Our new ETH-SNX arb contract is now live!
We're excited to announce the launch of our new SNX arbitrage contract that allows people to exchange ETH for SNX to support the sETH/ETH peg. The launch comes after a trial that ran was manually for several weeks.
If the sETH/ETH rate on Uniswap falls below 99/100, people can send ETH to the arb contract, which is then converted to SNX at par value. Essentially this means if the sETH ratio falls too low you can use this to exchange ETH to SNX at a discounted rate.
- Allows a user to send ETH to the contract if:
a) the sETH/ETH ratio is below 99/100, &
b) there is sufficient SNX remaining in the contract at the current exchange rate
- Converts the ETH to sETH via Uniswap until it reaches the 99/100 ratio or until the ETH is exhausted
- Converts the sETH to SNX at the current exchange rate
- Sends the SNX to the wallet that sent the ETH
The contract currently has 42,000 SNX, and we will be establishing in our next governance meeting how much SNX the contract should be allocated from the SNX inflationary supply.
If you've got any further questions about how it works, come join us in Discord!