TL;DR
Approve the 3% initial fixed yield rate for steBTC
Background.
steBTC is close to launch, and we need to set the initial fixed yield rate for it. The source of yield is PYS. During the Treasury Council meeting, the initial consensus was 5%, but through discussion, it shifted to 3%.
The rationale was that:
- A 3% fixed rate is more sustainable with 50% PYS and a 3.2% steETH APR.
- As lending collateral, 3% is still noticeably higher than 0% on WBTC.
- Most importantly, steBTC is a demand driver, and creating a strong demand incentive before BSM is live could depeg eBTC, which already trades at 1.003, to the upside.
This TCD also ratifies that further steBTC yield rate adjustments will be done by a simple emoji vote in this TCD thread instead of requiring a new one.
