Hi Aave fam,
I’m Brandon, a co-founder and developer at Ampleforth.
I’d like to make a proposal for Aave to support AMPL as a collateral asset and currency. We think being able to lend and borrow AMPL on Aave would open up new and unique trading strategies not possible before in traditional finance.
AMPL brought the concept of rebasing tokens to DeFi, was an early player in Liquidity Mining, and we continue active development with new projects like the Balancer Smart Pool.
We’ve developed deep liquidity on AMMs like Uniswap, SushiSwap, Mooniswap, and Balancer, and now a natural progression is to create an AMPL lending market. We would love to build on top of this strong, liquid foundation by partnering with the innovative Aave community.
Being able to borrow and lend AMPL would enable holders to:
- Utilize a new, low-correlated collateral asset which could reduce risk
- Decrease exposure to rebases in exchange for income from interest
- Use a non-collateralized asset that “borrows like a stablecoin”
- Create leveraged AMPL trades and unlock derivatives
- Create interest bearing AMPL that can be staked in other protocols
- Increase exposure to AMPL & farming
We think the unique nature of this asset and its interactions with rebases will create an active and vibrant market, and bring new and interesting possibilities to Aave users.
Eventually, we would also like to join the Aave Uniswap Market with the AMPL/ETH pool, and would love to create a dedicated Geyser program that incentivizes this. Such a program would allow users to generate returns from Uniswap, Aave, and the Ample Geysers all at the same time.
Onward, to the future of elastic finance!