Some ideas for uBTC after tzBTC2.0 released

Ideas
#1

After the launch of tzBTC 2.0, tzBTC will quickly back peg to BTC. This will have a positive impact on Tezos DeFi. For uBTC, which has the strongest correlation with tzBTC, it is necessary to improve the existing mechanisms as soon as possible to increase uBTC adoption. The specific recommendations are as follows:

1、Reduce the deposit fee of the uBTC Saving pool from 0.5% to 0%. Remove the long locking mechanism of the uBTC Saving pool and switch to a current deposit mode.
2、Maintain the peg of uBTC by dynamically adjusting the uBTC Lending Interest Rate.
3、Deploy the uBTC/yTEZ minting engine with minting fee 0.39%(same with uXTZ engine).

These will help increasing the minting volume of uXTZ and uBTC and to help uBTC peg.

#2

The team is currently working on a multi-collateral engine that would have the most competitive rates and no minting fee. This is part of the vision outlined last year and the cool thing is not only it will have the lowest interest rates, it will allow for loan to value of 90% (effectively allowing for a 10X leverage).

This being said do you believe that this new engine is actually in line with the opportunity you are mentioning above?

Collateral for the engine will be:

  • tzBTC
  • tez
  • SIRS
  • USDt
  • uUSD
  • uXAU
  • uBTC
  • yTEZ
#3

Great, any ETA then?

And the point 1 and 2, can we do it?

#4

we’ll need to have a review finished and then it’s ready to be proposed as a YIP.

  1. can be done, but what is the purpose then from the savings pool?
  2. yes, but what is a good metric for this?
#5

point 1 and 2 are the same thing.

The savings pool is similar to the US dollar treasury market and is used to soak up excess liquidity to help keep uBTC pegged. the savings pool must be sensitive to movements in interest rates, so the thresholds for entering and leaving the pool should be as low as possible, right now the thresholds for the pool are too high and are severely impacting liquidity.