Velodrome Community Launches Proposal for Stargate to Transfer $1.5 Million in POL to Velodrome

Velodrome, the AMM protocol on Optimism, launched the "Make Velodrome the STG Hub on Optimism" proposal on Commonwealth to increase the liquidity of Stargate on Optimism. The proposal proposes to transfer $1.5 million POL (liquidity owned by the protocol) from the Uniswap LP pool to Velodrome based on LayerZero's cross-chain liquidity protocol Stargate and bribe the STG-USDC pool. Velodrome will match Stargate according to the "Tour de OP" incentive plan 40% of the bribes (bribes), which can have more than 4 times the impact on STG-USDC's liquidity incentive Chans. Meanwhile, LP will still be used, and Stargate can choose to migrate additional POL to Optimism. Stargate will lock VELO rewards from staking earnings into veVELO to reduce the need to release STG while maintaining liquidity on Optimism. Locked veVELO will automatically earn Stargate a locked reward, typically worth 30-40% of locked VELO, paid in OP. Stargate will start a trial run with $500,000 worth of STG, bribing the STG-USDC pool at a rate of $100,000 per week. Velodrome will match 40% of Stargate's weekly bribes. If a vote is passed on March 2, Beijing time, Stargate’s LPs will receive a higher APR and gradually reduce the release of STG.