SIP-392: Support Ethena USDe as LP & Perps margin collateral

Author	Matt, DSacks
Status	Draft
Type	Governance
Network	Arbitrum
Implementor	TBD
Release	TBD

Simple Summary

This SIP proposes to add Ethena's USDe as LP & perps margin collateral to Synthetix V3 on Arbitrum.

Additionally, this SIP proposes to add Ethena USDe as perps margin collateral to Synthetix V3 on Arbitrum.

Abstract

Add USDe as a supported collateral type for Arbitrum V3 deployment with minting at 125% C-ratio and a maximum LP cap of $25M.

Also support 25m USDe in wrapper capacity to allow users to exchange USDe synthetic USDe. Synthetic USDe can then be swapped to the synthetix arbitrum stablecoin at the pyth oracle price.

Utilizing a wrapper is a temporary measure to support USDe as perps margin before launching multi collateral on perps v3.

Motivation

Ethena imports basis yield from centralized exchanges by holding ETH and LST's with offsetting short positions in ETH perpetual futures market, with the bulk of the yield distributed to sUSDe holders (currently earning ~30%+ APR so far this year). Yield bearing collateral can drastically improve the capital efficiency of providing liquidity to markets on Synthetix V3 and sUSDe presents an attractive option to fulfill this need. USDe holders do not receive any of the yield, but do receive points via a sats campaign. This entitles users to receive ENA tokens. It is important that Synthetix supports both programs so users are given optionality while we can increase capital efficiency of providing liquidity to markets on Synthetix Perps and scale the LP collateral.

A discussion on the various risk factors and considerations associated with Ethena and USDe can be found here.

Technical Specification

Implementation of this SIP will be contingent on the availability of a USDe price oracle on Arbitrum via Pyth Network

Configurable Values (Via SCCP)

USDE LP Values

Maximum LP amount: $25M
Issuance Ratio: 125%
Liquidation Ratio: 105%

USDe Wrapper Values

Maximum Wrapped Amount: 25m
Use Oracle from Pyth to price USDe and exchange to synthetix arbitrum stablecoin