SIP-385: Universal perps v3 fee sharing model
| Author | |
|---|---|
| Status | Approved |
| Type | Governance |
| Network | Arbitrum |
| Implementor | TBD |
| Release | TBD |
| Proposal | Loading status... |
Simple Summary
This SIP introduces a universal fee-sharing mechanism between LPs, integrators and protocol.
Abstract
Introduce a fee-sharing mechanism for liquidity providers, the protocol's treasury, and integrators of the Synthetix Perps v3 deployment on any existing and future chain. Liquidity providers will earn 40% of the fees, integrators will earn a 20% fee for trades processed through their integration, and the remaining 40% will be sent to Synthetix Treasury to hold onto for distribution to SNX stakers as instructed by Spartan Council in near future.
Motivation
This fee distribution model follows a proven model already in place on Synthetix's Base deployment, enabling increasing trading volumes by front-end integrators.
Specification
Configure a Fee collector for Perps Market on each chain where Perps v3 is deployed to collect SNXFeeShare = 50% of net fees (after integrator share) Fee Collector accrues USD denominated fees
Integrators will request a unique tracking code for each integration they wish to track and provide an address to which they will receive fees. A 20% fee relative to protocol fees earned, excluding gas, execution fees, or funding fees, will be directed to the corresponding address for all trades executed using an integrator tracking code.
Rationale
Having a consistent and transparent fee structure across chains is key to attracting and retaining liquidity providers, integrators and Synthetix tokenholders alike.
Copyright
Copyright and related rights waived via CC0.