Refund for V1 borrowers that use the migration tool to migrate to Aave V2

Considering the submission of the AIP 11 following the ongoing conversation here Aave Protocol V1 -> V2 migration tool and transition plan - #26 by Emilio
i propose, if the AIP 11 gets executed successfully, that a refund mechanism is implemented for V1 borrowers to incentivize the migration to Aave V2.
For the purpose, i believe that one time refund of 3 stkAAVE/user could be allocated from the AAVE ecosystem reserve for all the borrowers/liquidity providers that use the migration tool to move their positions from V1 to V2. The refund would only be claimable by users that borrowed before a certain date, to avoid potential abuses.

Curious to hear the community opinion on this


Wouldnt change migration speed. Token swaps are taxable. Long term capital gains have better rates by an order of magnitude far greater than 3 stkAAVE.

If you force people to ruin their investments that are structured for a tax basis, you will do far more damage than you would allowing people to use the naturally diminishing liquidity in V1.

Pretty certain most users will migrate. As stablecoin liquidity moves to V2, stablecoin borrowing rates on v1 will grow significantly. It will be scary to have stablecoin borrows on v1 then. Compensating for gas fees would be very cool.

Taxes depend on jurisdiction. Differs in every country. If taxes are high somewhere and people think that paying higher interest rates is better than paying taxes then they will stick back to v1

I support the idea !
How much StkAave would be used for this incentive ?

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I will try to calculate the current number of outstanding positions on V1 and come back with an approximated value


Did this proposal get any further? In full support but would be good to know numbers…