This proposal asks that the incentives program migrates incentives from the Stableswap pool of USDC/axlUSDT to the pools comprising the USDC/USDT Supercharged pairings created in Proposal 579 and expands the Stable/Stable category requirements to include Supercharged pools.
With Proposal 574, Osmosis governance has recognized USDT via Kava as the canonical version of USDT.
This status comes with the promise that the canonical status of USDT will receive higher incentives than the non-canonical version.
This proposal would cause the removal of incentives from the USDC/axlUSDT Stableswap pool at the next incentives proposal, removing the pool from the incentives system. As incentives proposals now occur monthly rather than weekly, this will take place in a single proposal, with the passing of this proposal being advanced notice of the change.
The two OSMO/USDT Supercharged pools created in Proposal 579 will be added to the incentives system at the next routine incentives proposal.
Both pools are added to the incentives system to allow the optimal spread factor to be used from the two options of 0.05% and 0.01%. The pools will therefore be incentivized based on their performance. As there is no bonding period for normal Supercharged liquidity, this should encourage the movement of liquidity between the two pools as required to provide optimal trading liquidity. This represents a movement towards the incentivization of pairs rather than pools.
Proposal 377 defined a requirement for all pools in the Stable/Stable category to use the Stableswap curve. To add the USDC/USDT supercharged pool to this category, this requirement would be expanded to include Supercharged pools.
Target on-chain date: No earlier than 14th August 2023