The Brale integration and dUSD stablecoin are live on Kusama Asset Hub.

A pair of proposals have been approved, [#471 ](https://kusama.subsquare.io/referenda/471)recouped integration costs and [#474](https://kusama.subsquare.io/referenda/474) received KSM to KSM Collective on Krievo to add liquidity to the new KSM:dUSD pair.

Brale are committed to adding an initial $300k of liquidity to the dUSD side of the pair.

KSM Collective has received $300k of KSM to add to the other side of the pair.

_However…_ [Asset Conversion Pallet](https://docs.rs/pallet-asset-conversion/7.0.0/pallet_asset_conversion/) which is based on Uniswap v2 only allows a single account to add liquidity which presents a challenge.

We are returning to OpenGov to communicate the issue, to solicit feedback and to get signal ahead of next steps.

We hope to get specific feedback from Parity’s System chain’s team who are responsible for maintaining Asset Hub’s runtime.

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There are (currently) three options:

1. Amend Asset Conversion Pallet to enable synchronous management of asset pairs by two separate accounts rather than a single entity. This would enable Brale to add dUSD and KSM Collective to add KSM. LP fees would be split evenly to each contributing party. 
2. Wait for smart contracts on Kusama AH (Q1 2025) and abstract the required logic into a specific contract, enabling the same outcome as 1.  
3. Send the KSM from KSM Collective to Brale who add the liquidity as a single account owner. An agreement would be arranged for 50% of the LP fees to be sent back to KSM Collective. For regulatory and compliance reasons Brale will not be able to move dUSD to KSM Collective. 

### Additional context

Kusama is not currently serviced by a DEX with single sided liquidity so we feel 1 would not compete with an incumbent offering. 

1. addresses the issue at source and potentially enables more innovation to come to Kusama AH but is predicated on pushing a change in the runtime via The Fellowship.

2. is optimised for simplicity and permissionless innovation, but will require work from Virto’s team on the contracts - we also need to wait for contracts to be live.

3. Is best for speed - however it adds some off-chain bureaucracy and reduces the function of KSM Collective as a direct agent in the network. 

In the absence of clear direction we will likely opt for speed and go with option 3 - with an understanding that the structure approved by OpenGov is changing.

This will allow us to get the pair up and working, we can then address the lower level issues after. 

### How to vote

AYE = 1
NAY = 2
ABSTAIN = 3

### Alternatives

We may be missing an obvious alternative, feel free to comment with your thoughts. 


Make some on-chain remark.

Can be executed by every `origin`.

- **Problem Statement:** Asset Conversion Pallet limitation hinders separate accounts from adding liquidity, impacting Brale and KSM Collective on Kusama Asset Hub.
- **Significance:** Enhancing liquidity management on Kusama AH is crucial for efficient operations and growth.
- **Proposed Solution:** Options include amending the pallet for dual account liquidity management, waiting for smart contracts, or transferring KSM to Brale for single account liquidity addition.
- **Expected Outcomes:** Improving liquidity management efficiency, fostering innovation, and ensuring operational speed on Kusama Asset Hub.

#480 WFC: Update Kusama's asset conversion pallet to enable addition of single sided liquidity

No Active Proposals