Steakhouse Update July 2023

Here is an update of @Steakhouse work lately.

We still working with lawyers on another round of study on Backed (the tokenized t-bill product). We really hope to close it soon. But TLDR, we are quite happy with the findings. Nevertheless, there is a lack of clarity on the regulatory front so providing liquidity might be somewhat a risk. We might never get clear answers on this one and it will be up to Venus community to decide. Feel free to express your wishes.

We have completed a study of all the tokenized t-bill product currently available that we will disclose soon (just working on the layout).

We have weekly meeting with Credix and found out an expert to work on the actual in depth assessment to help our internal resource.

We have no progress on the Foundation side as we strongly advise to fix the peg first. If community express the wish to go forward we sure can, but we don’t recommend as it will create complexity and costs that are not needed yet.

The main bottleneck is that the peg should be fixed first and increasing the VAI in circulation. We refer to the proposal we submitted for review by the community earlier (but need the PSM to move in the formal process).

Given the waiting period to getting the PSM deployed and the importance of getting the peg stabilized, we propose that instead of paying us our fees, until the PSM is launched, community keep the funds to seed the PSM.

One option would be to increase the rate of the VAI borrows to restore the peg before getting the PSM, but we would advise against as it wouldn’t work very well and could cause a spike in the VAI price which wouldn’t help for PR.