StakeWise DAO intends to distribute $45k as incentives in the osETH-ETH market over three months, starting on the date of the Re7 Vault launch.
We propose that the Morpho DAO handle this distribution and request that MORPHO tokens be included as additional incentives.
StakeWise was the first non-custodial liquid staking solution to launch on Ethereum back in early 2021. In November 2023, the StakeWise V3 upgrade went live and transitioned the protocol into a fully white label liquid staking solution. Just as Morpho Blue enables any entity to launch its own lending market in a permissionless manner, StakeWise V3 enables any entity to leverage its smart contract infrastructure to offer trustless, non-custodial staking-as-a-service.
Alongside the V3 upgrade, osETH was launched as the protocol’s primary liquid staking token, creating a single-layer of composability across the StakeWise staking ecosystem. osETH features overcollateralization to protect holders against slashing and accrues yield from a highly diverse, and fully permissionless, node operator set. The liquidity and integrations for osETH are provided by StakeWise DAO. Whether it is a commercial operator offering liquid staking directly to their institutional clients or a solo staker liquid staking on their own node, osETH provides access to the DeFi ecosystem for everyone.
Unlike traditional lending pools, Morpho Blue allows StakeWise to take a more targeted approach to incentivizing specific use cases, with the borrowing of ETH against staked capital a primary focus. StakeWise DAO plans to distribute $45k in rewards in SWISE to the osETH-ETH market over three months, starting on the date of the Re7 Vault launch.
We propose that the Morpho DAO handle this distribution by integrating it into the Standardized method for distributing incentives on Morpho Blue markets.
The growth of such a market will benefit Morpho, therefore it’s prudent for the Morpho DAO to distribute MORPHO tokens over the three month period to help incentivize its expansion.
Should the proposal be accepted, we will send the aforementioned amount to morpho.eth.