Overview
- DYDX token holders recently voted to wind down the safety staking module. This passed both off-chain snapshot and on-chain vote.
- With the safety staking module being wound down, it makes little sense to keep the stkDYDX terms in the LP rewards formulas.
- Each market's LP rewards formula contains a 0.05 weight on
stkDYDX; we propose that each formula's stkDYDX weight be redistributed to the MakerVolume term.
Explicit changes (see attached image)
- Change the
Q_{BTC} formula to have [MakerVolume]^0.85 and remove the [stkDYDX]^0.05 term.
- Change the
Q_{ETH} formula to have [MakerVolume]^0.85 and remove the [stkDYDX]^0.05 term.
- Change the
Q_{non BTC/ETH} formula to have [MakerVolume]^0.65 and remove the [stkDYDX]^0.05 term.

Implementation
These changes do not require an on-chain vote, since they only affect the off-chain rewards calculation.
Voting options
- Yes: make the explicit changes listed above.
- No: do nothing.
Links