1.) Please, no need to like this post.
2.) I am posting this as a proposal so it gets maximum visibility
3.) here is link for reference - 1hive - Shapeshift Partnership (HNY-FOX LP) Vote 1 of 2?
As both parties were working out the details of adding LP we initially agreed to a 950FOX for 1 HNY LP. Since the proposals FOX token price continued to go up and at the same time HNY has taken a REALLY big hit. FOX/HNY pair is no longer even remotely close. The pair is now trading at 505 FOX for 1 HNY.
When the proposal was written a range between 900-1000 fox/hny was okay but 500/1 seems really far away to simply stake and let arb bots walk away with $100k+ in liquidity across the bridge back to eth mainnet.
We are asking to make a last minute change due to this significant change we have been presented. The proposal was to take 700HNY and 665,000 fox and add this to LP. Due to the massive divergence we will pair the 700HNY with as much of the fox available (~357,000). The left over fox (~308,000 or apprx $151,000) in the multisig we are asking to use it to help promote the partnership rather than let it drift over to an arb.
1.) half the LP will go to fox and the other half to 1hive dao as originally proposed
2.) The remaining 308,000 fox will be under the multisig control and used over tbd time period to promote our partnership
3.) Since we own a majority of the LP we would pretty much stay at home (honeyswap on xdai) and at the same time we incentive some bridging into xDAI rather than out through deploying a farm contract rewarding the FOX-HNY pair with the FOX token.
It is too early to know exact parameters but the 6 members on the multisig discussed this and it seemed to be a more practical and responsible approach. We do want to move forward on the LP and would like communities blessing on this before doing so
a yes vote is just to pair 500:1 and use left over fox to incentives the partnership.
a no vote would be pair 950:1 as original proposal, allow the arb and essentially imo lose of funds to eth mainnet.