Update 30 April 2024: This proposal has proceeded to an on-chain Council vote. It is currently at quorum. Tokenholders may cast veto votes here until 5:26 p.m. UTC on 6 May 2024.
Summary
If passed, this proposal will reduce the Protocol Fee Threshold (as defined below) to 0.16%.
Description
Pursuant to an ORCA tokenholder proposal which passed in Q4 2023, trading fees generated from Orca liquidity pools with fee tiers at or above 0.3% (the “Protocol Fee Threshold”) are routed as follows (the “Fee Waterfall”): (i) 87% of such fees are routed to the pools’ liquidity providers; (ii) 12% of such fees are routed to the protocol fee treasury; and (iii) 1% of such fees are routed to the Orca Climate Fund. Trading fees generated from liquidity pools with fee tiers below 0.3% are routed entirely to the pools’ liquidity providers. A Council member proposed reducing the Protocol Fee Threshold to 0.16% such that trading fees generated from all liquidity pools with fee tiers at or above 0.16% would be routed pursuant to the Fee Waterfall.
This proposal was discussed and considered during the Orca Governance Council meetings convened on 13 March 2024 and 29 March 2024. Unanimously, all present Council members endorsed the submission of this proposal for an on-chain vote.
Governance Process
Forum Discussion
This proposal will be posted here for a discussion period of at least 4 days before it is formally put to a vote. This period allows community members to review the details of the proposal and share feedback.
Voting
After 4 days, a Council member may submit the proposal using their Council Token to the Signaling Governance account (6d76J…4HUf9). The account contains the following voting parameters:
Voting Period: 5 days
Council Threshold: 4 ‘yes’ votes
Veto Threshold: 1,000,000 ORCA
Cool-down Period
This account also has a 2-day cool-down period, which begins after the initial 5-day voting period. In other words, if the proposal is passed after 5 days, the community will have an additional 2 days to veto it.
Execution
If the veto threshold is not met during the cool-down period, then the proposal will pass and its contents will be implemented.