Proposal to Adjust BUNNY Fee Structure

Unlike other protocols, Bunny has not been charging any fees. However, our proposals to sustain the stability of BUNNY Vault’s APY and to make staking more attractive to BUNNY holders are addressed as follows.

Current fee structure:

• Leveraged farming fee: 3% of farmed rewards(e.g. CAKE) at the time of harvest
• Liquidation fee: 5% of remains after repaying loans
• Unstaking fee: 0.5% of total staking applied only when unstaking within 72 hours.
• Pot fee: 10% of the prize
• Prediction fee: 3% of the prize

Proposed changes:

• Unstaking fee: Increase from 0.5 to 1%.
• (New) auto-compounding fee: 1% of farmed rewards(e.g. CAKE) at the time of harvest

In order for the protocol to provide LP at a stable ratio, Team Bunny will make use of a certain portion of the Performance Fee to raise the liquidity of BUNNY-BNB, referring to the DeFi 2.0 cases. Also, there will be a contract (covering the raised portion of fees above) setup to not be withdrawable by the team without having the agreement of the community.

Farming rewards (CAKE) gained from BUNNY-BNB LP from the protocol will be used to buy back BUNNY which will then be split into two, transferred to Marketing Treasury and the Burn Address.

• Marketing Treasury: 50%, used for strategic token swap with other projects.
• Burn Address: 50% The detailed amount of Buy Back and Burn of BUNNY will be available to see at pancakebunny.finance

Options regarding the fee structure are as follows.

1. Yes, we should adjust the Fee Structure as proposed.
2. No, the Fee Structure should stay as it has always been.

Voting period: From January 12, at 09:00 UTC to January 17, at 09:00 UTC