Summary
dForce proposes to add lending support to RAI on Ethereum, and would also like to gain support from Treasury to allocate 20m RAI to bootstrap the market.
Background
dForce advocates for building a full set of DeFi protocols covering assets, lending, and trading. dForce Lending is currently #1 lending protocol on Arbitrum in terms of TVL and #3 lending protocol on BSC in terms of borrowing volume.
dForce Lending has undergone extensive code reviews and security audits by Trail of Bits, ConsenSys Diligence, CertiK, Certora (formal verification), with a Bug Bounty Program launched through Immunefi to encourage security researchers, white hats, community’s participation in identifying potential vulnerabilities in dForce protocols and receive bounty rewards.
dForce is a DAO project with dForce token (DF) empowering the governance process. DF token holders can make proposals through our Forum and vote through Snapshot to collectively decide on proposed protocols changes across the entire dForce network, including new asset and collateral support, parameter setup and adjustment, protocol integration, etc.
Motivation
This proposal aims to expand RAI’s utilization and community through a partnership with dForce. We believe this integration demonstrates strong synergies between the two communities.
RAI has proved its success with impressive growth since its launch, but in order to fulfil its vision as a decentralized and non-pegged stablecoin that defies fiat currencies, we believe it’s crucial for RAI to build influence far and wide and integrate as many established DeFi protocols as possible, expanding utilization of RAI across a wider base of users. By providing bootstrapping liquidity to dForce, Reflexer Treasury is also able to earn yield from the deposit.
dForce was built with a heavy focus on decentralization: non-custodial, permission-less, censorship-resistant, automated execution of transactions without intermediary’s involvement, etc. dForce Token (DF) holder can propose and vote to collectively decide on protocol changes. Adding support to RAI would add diversity to asset types and inherently aligned with value of RAI as a decentralized stablecoin.
With a target of giving our users a broader range of best offering, dForce would like to add lending support to RAI (on Ethereum as a start), unlocking an alternative venue for users to borrow RAI against a variety of interest-carrying collaterals or simply earn passive yield on their RAI holdings.
dForce is currently deployed on Ethereum, Arbitrum, Optimism, and BSC . As a blockchain agnostic protocol aiming to provide underlying infrastructure powering the development of DeFi, dForce pertains to the ability to interact with differing protocols in various environment, giving users the freedom of choice to change between blockchains. The integration with dForce demonstrates a great opportunity for Reflexer to expand the utilization of RAI to different layers and/or blockchains in the shortest time possible.
To facilitate rapid adoption of RAI, we would like to propose to gain support from Reflexer Treasury to allocate 20m RAI liquidity to dForce to bootstrap the market, which would encourage borrowing of RAI and further enhance its ability to interact with other DeFi protocols and assets in a meaningful way.
We hope to build a solid partnership with Reflexer community to deepen mutual trust and benefits over time.
Proposal
Allocate 20m RAI liquidity from Treasury to bootstrap the lending market of RAI on dForce.