# Proposal: Increase the trading liquidity limit in the LPL pool from 250k BNT to 500k BNT

**URL:** <https://gov.bancor.network/t/proposal-increase-the-trading-liquidity-limit-in-the-lpl-pool-from-250k-bnt-to-500k-bnt/3560>\
**Category:** DAO Archive (SUBMITTED)\
**Created:** [April 25, 2022, 4:39pm UTC](https://gov.bancor.network/t/proposal-increase-the-trading-liquidity-limit-in-the-lpl-pool-from-250k-bnt-to-500k-bnt/3560 "2022-04-25T16:39:46Z")\
**Posts on this page:** 5\
**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 25, 2022, 4:39pm UTC](https://gov.bancor.network/t/proposal-increase-the-trading-liquidity-limit-in-the-lpl-pool-from-250k-bnt-to-500k-bnt/3560/1 "2022-04-25T16:39:46Z")

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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 35% quorum and 66.7% supermajority.

**TL;DR**

- The LPL liquidity balance is currently full.
- The LPL liquidity on other decentralized exchanges justifies proposing an increase.
- Increasing the pool’s liquidity will improve price impact and help direct more volume to Bancor.
- This proposal seeks to increase the trading liquidity limit in the pool from 250k BNT to 500k BNT.

**Abstract**

There are currently **~361k $BNT** and **~174K $LPL** tokens in the BNT-LPL [pool](https://etherscan.io/address/0x49BfE711fbd3185969AEaa8A0A8a54c63951fA7D). This has resulted in a pool that has roughly **~1.5m** in liquidity. This proposal seeks to increase the **$LPL** pool’s single-sided capacity by increasing the trading liquidity limit to **500K $BNT**.

 ![image](https://europe1.discourse-cdn.com/flex013/uploads/bancordao/original/2X/7/73c0ff4e5d36cb7a239a468db7064eadb1d75c81.png)

**Rationale**

The Deepest LPL pools are:

The LPL/ETH 1% Bancor pool with ~$1.5m liquidity  
The LPL/ETH 0.3% Uniswap v2 pool with ~$16k liquidity  
The LPL/ETH 1% Uniswap v3 pool with ~$26k liquidity

The extra liquidity would bring the total pool liquidity to at least ~$2.5m, if the space in the pool is filled.

FOR

Increase trading liquidity in the LPL pool from 250k BNT to 500k BNT.

AGAINST

Keep the trading liquidity in the LPL pool at 250k BNT.

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**Author:** ![DFV](https://avatars.discourse-cdn.com/v4/letter/d/e19b73/32.png) [@DFV](https://gov.bancor.network/u/DFV)\
**Post date:** [April 26, 2022, 5:04am UTC](https://gov.bancor.network/t/proposal-increase-the-trading-liquidity-limit-in-the-lpl-pool-from-250k-bnt-to-500k-bnt/3560/2 "2022-04-26T05:04:59Z")

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Why do this before v3, there isn’t a lot of trading activity these days, would the bnt emissions be worth a slightly deeper pool if we’re already one of then largest in Ethereum?

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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 27, 2022, 3:16am UTC](https://gov.bancor.network/t/proposal-increase-the-trading-liquidity-limit-in-the-lpl-pool-from-250k-bnt-to-500k-bnt/3560/3 "2022-04-27T03:16:22Z")

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I actually disagree about the trading activity on this pool given its size:

 ![image](https://europe1.discourse-cdn.com/flex013/uploads/bancordao/original/2X/1/1c99bc4115c2889d2f3577d1569cae0fcea375a7.png)

 ![image](https://europe1.discourse-cdn.com/flex013/uploads/bancordao/original/2X/0/0353ac753d0b7dee636e2d344afefc15b700d283.png)

Its one of the pools that drives good yields to LPs as it has high demand from traders. I think the price impact right now discourages large buys/sells and I think we can help fix that by growing the liquidity and therefore bringing more yield to LPs.

I don’t feel strongly about only growing the liquidity in the B3 LPL pool given that the release is right around the corner and I think it is sensible given that if this proposal passes then it will be very close to when the Beta should conclude.

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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 27, 2022, 6:08am UTC](https://gov.bancor.network/t/proposal-increase-the-trading-liquidity-limit-in-the-lpl-pool-from-250k-bnt-to-500k-bnt/3560/4 "2022-04-27T06:08:35Z")

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Is the LPL team supportive of this proposal?

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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 27, 2022, 8:41am UTC](https://gov.bancor.network/t/proposal-increase-the-trading-liquidity-limit-in-the-lpl-pool-from-250k-bnt-to-500k-bnt/3560/5 "2022-04-27T08:41:52Z")

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Even better, the community is supportive of this proposal. Regarding the LPL team, don’t see why they would be against it.
