Executive Proposal - "Migrating incentive from Balancer v1 to Balancer v2"


The Governance Facilitator(s) and the Mimo Contracts Team have placed an executive proposal into the voting system . Mimo Token Holders are requested to vote for this proposal if they support the following alterations to the Mimo Protocol.


If the Mimo Token Holders accept the executive proposal, the following changes will be deployed to the Mimo Protocol:

Before After
Balancer v1
  wETH Minting 25% 0%
 USDC Minting 5% 0%
 wBTC Minting 14% 0%
 [wETH: PAR] Balancer pool liquidity providing 28% 0%
 [USDC: PAR] Balancer pool liquidity providing 28% 0%
 [MIMO: PAR] Balancer pool liquidity providing 0% 0%
Balancer v2
 wETH Minting 0% 25%
 USDC Minting 0% 3%
 wBTC Minting 0% 11%
 [wETH: PAR] Balancer pool liquidity providing 0% 28%
 [USDC: PAR] Balancer pool liquidity providing 0% 28%
 [MIMO: PAR] Balancer pool liquidity providing 0% 5%

We believe this change needs to be executed because migrating to Balancer v2 will offer better capital and gas efficiency making the Mimo experience a lot more affordable. You can read more about it in the blog post from Balancer. The proposal will also implement the pool incentive for MIMO: PAR.

Please make sure to inform and educate yourself before proceeding with your vote. Community discussions are always welcomed.

Hey! Great to see you guys building on Balancer V2. I’m part of Balancer’s Liquidity Mining committee and was wondering what your long term plans were for running the incentives, and also whether our new Stable Pools could be of interest to Mimo (for example deploying a PAR/sEUR/EURS stable pool)?

Balancer’s keen to work with protocols building on/with us as best we can, so would be great to learn more about your project, objectives and how we can best support. I’ve experimented over the last couple of days with minting and pooling PAR with USDC, and it’s been great for me as someone looking for both EUR & USD exposure.

I also have an idea for your MIMO/PAR pool: what was the thinking about weighting so heavily for PAR? As it stands, people who deposit their MIMO rewards into that pool are selling 75% of it for PAR automatically.

Would it make more sense to weight the other way around, so 25% PAR, 75% MIMO? That way when people deposit MIMO from liquidity mining into the pool, it’s not mostly being sold (creating downward pressure on MIMO price), while still providing the same amount of useful PAR:MIMO liquidity for traders.

I would expect that by making that change, then doubling the MIMO:PAR rewards allocation (at the expense of the two other pools’ rewards) you would see MIMO price increase, and therefore APY on the WETH:PAR & USDC:PAR pools increase in spite of the reducing in overall rewards they receive.

Just my 2c :slight_smile:

1 Like

Hey @Bakamoto20!

We’re indeed very keen to build this and would even be open to provide some of the liquidity ourselves in each of the Euro to get things started! Any chance we can keep this conversation running on telegram (I’m @Biscuit_Mimo)?


First, thanks for the suggestion!
Second: Let me provide you with the current rationale. We’ve observed that there was a lot of flow of users going through the route of “Mint PAR” → “Sell PAR for USDC”. This was very much welcomed but generated a bit of work to keep PAR as stable as we want it to be, so we wanted to have a pool which needed more PAR to balance things out.
Turns out we’re now working on a new solution and we won’t be needing this 75-25 balance anymore, so we’re looking to move it the other way (probably going 50-50 first).

Regarding the rewards, we’ve started with a little to test the waters and see if users would be keen to try, and we’re now happy with the response so we intend to rebalance a bit. It’s important for us that our governance token enjoys some liquidity so we naturally want to incentivize it.

All in all, we have a tendency to move fast with a lot of small changes instead of huge breaking changes so we can read the data and evolve with what we see users’ doing!

Stay tuned for the next proposals. The team sincerely appreciates the time you’ve spent sharing your “2c”, this is exactly why we’ve setup this forum!



Ah okay, that makes sense. I suppose another interesting approach could have been to make the PAR:USDC pool 75:25, although I guess there are downsides there as well in terms of the reduction in useful liquidity for quite an important bridge for you.

We’ve seen 80-20 / 75-25 [gov token]-WETH & [gov token]-USDC pools work well, generally members of the community like them as they’re “bullish” pools for the project token with less impermanent loss than a 50-50 pool. They also bootstrap liquidity nicely while helping projects with liquidity mining programs to provide an appealing pool that reduces the regular “farm & dump” pressure.

I noticed watching the mimo price today on Balancer dropping off as people were selling their reward tokens and think that current 75-25 PAR-MIMO pool is a significant part of this, so good you’ve got something in the works anyhow :slight_smile:

Have joined your telegram channel & added you as a contact.