The dYdX Community Approves Revenue Sharing Proposal: What’s Next?
The dYdX community has made a significant decision by approving a revenue-sharing proposal, which allocates 50% of protocol revenue to the MegaVault and 10% to the Treasury SubDAO. This move is expected to enhance DYDX token utility, reduce emissions, and increase competitiveness against other protocols like Hyperliquid.
The proposal, which was passed on November 15, saw a turnout of 76.99%, with over 155 million DYDX representing 89% of the vote in favor. This overwhelming support from the community indicates a strong willingness to adapt and improve the protocol.
The allocation of 50% of protocol revenue to the MegaVault is a strategic move to incentivize user participation and support the perpetual decentralized exchange. As stated in the proposal, “We are proposing to route 50% of protocol revenue to the MegaVault because liquidity is a fundamental component of dYdX’s competitive advantage, and the TVL of the MegaVault should be as high as possible, while also balancing returns to stakers in exchange for the provision of network security.”
This decision is likely to have a positive impact on the dYdX ecosystem, as it will attract more users and liquidity providers to the platform. The increased liquidity will, in turn, improve the overall trading experience and competitiveness of the protocol.
The 10% allocation to the Treasury SubDAO will also complement staking rewards, providing an additional incentive for validators and stakers to participate in the network.
With the dYdX Chain having already generated over $232 billion in trading volume and distributed more than $39 million to validators and stakers, this revenue-sharing proposal is a significant step towards further growth and development.
What’s Next for dYdX?
The approval of this proposal is a testament to the community’s commitment to improving the protocol. As the dYdX ecosystem continues to evolve, we can expect to see more innovative proposals and developments.
In the short term, we can expect to see an increase in liquidity and user participation on the platform, driven by the incentivized MegaVault. This, in turn, will improve the overall trading experience and competitiveness of the protocol.
In the long term, the revenue-sharing proposal will likely lead to increased adoption and growth of the dYdX ecosystem. As the protocol continues to improve and expand, we can expect to see more significant partnerships and collaborations.
Predictions:
* Increased liquidity and user participation on the platform in the short term
* Improved trading experience and competitiveness of the protocol
* Long-term growth and adoption of the dYdX ecosystem
* Potential partnerships and collaborations with other protocols and platforms
Overall, the approval of the revenue-sharing proposal is a significant milestone for the dYdX community, and we can expect to see positive developments in the ecosystem as a result.
