# Proposal: Increase Trading Liquidity on PSP-BNT Pool to 200K BNT

**URL:** <https://gov.bancor.network/t/proposal-increase-trading-liquidity-on-psp-bnt-pool-to-200k-bnt/3254>\
**Category:** DAO Archive (SUBMITTED)\
**Created:** [December 17, 2021, 4:37am UTC](https://gov.bancor.network/t/proposal-increase-trading-liquidity-on-psp-bnt-pool-to-200k-bnt/3254 "2021-12-17T04:37:07Z")\
**Posts on this page:** 2\
**Page:** 1

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**Author:** ![tenzent](https://dub1.discourse-cdn.com/flex013/user_avatar/gov.bancor.network/tenzent/32/1821_2.png) [@tenzent](https://gov.bancor.network/u/tenzent)\
**Post date:** [December 17, 2021, 4:37am UTC](https://gov.bancor.network/t/proposal-increase-trading-liquidity-on-psp-bnt-pool-to-200k-bnt/3254/1 "2021-12-17T04:37:07Z")

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# Proposal to increase the trading liquidity limit in the PSP-BNT pool to 200K BNT

For this proposal to pass, it requires 35% quorum and 66.7% supermajority.

### This proposal is expected to appear on Snapshot for voting on 2021-12-19T00:00:00Z. Make sure to stake your vBNT for voting before this date and time to participate in the DAO decision.

Thanks to @tfns who wrote this up for me.

# TL;DR

- The PSP-BNT pool was recently [whitelisted](https://gov.bancor.network/t/proposal-whitelist-paraswap-psp-100k-bnt-co-invest/3193) and is currently at $19,193 liquidity.
- The Paraswap DAO has agreed to allocate 1.5m PSP to provide liquidity on the PSP-BNT pool.
- The pool currently has space for 759,258 PSP.
- This proposal aims to increase the trading liquidity from 100k BNT to 200k BNT to open up space for the Paraswap treasury deposit.

# Rationale

@tenzent proposed allocating a part of the Paraswap treasury to be deposited on Bancor, citing some of its biggest advantages, namely, single-sided staking and impermanent loss protection.

The proposal passed with 89.29% votes in favor of a 1.5m PSP allocation at the time of writing, and can be found on their [snapshot](https://snapshot.org/#/paraswap-dao.eth/proposal/0x7929cea9160fd9c4c5e0905ae3071a6a759ed27a15288ec6241a566bed02d529).

The pool currently has space for 759,258 PSP to be staked single-sided. Increasing the trading liquidity to 200k BNT would open up around $331k worth of space, or roughly 775k PSP, with BNT at $3.31 and PSP at 0.427.

FOR

Increase trading liquidity in the PSP-BNT pool to 200k BNT to open up space for the Paraswap treasury deposit.

AGAINST

Keep the trading liquidity in the PSP-BNT pool at 100k BNT.

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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:** [December 19, 2021, 11:45pm UTC](https://gov.bancor.network/t/proposal-increase-trading-liquidity-on-psp-bnt-pool-to-200k-bnt/3254/2 "2021-12-19T23:45:28Z")

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Thank you, @tenzent for taking this initiative. For anyone that missed it, here is the sister proposal on the paraswap governance forum:

> **[PSP-IPΔ3: Bancor Allocation Addendum](https://gov.paraswap.network/t/psp-ip-3-bancor-allocation-addendum/107)**
>
> This proposal is tentative, meaning I’d like to receive feedback from the community before putting it up to a vote. All opinions welcome, thanks ! Simple Summary This Proposal Seeks a 500,000 PSP Deposit into the Bancor Liquidity Pool to help us...

there is no reason for the Bancor DAO to not vote in favor of a proposal given the following:

> [@tenzent](#):
>
> - The Paraswap DAO has agreed to allocate 1.5m PSP to provide liquidity on the PSP-BNT pool.

In fact, I think we might want to grow the trading liquidity on this pool in the future. This proposal has my full support and I will be voting in favor. Thanks!