Creating a Curve pool for your RToken is an excellent way to provide liquidity and trading opportunities for users. This guide outlines the necessary considerations for deploying a factory pool for your RToken.
Head over to https://curve.fi/#/ethereum/create-pool. In the rest of this document, we will outline the steps for deploying a pool using the Liquid Staking Derivative preset whilst explaining the choices for the parameters we select.
Unless your RToken does not accrue yield (like eUSD), the Cryptoswap option is likely what you will want
You will need to specify your Token A and Token B. Curve directs you to select the token with the higher price as the first token. In the case of a soft-pegged asset, like a USD-based flatcoin or a Liquid Staking Derivative (LSD) ETH RToken, your RToken will likely appear as the first token. If your token is not priced relative to a base asset (e.g. for an index RToken), see below on how to ascertain the RToken price.
There is flexibility in which Token B you select and a lot of subjective considerations in the decision. In this example, we'll use hyUSD (a flatcoin) as Token A and FRAXBP as Token B. FRAXBP was preferable because of the FXS incentives that come with it, which make hyUSD even more attractive as a high-yield savings product. With an ETH-based RToken, you may wish to select frxETH for the FXS incentives, or perhaps stETH for the native yield it offers. In other cases, you may want to pair your RToken with another existing RToken with liquidity on Curve. You may wish to consult the Reserve team/community on what they think is preferable.
In the case of flatcoins or LSD ETH RTokens, the Liquid Staking Derivative preset will provide the most sensible parameters for your pool. In the case of unpegged assets (e.g. an index), the Crypto preset will be most appropriate.
In most cases, the Fees and Advanced options can be left alone if the proper preset is selected above.
In order to determine your RToken’s current price, navigate to the Settings tab of your RToken (e.g. here for hyUSD) and go to the Etherscan link for the Basket Handler (e.g. here). Select “Contract” and “Read as Proxy” and query the “price”. Find the midpoint between the high and low prices, truncate by 18 decimal places, and you will obtain the price you can input into Curve.
For stablecoin RTokens, you can safely round to $1 if the price if the calculated price is sufficiently close.
