Here are the links to a real time/daily snapshot of primary liquidity allocations.
Primary T-MM (EVM) account, bootstrap liquidity for tBTC, T tokens, deploy into linear pools dashboard link
Solana T-MM (Solana) account, bootstrap liquidity for tBTC, T tokens, deploy into linear pools, Sonar Watch dashboard link
Smart contract LPVaults, Automated Liquidity Manager contracts, performance dashboard link
Performance
Total Repayable Value are $683,900 USD value or 25M T token
While the market price of T is lower than our strike price. ($0.0273)
The T-MM portfolio has a surplus of $155,764.75 ~22.7% above Repayable Value.
Growth Opportunity
Double down on Optimism/Base liquidity as tBTC liquidity stronghold
Increase tBTC integration with Defi primitives with application across trading, lending and option derivatives.
Next steps
Define how to best handle surplus to support operation expenses and growth.
Our plan is to have the option to use surplus to support operation expenses (server, engineering, operation staff) or use it as collateral to unlock the last leg of T-MM call option.
sense.capital is planning to post additional 8BTC in the coming weeks to unlock stage 3 of T-MM option as per current proposal, but we need the option to use Surplus for that.
Rationale: in addition to changing market conditions in the last year (price of BTC was ~$28k when TIP-46 went to Governor Bravo vote March 31st last year) Taylor and @sensecapital have gone above and beyond to promote tBTC from a liquidity perspective, as well as champion us to his network. Their liquidity allocations have been instrumental in our growth and continue to drive volume and growth for Threshold.
Specifically, we ask the DAO to ratify these changes to the original terms of TIP-46 as follows:
Collateral requirement for stage three T token optional grant has reduced from 9 BTC to 4.5 BTC
Sense will post 1.5 BTC collateral to TTG treasury wallet each month for 3 months, starting from the 25M T token transfer (post ratification of this via Snapshot)
Strike price of 3rd leg of 25M T token shall be set based on 7-day moving average of daily close price as per original proposal
Given this is a modification based on recommendation of TTG committee entrusted with management of this partnership, I will go ahead and post this to Snapshot - but if anyone has any questions or concerns, please respond here or in Discord. Thank you.
Strike Price of 3rd leg of 25M T token: $0.03489428571 using 7 day moving average calculated between 24th April-30 April based on daily close price ( $0.03504 $0.03503 $0.03420 $0.03579 $0.03578 $0.03357 $0.03485)
Total Repayable Value are $1,556,257.14 USD value or 50M T token (total of 3 T legs)
Sense tBTC collateral
Two tBTC collateral transfers has been sent to TTG
Total sense collateral post 15 tBTC with current collateral value of $1,038,000 (tBTC price: $69200 on 9 June 2024). Additional 1.5 tBTC collateral are scheduled to be sent to TTG by the end of June 2024.
As I’ve mentioned in this week’s DAO Treasury call, Sense Capital is proposing to conclude the current TIP46 market-making arrangement.
The market landscape has shifted significantly since TIP46 was initiated 1.5 years ago. With the upcoming changes related to TIP98/100, we feel it’s prudent to conclude this current chapter and strategically align for future growth.
As such, we will be returning the T token inventory and our collateral, and will not be exercising our option to purchase T at the strike price.
To ensure a smooth transition, we propose the following unwind schedule:
Week 1: Return 25M T MM loan (50%) to retrieve half of the collateral (8.25 tBTC).
Week 2: Return 25M T MM loan (50%) to retrieve the remaining collateral (8.25 tBTC).
I want to express my sincere gratitude for the opportunity to contribute to bootstrapping tBTC liquidity through TIP46. It’s been a valuable experience, and we appreciate the trust you placed in Sense Capital.
Looking ahead, post TIP100, we are eager to contribute to strategy and liquidity growth initiatives that align with the Threshold Network’s current objectives. Our focus for 2025 includes boosting tBTC liquidity on platforms like Uniswap V4, Fluid DEX, and Panoptic. We see significant potential in these areas and are excited about the possibilities.
We view this not as an ending, but as a transition to a new phase of collaboration post DAO restructure. We’re confident that by working together, we can achieve even greater success in the future.
