Proposal: Extend LM Rewards on SNX Pool

This proposal is expected to appear on Snapshot for voting on 2021-07-12T12:00:00Z. Make sure to stake your vBNT for voting before this date and time to participate in the DAO decision.


  1. The LM Rewards will be extended on SNX Pool.
  2. The current reward rates for the pool will be unaffected.
    2a. There might be a separate proposal that reduces the rewards in half for this pool with the existing conditions left in place.
  3. The LM rewards duration on the SNX pool can be ended prior to the completion of the extension if the DAO votes to do so.
  4. The LM rewards rate on the SNX pool can be modified prior to the completion of the extension if the DAO votes to do so.

Vote For :
Extend LM Rewards for 12 Weeks on SNX Pool

Vote Against :
Do not Extend LM Rewards on SNX Pool


Current pool depth is roughly 14.5M:


We have the most liquidity for this token as compare to uniswap and sushiswap (not that far off):


There is also a Uniswap V3 pool with roughly ~1.75M in liquidity.

Weekly Fees and Volume for this token since the week of 4/5:

Compared to other tokens that have an ongoing or had an LM campaign, the total fees for different time periods:

~90 Days ago (since the week of 4/5):

symbol total_fees
BAT $125,079.66
OCEAN $141,529.70
REN $148,426.74
GRT $174,238.84
WOO $202,054.20
UNI $223,053.18
ROOK $289,469.21
MKR $354,916.60
SNX $365,253.36
AAVE $372,303.90
YFI $422,000.75
ALPHA $429,550.91
wNXM $797,134.52
ENJ $1,291,749.27
MATIC $1,760,353.93

~60 Days ago (since the week of 5/10):

symbol total_fees
REN $62,930.15
OCEAN $67,769.67
GRT $78,728.89
UNI $83,402.09
BAT $100,079.63
ROOK $150,123.49
WOO $202,054.20
MKR $216,707.30
ALPHA $226,614.57
AAVE $231,900.82
SNX $256,122.20
YFI $265,919.83
wNXM $348,362.08
ENJ $495,802.55
MATIC $1,224,334.21

~30 Days ago (since the week of 6/7):

symbol total_fees
UNI $14,578.07
REN $20,158.88
MKR $29,012.43
YFI $30,145.05
GRT $30,763.36
OCEAN $31,982.59
BAT $47,537.33
AAVE $60,848.50
ALPHA $63,152.97
ROOK $65,662.43
wNXM $67,450.10
SNX $88,422.46
WOO $155,823.29
MATIC $186,992.03
ENJ $213,959.65

Volume and Fee data since the week of 4/5/21:

symbol time Conversion Fees in USD Volume in USD
SNX 4/5/2021 0:00 $21,867.34 $10,911,802.80
SNX 4/12/2021 0:00 $29,610.42 $14,775,601.75
SNX 4/19/2021 0:00 $19,012.34 $9,487,158.99
SNX 4/26/2021 0:00 $12,394.23 $6,184,718.72
SNX 5/3/2021 0:00 $26,246.90 $13,097,201.01
SNX 5/10/2021 0:00 $60,736.47 $30,307,496.58
SNX 5/17/2021 0:00 $69,019.71 $34,440,836.42
SNX 5/24/2021 0:00 $27,029.16 $13,487,552.16
SNX 5/31/2021 0:00 $10,956.55 $5,467,320.91
SNX 6/7/2021 0:00 $27,352.11 $13,648,705.13
SNX 6/14/2021 0:00 $13,832.78 $6,902,556.97
SNX 6/21/2021 0:00 $11,232.99 $5,605,261.01
SNX 6/28/2021 0:00 $12,849.57 $6,411,937.07
SNX 7/5/2021 0:00 $23,155.10 $11,554,392.91
1 Like

LM is expensive - Are you suggesting this is worth the expense?

Majority of LM is sourced from Protocol Owned BNT (which was already minted), it’s the way of transferring it to everyday holders (with a favor towards BNT stakers, which is the 80/20 split)

I’m not sure you fully understand the economics here.

The protocol needs its co invested tokens to collect the fees that cover IL.

It’s not just a useless pool of BNT waiting to be distributed

Yes, but it was my understanding that co-investment BNT is replaced by user staked BNT

If users LP in those pools - yes. But that isnt always the case. For example, when a pool hits a co investment limit, that means there is BNT = the limit that is protocol owned.

For LM, the split is typically 70% on the BNT side and 30% on the TKN side.

The rewards for LM that an LP receives don’t exist until until you claim them. My understanding is that when the claim happens, that at that point in time we mint the BNT.

I personally support moving LM to another community (see my compound proposal) since we already have had 24 weeks of rewards for the SNX pool. Typically with LM rewards, fees play a role in the decision on whether we should renew but sometimes it is strategic for us to invest in certain pools where and when it make sense (e.g. to bring awareness to the Maker community while we were going through the collateral onboarding process, LM rewards for the harvest community with the goal of having their buyback program targeted towards Bancor, incentivizing the NXM pool while Nexus Mutual was onboarding Bancor as a platform that you can purchase insurance for (the more people staking against our smart contract the lower the premiums), etc…)

Perhaps someone can make a good case for possible collaboration between us and the Synthetix community (I am not an SNX holder)? FYI, a quick look at the stats on Synthetix shows the following for staking SNX on their end:

@mbr It might make sense to potentially have two proposals on snapshot for this renewal. One proposal at the current rate and a separate proposal with the rewards cut in half (similar to what was done a few weeks ago for the vote on increasing the fees for the vortex burner). It would be nice to use RCV here (a proposal with different choices for rewards rate i.e. 50% reduction, 25% reduction, current rate, against, etc… ) but there isn’t really an easy way for us to use RCV since a choice is consider a winner if if it has majority support (> 50%, which is problematic for our supermajority requirements).

FYI, I added the following extra point to the TL;DR:

2a. There might be a separate proposal that reduces the rewards in half for this pool with the existing conditions left in place.

1 Like