[SIP-1] Implement Admin Fee on AMM pools
Summary
This SIP would implement a 60% admin fee on Synapse AMM pools, with 40% of trading fees going to LPs.
- Liquidity providers have been receiving 100% of swap fees during initial liquidity bootstrapping
- Pools are now larger and developed, an admin fee will begin to build protocol treasury
- As the pool utilization is higher than the typical AMM utilization, a 60/40 split between admin fee & fee to LP is proposed
Full proposal by Googly from Discord alongside a temperature check - https://discord.com/channels/887411327696511027/890484570498138132/890485534697345085
Off-Chain Vote
Implement a 60% admin fee
13.85M 99.9%
Maintain a 0% admin fee
8.09K 0.1%
Timeline
Sep 24, 2021Proposal created
Sep 24, 2021Proposal vote started
Sep 25, 2021Proposal vote ended
Oct 26, 2023Proposal updated