Mirror V2 Mainnet Launch

Published on: 25.06.2021

Mirror rolled out a new version of Mirror Protocol that incorporates features that make Mirror Protocol far more interesting, expanding its use cases.

Mirror V2 is the culmination of the community’s active engagement across Mirror’s research and community channels and the Mirror team’s consideration of diverse perspectives as we continue to stretch the boundaries of possibilities on Mirror. Most notably, the web application has a new look, paired with a new and more feature-rich dashboard.

The most interesting changes, however, are the following features — initially introduced in the forum.

Pre-IPO Assets: Mirror now unlocks a decentralized method of minting, trading, and LP’ing mAssets before they are officially exchange-listed. See the step-by-step process here.
Incentives for Governance Participation: to reward governance participation, 50% of MIR rewards will be distributed to voters on active polls, while the remainder will be distributed to all stakers. Users who want to vote but do not have enough information to vote “Yes” or “No” can also vote to “Abstain”.
Governance Poll Quorum: to alleviate the problem of proposals unexpectedly failing to pass after reaching quorum (10% → 9.99%) due to additional MIR being staked to governance, a snapshot will be taken of the total amount of staked MIR during the poll timeframe. This snapshot will be used to calculate quorum fulfillment.
New Collateral Options: MIR, LUNA, ANC, bLUNA (to be added soon), and aUST are now collateral options to mint new mAssets. Volatile collateral options will have an additional collateral premium whereby they will be multiplied by 133%, such that a borrow ratio of 150% → 200%.
‘Mint/Short’ LP Token: to remedy the mAsset premium, Mirror V2 introduces “short minting” to lower premiums and reconfigure dynamics between buying -> LP and mint -> LP via the generation of short LP (sLP) tokens.

Parameter Setting Changes

V2 introduces a number of new and updated parameter settings changes. See the full list which compares V1 and V2 parameter settings side by side here.

🔹New Parameters on Mirror V2

Collateral Ratio Multiplier (LUNA, MIR, ANC): 133% — when volatile assets are deposited as collateral, the parameter multiples the minimum collateral ratio (MCR) by 133%. For example, a collateral ratio of 150% for LUNA deposited as collateral is automatically increased to a 200% collateralization ratio.

Collateral Ratio Multiplier (aUST): 100% — aUST as collateral is treated the same way as UST.

UST Lock-up period: UST received through immediate shorting by will be subject to a 15 day lockup period. If an opened position is closed, the UST is unlocked immediately and given back to the user.

Snapshot Period: 1 day

Voter Weight: 50% of Mirror Protocol fees will go to stakers who have voted in on-going polls

Premium Update Interval: 1 hour for the price premium information to be updated

🔹Updated

Voting Period: 100,000 blocks → 604,800 seconds (1 week)

Effective Delay: 13,000 blocks → 86,400 seconds (1 day)

🔹Unchanged from V1

Protocol Fee Rate: 1.5%

Proposal Deposit: 100 MIR

Quorum: 10%