Delist WMT from Liqwid amidst their migration to WMTx

This proposal aims to remove the WMT token as both collateral and a debt token within the Liqwid protocol as a result of WMT’s upcoming migration to WMTx.

Following a successful vote, users will only have the option to close all of their WMT positions (with WMT token as collateral or as debt).

Reasoning for removing WMT token as collateral from all Liqwid markets:
The WMT token is currently migrating to another token with the ticker WMTx as part of World Mobile Token’s expansion to the EVM ecosystem, as is explained here on their forum.

As a result of this token migration the price of WMT is expected to be impacted. This is especially the case since BingX, HTX, MEXC and KuCoin, some of the largest WMT markets are delisting this token on September 27th, 2024, according to this Discord announcement.

This also comes with critical risks to the Liqwid oracle system. For these reasons we propose a full delisting of WMT before the migration to WMTx is completed.

Wind-down steps for WMT as collateral, implemented after a successful vote

After this vote, the Liqwid Core Team will:

  1. Modify the front-end to prevent users from:
  • Adding more WMT as collateral.
  • Increasing the debt of existing WMT-backed loans
  • Opening new WMT-backed loans
  1. Develop and communicate clear information to users about the status of WMT following the successful on-chain vote on Discord and Twitter.
  2. Change the parameters to trigger the liquidation of all loans backed by WMT collateral positions.

Do you support this proposal to delist WMT from the Liqwid protocol?

  • Yes, I support this temperature check.
  • No, I do not support this temperature check.
0 voters
1 Like

Additional information:

Token Migration Window: The token migration window will open on 30.09.2024 at 11:00 UTC and close on 21.10.2024 at 11.00 UTC. During this period, you will need to use our Token Migration Portal to either transfer your WMT to Ethereum, Base, or BNB or upgrade your WMT to WMTx on Cardano.

Migration Portal: You will not be able to interact with the Portal until the migration window is open. A link to the Portal can be found in a pinned message in the ‘Migration-Hub’ channel on our Discord server.

Staking: The current staking window will continue as planned until 9th October. After this date, staking will be temporarily paused during the migration period. Staking will resume following the launch of the World Mobile Chain, and stakers will then receive rewards in the new, upgraded WMTx token

Source: https://worldmobiletoken.com/blog/post/world-mobile-token-migrates-to-base-ethereum-and-bnb-chain


I support this proposal because it eliminates the risk of using WMT tokens as collateral within Liqwid, especially as they will be worthless after October 21, 2024.