Proposal to Re-Onboard sDOLA/scrvUSD LP as Collateral

Forum Post: https://forum.inverse.finance/t/re-onboard-sdola-scrvusd-lp-as-collateral/668

Summary

This proposal seeks community support to re-onboard the sDOLA/scrvUSD Curve LP token as collateral on FiRM.

The market was previously offboarded due to heightened uncertainty around crvUSD following the launch and rapid growth of Yield Basis. At the time, this effectively reset part of crvUSD’s “lindy” and made it harder to assess the asset under the new operating model.

Yield Basis has now been live for a meaningful period, and the original reason for keeping sDOLA/scrvUSD fully offboarded is less compelling. Given the strategic and business benefits of this collateral, it is appropriate to revisit onboarding.

Rationale

1. Strong expected borrow demand

sDOLA/scrvUSD is a high-yield LP, combining:

sDOLA yield
scrvUSD yield
boosted CRV incentives

This creates clear looping demand when the net spread versus FiRM borrowing costs is attractive. FiRM benefits most from collateral that users actively want to lever, and sDOLA/scrvUSD fits that profile.

2. Diversification for FiRM

FiRM debt has been falling and has become increasingly concentrated around DOLA/sUSDe.

Re-onboarding sDOLA/scrvUSD would add a differentiated source of demand, diversify the collateral base, and help shift current momentum without needing to rely entirely on existing dominant markets.

3. Strategic alignment with Curve

Inverse is deeply embedded in the Curve ecosystem. Curve remains one of the most important venues for DOLA liquidity, routing, and sDOLA growth.

Supporting sDOLA/scrvUSD as FiRM collateral strengthens that relationship and reinforces Inverse’s commitment to Curve as a core ecosystem partner.

4. More volume through DOLA

DOLA has historically benefited from being used as a routing and hop asset across Curve pools.

In recent months, the number of active DOLA LPs has reduced, particularly with USR and deUSD pools going offline. As a result, DOLA has been doing less volume as a hop token.

Re-onboarding sDOLA/scrvUSD would help address this by creating a new deep DOLA-adjacent LP against crvUSD, one of Curve’s highest-volume stable assets. This should support more routing through DOLA, improve DOLA’s role in Curve liquidity paths, and help maintain the volume profile needed for infrastructure such as the Chainlink DOLA price feed.

Stake DAO OnlyBoost Escrow

Unlike previous Curve LP markets on FiRM, this market would launch using Stake DAO’s new OnlyBoost escrow rather than the standard Convex escrow.

OnlyBoost is a better fit for this market because it optimizes between Stake DAO and Convex boosts, rather than routing deposits exclusively through one venue.

Benefits include: