SCCP-64: Increase fees on iBTC to 0.50%
| Author | |
|---|---|
| Status | Implemented |
| Type | Governance |
| Implementor | TBD |
| Release | TBD |
| Discussions-To | governance |
| Created | 2020-11-25 |
Simple Summary
Raise exchange fees of trades into iBTC by 20 bp to 0.50%.
Abstract
Increasing fees by 20 bp to 50 bp on iBTC should help reduce the gap against the oracle price push.
Motivation
Analysis of on-chain data showed that front-running is possible on iBTC and sBTC, due to the mismatch against chainlink rate push frequency of 0.50%. Raising fees on one synth of the sBTC/iBTC pair, so that it matches the chainlink push frequency, should help close up the front-running gap and significantly impair the effectiveness of a front-running swing-based trade.
Copyright
Copyright and related rights waived via CC0.