Proposal for Updating Transaction Fee Allocation to Introduce a Brokerage System for Deri Community Growth Enhancement

As the team that developed Deri Protocol, we are committed to constantly refining our platform and nurturing a vibrant ecosystem. In pursuit of sustainable development and inclusiveness within the Deri Protocol community, we propose an update to the Transaction Fees allocation designed to facilitate the implementation of a brokerage system. This system aims to motivate the community to tap into their networks and bring in new users, paving the way for sustained and organic growth for the Deri Protocol.

Current Transaction Fees Allocation

• 20% of transaction fees are rewarded to liquidity providers.
• 80% of transaction fees are directed to the Protocol Fee to burn DERI tokens.

Proposed Transaction Fees Allocation Update

• 20% of transaction fees are rewarded to liquidity providers. (status quo)
• If a trader is referred by a broker, a percentage (<=40%) of the transaction fees will be granted to the broker as a reward for their referral efforts.
• The remaining transaction fees will be gathered as protocol fees and utilized to burn DERI tokens. (Note: the transaction fees from traders not referred by any broker are still distributed in the old way.)

Rationale Behind the Proposed Update

1. Stimulate Growth: By offering rewards to brokers, we motivate them to bring new traders to the Deri Protocol, thereby expanding our community and trader base.
2. Boost Liquidity: An expanded trader base and heightened trading activity will lead to enhanced liquidity and a more robust ecosystem.
3. Cultivate Partnerships: A brokerage system will promote cooperation between Deri Protocol and other DeFi communities, generating synergies that enrich our platform and users.
4. Maintain Competitiveness: This update will enable Deri Protocol to remain competitive in the DeFi landscape, attracting both new traders and brokers to our platform.

As a platform driven by community interests, we greatly value the perspectives and insights of our users. We urge the Deri community to actively participate in discussions surrounding this proposal and express their opinions. If a consensus is reached, we will proceed with a governance vote to determine the implementation of this update.

We are grateful for your unwavering support and eagerly anticipate collaborating with you to establish Deri Protocol as the premier platform for decentralized derivative trading.