[SIPS-089] Upcoming SuperSOMM Cellar Proposal

Governance
1

[SIPS-089] Upcoming SuperSOMM Cellar Proposal

Goal

The goal of this forum post is to discuss the upcoming Cellar proposal asking Governance to accept the Super SOMM strategy.

Context

The Super SOMM vault aims to accomplish two goals for the Sommelier ecosystem:

  1. Establish SOMM token liquidity on Ethereum
  2. Create SOMM token liquidity on Ethereum

The vault will accept SOMM as deposit asset, and provide liquidity to the SOMM-ETH pair on Uniswap V3.

Because the vault accepts SOMM as deposit asset, it serves as a venue for existing Cellar users to put their SOMM rewards.

The vault will take exposure to the following assets:

  1. SOMM
  2. WETH

and the following protocols:

  1. Uniswap V3

Proposal for cellar authorization for strategy Super SOMM

If approved, the chain will accept signed function calls submitted to the cellar contract from the strategy provider.

Name: Super SOMM

Cellar share token: SuperSOMM

Strategy providers: Seven Seas Capital

We will update this post with more details in the coming days, including fee information and contract deployments

3 Likes
2

Users can only deposit somm, so where does the wETH come from?

Is there an expectation that first there will be a wETH liquidity will be seeded before hand?

Also why not let people deposit eth into the vault too? If users can only deposit somm, doesnt that mean that in order to provide liquidity it has to sell that somm at least partially into the pool?

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Im glad for improved liquidity for the token btw just think the proposal lacks detail

4

The reason the vault doesn’t additionally accept WETH is purely technical - the vault architecture currently only supports a single deposit asset.

When the vault launches, it will effectively be putting up a “sell wall” of SOMM liquidity which will enable people to buy SOMM on Ethereum. Initially there will be limited liquidity for people who want to market sell SOMM

1 Like
5

Mm ok that makes a lot more sense, looking worward to it

6

The contract has been deployed at address: 0x5195222f69c5821f8095ec565E71e18aB6A2298f

1 Like