USDC v3 infinite range position on Pancake Swap with 20,000 USDC and an equivalent amount of SPS. The pool fee will be 0.05%

Create a new SPS:BTCB v3 infinite range position on Pancake Swap with $20,000 worth of BTCB and an equivalent amount of SPS. The pool fee will be 0.05%

Create a new SPS:ETH v3 infinite range position on Pancake Swap with $20,000 worth of ETH and an equivalent amount of SPS. The pool fee will be 0.05%

Create a new SPS:SOL v3 infinite range position on Pancake Swap with $20,000 worth of SOL and an equivalent amount of SPS. The pool fee will be 0.05%

Add 200,000,000 DEC and an equivalent amount of SPS to the DEC:SPS pool on Hive Engine.

If any additional funds are needed for the creation of these pools then the SPS DAO treasurers may convert BNB into the necessary tokens to create the pools.

Notes

If this proposal passes, it should make the DAO's DEC:USDC pools more efficient while providing full range coverage for DEC up to the soft peg value. The new pools should help to encourage triangular arbitrage through the SPS and DEC tokens which will hopefully create a healthier overall token economy and DeFi strategy. The more liquid our tokens are and the more volume we can capture the better.

It's important to understand that more exposure to different tokens carries potential risks. These include impermanent loss and counterparty risk of third party tokens and assets. For example, we don't control the ETH or BTC wrapper for the Binance Smart Chain.

The other two issues the polls aimed to address will be handled separately. I am looking into bridging to BASE and will be discussing this with the Validator developer in the near future. There is a separate proposal to allow the SPS DAO to vote on whether or not it would like to end all LP incentives.

As always, thanks for your time and consideration on these issues.