Add BasketDAO DeFi Index ($BDI) as a collateral asset to CREAM market

Summary:

BDI is an index launched by BasketDAO that holds yield bearing blue chip tokens.

Adding BDI as collateral to CREAM will give us a lower volatility collateral asset, allow BDI holders to leverage their position, and allow CREAM holders to hedge bluechip DeFi exposure.

What is BDI:

Token address: https://etherscan.io/token/0x0309c98b1bffa350bcb3f9fb9780970ca32a5060

BDI is the first product by BasketDAO, a decentralised index provider. First launched as BDPI, and then later rebranded as BDI, BDI is a DeFi index that holds bluechip tokens. Its largest holdings are UNI, AAVE and MKR. Where possible, BDI farms yield safely to maximize capital efficiency and make the most out of the money legos it holds. BDI also does not charge management fees.

BDI aims to be the premier index for DeFi, and the aim is to build an entire suite of products around BDI.

BDI stats:

  • 56M BDI AUM
  • 52M BDI-ETH liquidity on sushiswap
  • 3M daily trading volume

Why should BDI be added:

The majority of the assets in BDI are already on CREAM.

Long term BDI holders will use CREAM to borrow other assets against their BDI holdings. Traders will be able to use CREAM to put on leveraged or short BDI positions.

BDI is an index, so it has lower volatility than its constituent tokens, meaning it is theoretically a lower risk collateral.

This will also enable the creation of more new BDI related products in the future that can supply TVL and be built on top of the CREAM infrastructure.

Proposal:

  • For: Add BDI to CREAM at a collateral factor of 0% (Increase will go through a second proposal)

  • Against: Do nothing

9 Likes

Hey, It would be an interesting addition on CREAM.finance. I would suggest you to share it on discord and telegram(unofficial) as well for support on the proposal.