Starlay Finance deployment on Acala Network

Discussion
1

Starlay Finance deployment on Acala Network

Title

Starlay Finance deployment on Acala Network

Author

@SeiyaChida (Starlat Chan Initiative)

Reference

Summary

SCI is excited to announce the next phase of our expansion, this time into the Acala Network ecosystem. The final decision to proceed will be made through a community vote among Starlay stakeholders.

Motivation

Our goal is to leverage Polkadot’s Cross-Consensus Message Format (XCM) functionality by deploying our platform across multiple parachains. Introducing Starlay to the Acala Network is a strategic move to widen our user base, benefiting all parties involved - the Acala Network, Astar Network, AlephZero and Starlay Finance.

Specification

Benefit

  • Expanding to Acala Network will diversify DeFi offerings, attract new users with cross-chain functionality, and enhance the overall experience.

Cost

  • SCI handles the cost of implementation
  • A grant from Acala Network will be used for our audit cost and the remaining will be back to the Staraly Treasury

Timeframe

Milestone 1 - Preparation for Starlay EVM Testnet Launch on Acala Network (4 weeks)

  • Technical Preparation:
    • Conducting integration testing with wallets, oracles, and relevant services.
    • Performing user interface testing on the Acala chain testnet.
    • Deploying and adapting smart contracts for the Acala chain.
    • Evaluating and integrating token listings for the Acala network.

Milestone 2 - Starlay v2 Mainnet EVM Launch on Acala Network (1 week)

  • Technical Execution:
    • Integrating wallets, oracles, and services with the Acala mainnet.
    • Deploying smart contracts on the Acala mainnet.
    • Finalizing token listing evaluations and integration.

Next Steps

  • Gather community consensus & feedback on this discussion
  • Escalate to the proposal (signaing) phase
  • Snapshot polling vote
1 Like
2

I’m glad to see Starlay expanding as a lending protocol for polkadot.

My question is why the initial token does not include acala token?
How does deploying starlay on Acala Network affect lay token?

1 Like
3

I think whether to deploy or not and how the risk parameters are, especially parameters of LDOT, should be discussed separately.

@SeiyaChida Do we have to determine the parameters on this topic?

1 Like
4

My question is why the initial token does not include acala token?

Thanks for your question. The decision on which tokens to be included initially in the ecosystem depends on various factors, including token stability and demand.

Tokens like DOT and USDC are known for their stability. LDOT, due to its nature as LST (Liquid Staking Token), has its price pegged to DOT, providing a level of stability. Additionally, there’s a high demand for such tokens in lending scenarios, as evidenced by the adoption of similar tokens like stETH and wstETH in protocols in Aave on the Ethereum blockchain.

I believe ACA is relatively low stability and demand.

How does deploying starlay on Acala Network affect lay token?
There is high possibility to grow LAY token price if the demand for Starlay on Acala network is high. Since reward is distributed to veLAY token holder, this makes LAY more attractive if there is demand on Acala Network.

1 Like
5

It quite makes sense to me. We need to separate discussion. Thanks for your suggestion!

6

Thanks to @artat suggestion, I divided this discussion into 2 parts: 1. Starlay finance deployment on Acala Network, 2. Initial tokens and their parameters on Acala Network, so that we are able to have a clear discussion and decision making.

7

thanks for joining guys, this topic is escalated to the proposal(signaling) phase.