We’re trying to determine a good value to set the Liquidity Pool reward rate to.
The reward rate is a percentage of the liquidated XTZ collateral that will be sent to whomever initiates a liquidation through the pool - currently it’s set to 1% which I think everyone agrees is far too low to incentivize automators to assist in liquidations.
We want to strike a balance between incentivizing bot builders to help liquidate things through the pool while still making the LP attractive to put kUSD into, so the split is important to get right.
This signal request will be open for 3 days, and once closed will dictate the value we (hover labs) submit to the DAO.
What should the new pool reward rate be?