NMPIP 223: Add USDC as an asset within the Capital Pool
Overview
Since 2019, Nexus Mutual has held two (2) assets in the Capital Pool: ETH and DAI. In the last five (5) years, more stablecoins have emerged and more members have requested the option to buy covers denominated in USDC. In order to whitelist USDC as an asset within the Capital Pool, it must first be approved by members through a formal NMPIP vote.
I propose that members vote to whitelist USDC as an asset within the Capital Pool to allow the Mutual to sell USDC-denominated cover.
Rationale
Source: CoinGecko
According to CoinGecko, Circle’s USDC has a market capitalization of 6.4x that of MakerDAO’s DAI. More members have requested the option to buy cover denominated in USDC and to pay for cover with USDC.
Adding USDC to the Capital Pool would allow the Mutual to underwrite a wider variety of risks and underwrite cover for certain listings (e.g., MakerDAO CDP, MakerDAO sDAI, and Spark Protocol Cover) without a member worrying about DAI being impacted by one of the protocol’s in the Maker ecosystem suffering an exploit or other related loss event.
Specification
To add USDC to the Capital Pool, members would need to approve an “Add an Asset to Pool” vote that would automatically execute after the cool-down period passes and add USDC as an asset within the pool.
Proposal Status
Open for review and comment until Sunday (5 May).
After Sunday (5 May), this NMPIP will be eligible to be put onchain for a full-member vote.
See the previous RFC proposal for community comments and questions.
Onchain All Member Vote
NMPIP-223 is open for voting from 30 May until 2 June in the Nexus Mutual UI. This is an All Member vote with 100 NXM in incentives distributed across the total number of members who participate in the vote.
You can review and vote on the proposal in the Governance section of the Nexus Mutual UI.