GMX will distribute 5.4 million ARB to traders, liquidity providers, and builders as part of its Arbitrum STIP-Bridge incentives campaign
The STIP-Bridge program will start this Wednesday, 26 June 2024
The STIP-Bridge proposal presented by GMX to the Arbitrum DAO has been accepted. A grant of 5.4 million ARB tokens has been allocated to GMX to continue supporting the growth of Arbitrum and its expanding DeFi sector. These tokens will be used for liquidity, trading, and grant incentives over a period of 12 weeks. The STIP-B incentive program will commence on 26 June 2024 and run until the second week of September.
The ARB incentives from GMX’s STIP-Bridge campaign will be distributed weekly, with each week referred to as an epoch. At the end of each epoch, users will receive their earned rewards directly in their personal wallets through an airdrop.
Liquidity incentives
Building on the success of the original STIP campaign, STIP-Bridge will provide incentives to GMX liquidity providers. The goal is to attract new, sticky liquidity providers to the GMX V2 ecosystem, where they can earn market-leading yields while utilising the Arbitrum blockchain.
Provide liquidity to GMX’s GM pools on Arbitrum and earn amplified rewards:
To maintain a healthy balance between supply and demand and avoid excessive incentives, GMX will strive for sustainable target APRs for the GM liquidity pools. The GMX Grants Committee will regularly review and rebalance the incentives to meet these target benchmarks.
Any new GM markets added during the campaign period will also receive incentives, based on the same guiding principles: realising sticky liquidity and sustainable growth.
Trading incentives
GMX plans to continue with the trading incentives model from the initial STIP campaign, which received significant positive feedback. Once again, GMX will offer traders up to a 75% rebate on the open and close fees of their trades.
As part of its commitment to avoiding wasteful spending, GMX has urged other perpetual exchanges on Arbitrum to adhere to a maximum of 75% trading fee rebates. This alignment would help prevent exchanges from competing to outdo each other, leading to an unsustainable 'race to the bottom'.
At the end of every weekly epoch, trading incentives will be paid out in ARB tokens for all qualifying trades.
Grant incentives
The GMX Grants Program has been relaunched, with a 600,000 ARB budget to support integrations that encourage the use of GMX V2. These integrations should aim to increase liquidity and trading activity on GMX while strengthening the Arbitrum DeFi sector.
The Grants Program is currently live, and the Grants Committee is in the process of reviewing the submitted proposals. For more information about the program, refer to this announcement on the GMX Governance forum.
The grants program will play a critical role in attracting new talent to the Arbitrum ecosystem and helping builders realise innovative ideas.
Anti-Sybil and Anti-Abuse Parameters
One of the highlights of GMX’s initial STIP incentive program was the extremely low sybil ratio, as reported by OpenBlock Labs. To ensure the integrity of the STIP-Bridge incentive program, similar anti-sybil and anti-abuse parameters will be implemented.
By implementing these safeguards, GMX aims to foster a healthy and long-term sustainable ecosystem.
Details of the GMX Incentives
Connect with GMX:
Website: https://gmx.io/
Twitter: https://twitter.com/GMX_IO
Telegram: https://t.me/GMX_IO
Announcements: https://t.me/GMX_Announcements
Discord: https://discord.gg/H5PeQru3Aa
Github: https://github.com/gmx-io
Documentation: https://docs.gmx.io/
Disclaimer
This announcement is for informational purposes only and does not constitute legal, financial, or investment advice. GMX or any other parties make no warranties or representations regarding the accuracy, completeness, or suitability of the information presented and will not be liable for any losses, damages, or adverse consequences that may arise in relation to this announcement.
It is strongly advised to undertake your own due diligence and seek advice from relevant professionals before making decisions based on this announcement.
Time to kick off GMX Summer in full!