GMX Marketing & Trader Incentive Program

Summary This proposal requests approval to allocate $3,150,000 in marketing and incentive funds to a GMX-controlled multisig to execute trader-focused marketing initiatives and incentive programs across GMX deployments on Arbitrum, Avalanche, BNB Chain, Ethereum Mainnet, Base, and MegaETH.

The objective is to reward active GMX traders, increase trading volume, strengthen GMX’s competitive positioning, and test sustainable, long-term incentive models.

Funds will be used for (non-exhaustive):

1. Trial of the proposed Trader Incentive Scheme
2. MegaETH trader and liquidity bootstrapping campaigns
3. Ambassador/KOL and mindshare-focused initiatives
4. General marketing activities across GMX deployments

Background

GMX currently generates approximately $5-7B in monthly trading volume across all supported chains. Competing perpetual DEXs are increasingly adopting aggressive trader incentive programs, creating pressure for GMX to experiment with competitive and sustainable mechanisms to retain and grow trader activity.

This proposal aims to secure flexible marketing capital to:

• Test a direct trader incentive model, where a portion of trading fees is rebated to active traders
• Strengthen alignment between protocol usage and the GMX token
• Increase user loyalty, trading frequency, and overall mindshare

Objectives

The key goals of this proposal are to:

• Evaluate whether fee rebates can sustainably drive volume growth
• Improve GMX’s competitive positioning among other perp DEXs
• Reward loyal and active traders
• Increase the utility and relevance of the GMX token
• Drive activity to priority chains, markets, and protocol features

1. Trader Incentive Scheme Trial

This proposal authorizes funding for testing an incentive system. Final parameters will be defined in a separate governance post following community feedback.

Conceptual Overview

• Traders earn points based on engagement
• Multipliers stack additively, subject to a hard cap
• Points are converted into fee rebates, distributed in GMX

Budget Allocation

• $2,000,000 USDC allocated to purchase GMX from the open market
• GMX purchases will be conducted on a recurring basis, subject to adjustment based on point redemption demand
• Rebates offset up to a defined percentage of open and close fees

Points may also be awarded retroactively to historical traders based on criteria defined in a future governance post.

Example Multiplier Structure (Illustrative)

Staking

• Staked GMX provides one of the highest points multipliers on trading volume

Trading Volume

• Volume is the second-largest multiplier
• Based on historical activity and prior epoch averages

Activity-Based Multipliers (Per Trade)

Planned activities that may receive additional multipliers include:

• Multichain trading (Base, BNB Chain, Ethereum Mainnet, MegaETH, etc.)
• Featured or new markets
• Balancing trades that improve open interest distribution

A hard cap on total multiplier stacking will apply to prevent abuse.

Distribution Mechanics

• Epoch Length: 1 week (Wednesday 00:00 UTC – Tuesday 23:59 UTC)
• Minimum Stake Duration: 7 days for staking multipliers to apply
• Claims: Weekly, every Wednesday from 00:01 UTC
• Cycle Design:
  • Week N: Points earned based on trading activity
  • Week N+1: Points converted into fee rebates
• Rebate Form: Points → GMX

Rebates will be calculated off-chain and distributed manually during initial testing.

Success Metrics

The effectiveness of the campaign will be evaluated using metrics defined in a dedicated follow-up governance post. These may include, but are not limited to:

• Incremental trading volume
• Active trader growth
• Cost per dollar of volume generated
• Retention and repeat trading behavior

2. MegaETH Bootstrapping & Campaigns

Funds will be allocated to support the launch and growth of GMX on MegaETH, including but not limited to:

• Liquidity incentives
• Trading incentives
• Targeted ecosystem campaigns

Budget $500,000

Duration Intended for Q1/Q2 2026, with potential spillover into Q3 2026 if required

3. General Marketing Activities

Funds will support ongoing marketing efforts across all GMX deployments, with strategies evaluated and measured by Core Contributors.

Budget $500,000

Duration Q1 2026, with potential extension into Q2 2026

4. KOL & Mindshare Initiatives

Focused efforts to amplify the reach and engagement of incentive programs, ecosystem updates, and GMX education through curated KOL partnerships and targeted campaigns.

Budget $150,000

Duration Q1 2026, with potential extension into Q2 2026

Total Budget Summary

• Incentive Program & GMX Buybacks: $2,000,000
• MegaETH Bootstrapping: $500,000
• General Marketing: $500,000
• KOL & Mindshare: $150,000

Total Requested: $3,150,000

Governance & Reporting

• Funds will be held in a GMX-controlled multisig
• Contributors will provide transparency reports detailing spending and distributions
• Any unused funds will be returned to the GMX DAO treasury

Treasury Composition Note The requested $3,150,000 represents an equivalent USD value and does not imply that the full amount must be drawn solely from stablecoin reserves. A mixture of treasury assets may be utilized to avoid unnecessary concentration risk and preserve stablecoin liquidity.

Conclusion This proposal seeks DAO approval to deploy flexible marketing and incentive capital during Q1-Q2 2026. It enables GMX to test a competitive trader rebate model, support new chain expansion (including MegaETH), and strengthen long-term protocol growth, while maintaining accountability through reporting and fund return guarantees.