# Proposal: Change the fee in the ICHI pool from 0.3% to 1%

**URL:** <https://gov.bancor.network/t/proposal-change-the-fee-in-the-ichi-pool-from-0-3-to-1/3555>\
**Category:** DAO Archive (SUBMITTED)\
**Created:** [April 24, 2022, 12:51pm UTC](https://gov.bancor.network/t/proposal-change-the-fee-in-the-ichi-pool-from-0-3-to-1/3555 "2022-04-24T12:51:03Z")\
**Posts on this page:** 2\
**Page:** 1

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**Author:** ![glenn](https://dub1.discourse-cdn.com/flex013/user_avatar/gov.bancor.network/glenn/32/1720_2.png) [@glenn](https://gov.bancor.network/u/glenn)\
**Post date:** [April 24, 2022, 12:51pm UTC](https://gov.bancor.network/t/proposal-change-the-fee-in-the-ichi-pool-from-0-3-to-1/3555/1 "2022-04-24T12:51:03Z")

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### This proposal is expected to appear on Snapshot for voting on 2022-05-01T15:00:00Z. Make sure to stake your vBNT for voting before this date and time to participate in the DAO decision.

For this proposal to pass, it requires a 20% quorum and 66.7% supermajority.

### TLDR

- This proposal seeks to increase the pool fees on the ICHI pool from 0.3% to 1%.
- An increased pool fee will help siphon more profits from arbitrageurs to the protocol and most likely not affect volume therefore increasing APYs for the LPs in the pool.

### Abstract

Deepest ICHI DEX pools on Ethereum are:

The ICHI/ETH 0.3% Bancor pool with $7.6m liquidity  
The ICHI/ETH 0.3 Sushiswap pool with ~$1.8m liquidity  
The ICHI/ETH 0.3% Uniswap v3 pool with $150k liquidity  
The ICHI/ETH 0.3% Uniswap v2 pool with $116K liquidity  
The ICHI/ETH 1% Uniswap v3 pool with $33k liquidity

Note: There are other ICHI pools that are paired with other tokens that are not ETH but these are not significant and have been excluded.

### Motivation

Experiments and changes in fees should happen for tokens that Bancor dominates in liquidity. We have learned that we can have higher fees on pools where we have the largest moat (e.g. wNXM, AMP, TRAC, etc…). The reasons to pursue a higher fee in the ICHI pool are:

- The majority of ICHI liquidity resides on Bancor and trades are therefore routed in our direction due to lower price impact.
- Increasing the pool fee will help siphon more profits from arbitrageurs to the protocol.

The ICHI pool’s weekly volume and fees since the beginning of the year are shown in Figures 1 and 2.

 ![image](https://europe1.discourse-cdn.com/flex013/uploads/bancordao/original/2X/a/a16a082693af702b80cd4c55247191f846ea2356.png)

Figure 1 - Weekly ICHI pool volume since the beginning of the year.

 ![image](https://europe1.discourse-cdn.com/flex013/uploads/bancordao/original/2X/f/ff470250acabf1d141182ce3fea8d6bcb86aa1b0.png)

Figure 2 - Weekly ICHI pool fees since the beginning year.

### Conclusion

An increase in the ICHI pool fees should lead to higher APY for LPs and the protocol.

For

1. Increase the pool fee in the ICHI pool from 0.3% to 1%.

Against

1. Keep the pool fee in the ICHI pool at 0.3%.

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**Author:** ![eldude](https://avatars.discourse-cdn.com/v4/letter/e/c6cbf5/32.png) [@eldude](https://gov.bancor.network/u/eldude)\
**Post date:** [April 25, 2022, 7:19am UTC](https://gov.bancor.network/t/proposal-change-the-fee-in-the-ichi-pool-from-0-3-to-1/3555/2 "2022-04-25T07:19:10Z")

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Well this is a no-brainer - YES