What is the justification for the 2% target? Sounds like a good idea but not sure how to think about defining that optimization parameter.
We have pulled data to show what the “market” has required in terms of APR to stake in the SM and face a 30% slashing risk. Stakers also get governance power in Aave DAO. Shows that, for AAVE and the AAVE-wETH BPT, required yield for the risks was 7-15%. In terms of comparing this to potential other assets, it might be hard to dis-aggregate the alignment between AAVE stakers in the Aave SM and non-AAVE stakers in the SM.
Am I understanding the explanation that the 30% of the voting power could be achieved currently with existing funds/budget? Also, is max boost a guarantee on Aura? Currently, from looking on their front end, most pools are roughly 1.5x boost.
Lastly, if the DAO decides to increase the staking options in the SM we will also have to consider governance implications. A conversation for another time I suppose though.