I wanted to put my hat in the ring with my first proposed SIP! It proposes adding cVault (COREVault) as a Synthetix option. Please be gentle!
What markets is cVault traded on? A quick glance at coingecko suggests it’s only really on Uniswap and has no meaningful centralized exchange trading depth?
I think unfortunately it would be too vulnerable to price manipulation if added.
Awesome point Kree2! I apologize for the late reply, I didn’t realize I missed an email notification from the forum.
cVault has a few different things that assist in the risk department in regards to pricing manipulation, particularly in its pricing floor and its continually locked liquidity.
Tokens and ETH locked in during the multiple LGEs allow for sufficient market depth to withstand manipulation by anything less than massive actors who are a risk anyways.
The price floor (which is based on the permanently locked liquidity) adds a significant level of support (i.e. every token on the market could be sold and the price wouldn’t drop below this level) Everything you wanted to know about CORE floor price but was too afraid to ask - Roads Less Taken
There’s not a significant amount of concern of LPs pulling out making market depth shallow as a significant portion of LPs are locked-in forever
I hope that helps move forward the conversation, and please let me know if I didn’t answer the question correctly, this is my first time doing a SIP
One thing Synthetix follows about listing is enough trading volume. COREVault does not have enough volume. So…