# Launch ArbiAura Fed

**URL:** <https://forum.inverse.finance/t/launch-arbiaura-fed/274>\
**Category:** DOLA Feds\
**Created:** [July 26, 2023, 2:24am UTC](https://forum.inverse.finance/t/launch-arbiaura-fed/274 "2023-07-26T02:24:34Z")\
**Posts on this page:** 4\
**Page:** 1

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**Author:** ![cryptoharry](https://sea1.discourse-cdn.com/inverse/user_avatar/forum.inverse.finance/cryptoharry/32/22_2.png) [@cryptoharry](https://forum.inverse.finance/u/cryptoharry)\
**Post date:** [July 26, 2023, 2:24am UTC](https://forum.inverse.finance/t/launch-arbiaura-fed/274/1 "2023-07-26T02:24:34Z")

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# Proposal to Launch Arbitrum Aura Fed

## Summary

This proposal aims to launch the ArbiAura Fed, an AMM DOLA Fed that will be connected to the new DOLA/USDC Balancer pool on Arbirum, with the LP token staked on Aura. This liquidity will earn AURA, BAL and ARB rewards.

## Background

The Fed Chair currently operates AMM Fed’s on Convex and Aura on Ethereum, and Velodrome on Optimism. These Feds can expand (and then contract) DOLAs directly into AMM liquidity pools, allowing for quick response to shifts in DOLA demand. Please [read our docs](https://docs.inverse.finance/inverse-finance/inverse-finance/product-guide/dola-feds#amm-feds) for more information about AMM Feds.

## Objective

This proposal seeks to launch an AMM Fed on Arbitrum Balancer. While DOLA has been on Balancer for the majority of 2023, it has struggled so far to maintain deep liquidity on a DEX. With the launch of Aura on Arbitrum, the opportunity arose to launch a cross-chain fed, just like Velo Fed, farming on this new deployment. This will allow the DAO to build very deep, sticky DOLA liquidity on Arbitrum, which will be important in the instance of a future deployment of the FiRM protocol to Arbitrum L2. In addition to this, the expectation is that with ARB rewards also being farmed, the vote incentivization efficiency will be high, allowing for rewards to be recycled to susbsidize future liquidity costs.

#### Contracts:

ArbiGovMessengerL1: [Address: 0x5128559c...34BDd89EA | Etherscan](https://etherscan.io/address/0x5128559ccE352cD31f691CCD11310de34BDd89EA)  
ArbiFed: [Address: 0x0b5ec952...9579843cb | Etherscan](https://etherscan.io/address/0x0b5ec95257afd9534c953428ac833d19579843cb)  
Arbitrum AuraFarmer: [Address: 0x1992af61...22a1a7702 | Arbitrum One](https://arbiscan.io/address/0x1992af61fbf8ee38741bcc57d636caa22a1a7702)  
AuraFarmerMessenger: [Address: 0x7275fd8a...01a848228 | Etherscan](https://etherscan.io/address/0x7275fd8a1b5f4874b10066236309d8901a848228)

#### Risk Assessment

RWG assessment for the ArbiAura Fed can be found [here](https://docs.google.com/document/d/19qTX8MJTJdPe05gG3R1FRq-7mLAJ-WwHh6eF4j3jC_w/preview)

## On-Chain Actions

- Set AuraFarmerMessenger as allowed on ArbiGovMessengerL1
- Set Arbi Fed as DOLA minter
- Set AuraFarmer address in ArbiFed
- changeMaxLossSettableByGuardianBps to 1000 (10%) on AuraFarmerMessenger
- Set refund address of ArbiGovMessengerL1 to Arbitrum TWG

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<div class="post-metadata">

**Author:** ![ratchet](https://avatars.discourse-cdn.com/v4/letter/r/d26b3c/32.png) [@ratchet](https://forum.inverse.finance/u/ratchet)\
**Post date:** [July 30, 2023, 10:13am UTC](https://forum.inverse.finance/t/launch-arbiaura-fed/274/2 "2023-07-30T10:13:02Z")

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Seems like a no-brainer. Good move.

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**Author:** ![DB\_DefiEdge](https://avatars.discourse-cdn.com/v4/letter/d/b77776/32.png) [@DB\_DefiEdge](https://forum.inverse.finance/u/DB_DefiEdge)\
**Post date:** [August 4, 2023, 9:04am UTC](https://forum.inverse.finance/t/launch-arbiaura-fed/274/3 "2023-08-04T09:04:53Z")

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hey @cryptoharry, this looks good! Creating an AMM Fed on Arbitrum’s Balancer is a smart move. To make it even stronger:

1. Include risk management strategies.
2. A quick market analysis would be helpful.

Great job on explaining the contract details! Keep refining, and it’ll be solid.

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**Author:** ![edo](https://sea1.discourse-cdn.com/inverse/user_avatar/forum.inverse.finance/edo/32/157_2.png) [@edo](https://forum.inverse.finance/u/edo)\
**Post date:** [August 9, 2023, 2:54am UTC](https://forum.inverse.finance/t/launch-arbiaura-fed/274/4 "2023-08-09T02:54:21Z")

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Risk Assessment for ArbiAura Fed can be found here:

> **[ArbiAura Fed Risk Assessment](https://docs.google.com/document/d/19qTX8MJTJdPe05gG3R1FRq-7mLAJ-WwHh6eF4j3jC_w/preview)**
>
> ArbiAura Fed Risk Assessment The following assessment covers various dimensions of risk associated with the proposed launch of the ArbiAura Fed on Arbitrum, including bridge risk, platform risk, asset exposure risk, Fed operations, and limitations....