SCCP-373: Update Trading Fees Distribution
| Author | Kaleb |
|---|---|
| Status | Vote_Pending |
| Type | Governance |
| Network | Arbitrum & Base |
| Implementor | TBD |
| Release | TBD |
| Proposal | Loading status... |
| Created | 2024-12-09 |
Simple Summary
This SCCP proposes to update the trading fee distribution split as per the below:
| Split | Existing Config. | Synthetix Exchange | Other Integrators |
|---|---|---|---|
| v2 Debt Burn | 20% | 30% | 20% |
| V3 LPs | 40% | 70% | 60% |
| Integrators | 20% | 0% | 20% |
Configurations
Due to the specificity pertaining to this split, the below will be configured:
- The referrer of Synthetix tracking will be configured to 20% (along with other integrators).
- The referrer to the collector (debt burn) will be configured to 25%. Please note that a 25% configuration is applied on the fee after taking out integrator fee. Therefore, 1$ trading fee, 80 cents remain after integrator and therefore 20 cents is sent to the TC address, entirely used for v2 debt buy back and burn.
- TC will use 50% of the funds received on this address will be distributed to v3 stakers and 50% will be used to buy v2 sUSD and burn.
The above configuration and TC action, helps achieve the split shown in the table above.
Motivation
The main motivation is to boost the LP apy by increasing their share of trading fees.
Copyright
Copyright and related rights waived via CC0.