MIP-0031: Deploy ARTH on Base & Linea

Proposals
1

Abstract

This proposal seeks to further the reach and utility of the ARTH token by facilitating its native deployment on two additional platforms: Base and Linea. Through this, we aspire to not just increase liquidity and adoption, but also solidify our footprint on various DEXs and Lending Protocols in the various up and coming blockchains.

Motivations:

  1. Native Deployment: Unlike traditional bridging solutions, ARTH will be natively deployed on both base and Linea, ensuring seamless operations and improved security on both platforms.
  2. Expand Ecosystem: Deploying ARTH on more platforms means greater accessibility.
  3. Increase Liquidity: A broader reach should ideally boost trading volumes for ARTH.
  4. Strengthen Decentralization: Being on diverse platforms fortifies ARTH’s resilience.
  5. User Adoption: The user bases of both Base and Linea are rapidly increasing, presenting ample opportunities for ARTH.
  6. Potential Airdrops: Both Base and linea don’t have their native tokens live yet. This gives an opportunity for the DAO and for it’s users to farm the upcoming airdrops.

Grants and Funding:

https://cointelegraph.com/news/coinbase-wants-devs-to-build-inflation-pegged-flatcoins-on-its-new-base-network

Building on other chains allows us to tap into not just a wide and new ecosystem of partners that are openly willing to collaborate with MahaDAO, but also opens the possibility for the DAO to receive grants from these chains.

Coinbase has previously intentioned their interest in seeing inflation-proof stablecoins such as ARTH being built on their chain. This gives us an opportunity to do so.

Price Feed Consistency:

To maintain consistency and reliability in valuation, the price feed for ARTH will be equivalent to the price feed for ETH. This ensures that users, regardless of the platform, have a consistent measure of ARTH’s value.

Which means the price of ARTH will be the same across all chains (Base, Ethereum, Linea) irrespective of which blockchain it is deployed on.

Using cross-chain protocols such as CCIP we can natively pass the pricefeed across the various chains using ETH as main source.

Proposal Details:

  1. Token Contract Deployment: The ARTH token contract will be deployed on base, Linea and zkSync. This will involve coding, testing, and ensuring the contracts are secure.
  2. Liquidity Pools: Initial liquidity pools for ARTH will be created on both platforms, aiding in its trade and utility.
  3. Integration: Work with both base and Linea teams to ensure smooth integration, including wallet compatibility and exchange listings.
  4. Awareness Campaign: Launch a campaign to inform current and potential ARTH users about its availability on base and Linea.

Benefits:

  • Enhanced liquidity for ARTH.
  • Increase in ARTH’s overall market presence.
  • Improved resilience through decentralization.
  • Access to new communities and potential adopters.

Risks and Mitigations:

  • Smart Contract Risks: As with any deployment, there’s a risk of vulnerabilities. This can be mitigated through thorough auditing and testing.
  • Liquidity Fragmentation: There’s a potential that liquidity could be spread thin across multiple platforms. This can be managed through incentives and rebalancing strategies.

Next Steps:

  1. Obtain feedback from the MahaDAO community.
  2. Engage with the Base and Linea teams for technical consultations.
  3. If approved, begin the deployment of ARTH and start testing on these chains.

Conclusion:

The proposed deployment of ARTH on Base and Linea is a strategic move towards strengthening its position in the DeFi ecosystem. By extending its reach, we aim to deliver more value to our community and ensure ARTH’s growth and sustainability.

We would love to hear from the MahaDAO community members to provide their feedback and participate in the voting process.

  • Yey. Let’s travel to Base and Linea
  • Nay. Let’s stay on Ethereum.
0 voters
1 Like
2

What else could we do on these blockchains ?

Does it make sense to make mahalend available there as well ?

Can you go a bit more into detail about the marketing campaign?

2 Likes
3

We can also look at deploying MahaLend over there, but a lending protocol is a lot more risky to deploy and maintain than just the stablecoin. So I’d recommend the community to wait a bit before go through that route.

It’d make more sense to start with ARTH gradually and grow from there. And also there are a lot of lending protocols already on these chains and I am confident the team will be able to get a few protocols to close where they’ll accept ARTH as collateral.

Furthermore the best plan of action for growth is to target the Velodrome/Solidly type DEXes because they have built-in bribe system that we can easily use to incentivize LP liquidity at dirty cheap costs.

Overall there is a much organized ecosystem (developers and founders) in Base, Linea and zkSync than the other networks we have deployed in the past.

2 Likes
4

Okay makes totally sense that mahalend is more risky and also needs more time because of that.

About the marketing even if we use bribes to get into DEXes nobody knows about ARTH we need influencer campaigns, amas with the DEXes, maybe also some Arth giveaways and zealy :slight_smile:

And most important we need real usecases for ARTH

2 Likes
5

Lets deploy $ARTH on Base and Linea :+1:

6

I am in favor of this expansion. I think it’s good that we’re doing this with ARTH (third party integration and partnerships) and not with Mahalend right away. We could always build Mahalend on top of these chains later if we think it’s suitable.

However, we should still build up ARTH and Mahalend on ETH and Arbitrum and push the TVL there. It doesn’t make a very trustworthy impression if we start on 10 chains but nothing happens anywhere. On both active chains ARTH has hardly any liquidity so far, which makes it hard to do anything with it.

2 Likes
7

I agree with this. Base has been having massive growth recently and it’s a lot easier to do a few partnerships over there. So the idea is to grow TVL and community over there and bring everyone to explore ETH and Arbitrum as well.

Also to note that Arbitrum doesn’t have ARTH anymore now that Anyswap has been taken out.

So this approach of building ARTH natively on each chain serves well in creating a robust version of ARTH.

8

The bribes are the best way to get exposure. Furthermore, each DEX we partner with would have campaigns that we can do as well.

9

We’ve put the proposal out for a vote. It shall be live tomorrow.

https://snapshot.org/#/themahadao.eth/proposal/0x99e86ea864234a40bda212ec387017b1853f639a55e1383b997a3076e55426c9

10

better for adoption!