Incentive Proposal for TermMax

Incentives
1

Protocol/Gauge Name:

Provide the full name of your protocol or project e.g.: Uniswap V3 - pufETH/stETH

  • TermMax - PT-pufETH / pufETH

  • TermMax - pufETH / WETH

  • TermMax - pufETH / USDC

Protocol Description:

  • TermMax, developed by Term Structure Labs, is an innovative DeFi protocol that combines a customizable Uniswap v3 AMM model with fixed-rate, fixed-term borrowing and lending. It also introduces one-click looping strategies on yield-bearing tokens, simplifying leveraged yield generation for users.

Protocol Overview:

  • TermMax supports leverage via one-click fixed-rate borrowing with maturity date. For users seeking leveraged yield strategies, TermMax offers a seamless one-click solution to take out fixed-rate loans from TermMax’s liquidity pools and purchase yield-bearing tokens, such as Pendle’s PT tokens, which are held as collateral until maturity.

  • TermMax offers market makers and curators the flexibility to design their own AMM-based range orders tailored to their unique risk models. These orders can be lend-only, borrow-only, or two-way, enhancing liquidity and pricing efficiency. By aggregating various AMM models into a single market, users benefit from optimized pricing and improved competition.

Key Features:

  • Simplified Leveraging, Borrow and Lend Mechanism with Token Trading: Gearing Token and Fixed-rate Token trading encapsulate complex leveraging processes into straightforward token transactions.
  • Fixed Rates and Terms for Borrowing and Lending:
    TermMax offers fixed borrowing and lending rates over specified terms, eliminating the uncertainty associated with floating rates.
  • Customizable AMM Pricing with Range Orders: Enable market makers to configure range orders on various markets, giving users more choices to borrow, lend, or leverage at their preferred rates.
  • Flexible Liquidation Mechanism by Physical Delivery: In the event of significant market volatility or low liquidity, collateral is delivered directly to lenders as compensation.
  • ERC-4626 Vault Token Design for Enhanced Returns: Enable curators to implement vault trading strategies that optimize investor returns and expand use cases within the ecosystem.

Distribution Method:

  • TBD

Pool Addresses:

  • Chain: Ethereum
  • Pool address: TBD (The mainnet is expected to launch in Q1 2025)

Incentive Impact Statement:

  • TermMax - PT-pufETH / pufETH
    • For this leverage market, Season 2 will bolster pufETH holders to earn leveraged yields with pufETH by creating a looping position with Pendle’s PT-pufETH. On the other hand, Season 2 will also bolster Pendle’s PT-pufETH holders to earn protected rates by lending to leverage users. This will introduce a new way to utilize pufETH and PT-pufETH assets, increasing capital efficiency and further completing Puffer’s DeFi ecosystem.
  • TermMax - pufETH / WETH
    • For this lend/borrow market, Season 2 will bolster pufETH holders to borrow WETH against pufETH. This will increase capital efficiency for pufETH.
  • TermMax - pufETH / USDC
    • For this lend/borrow market, Season 2 will bolster pufETH holders to borrow USDC against pufETH. This will increase capital efficiency for pufETH.

Eligibility Verification:

  • Audit
  • Bug Bounty
    • ImmuneFi: Expected to launch bug bounty program alongside the TermMax mainnet launch
  • Real-time monitoring
    • Hypernative: Real-time web3 security and threat detection for TermMax mainnet

Logo URL, please provide us with the logo (ideally IPFS):

Any Other Resources e.g. direct URL to pool, docs, etc.

Contact Information:

Questions for the Puffer Team or Community (Optional):

  • The TermMax team would like to learn about token pair preferences from the Puffer Community. Which of these three pairs will be the most appealing and useful? Your feedback will help tremendously in our token pair selection at launch.
2 Likes
2

Hey Andylinee, thanks for proposing this in here.

The protocol and the use cases seem good for pufETH and puffer as a whole, would be nice to check it further once the audits are completed.

On the other hand, i think its really important to establish a date for mainnet for your protocol before proposing an incentive, otherwise it could be hard to get it without having an exact date for mainnet yet.

Cheers and good luck!

1 Like
3

Hey stevenbravoDXT, thanks for your positive feedback!

We’ll confirm the audit and mainnet launch dates as soon as possible and update them here. If you have any other questions, feel free to ask anytime. Appreciate it!

4

Proposal: Incentive Proposal for TermMax was escalated to the internal review committee on 17th February.

Status: DECLINED

Hi @Andylinee appreciate you submitting your proposal, following our internal review, the conclusion was that this proposal is a little early. But we’re excited for your mainnet launch, and look forward to revisiting this once you’re live and audit has been completed.