Applicant Name: HMX Team

Project Name: HMX

Project Description:
HMX is a perpetual protocol with cross-margin and multi-asset collateral support on Arbitrum. HMX offers low-fees trading on crypto, FX, and commodities markets with up to 1,000x leverage.

Team Members and Qualifications:

Shu Wei (Co-founder, Head of Engineering)

  • 6 years in smart contract development
  • Experience working with notable projects such as OPN (previously OmiseGo) and large corporates such as Agoda

Rockman (Co-founder, Head of Marketing & Community)

  • 6 years experience in DeFi
  • Ex-TradFi professional having worked extensively in corporate banking and wealth management

Tao Ree (Co-founder & Head of Strategy & BD)

  • 6 years experience in DeFi
  • 2 years experience in banking industry
  • Ex-Management consultant

John Xina (Head of Product)

  • 6 years experience in smart contract & product development
  • Led technical consultant for a large technology consulting firm

Kim Hera (Engineering Team Lead)

  • 6 years in smart contract development
  • Experience working with various DeFi projects

Jinlong9922 (Senior Developer)

  • 4 years in smart contract development
  • 6 years in frontend development

Yingyang888 (Senior Developer)

  • 4 years in smart contract development
  • 6 years in frontend development

Kangdaiyu (Senior Developer)

  • 4 years in smart contract development
  • 6 years in frontend development

Chentang88158 (Developer)

  • 1 year in smart contract development
  • 1 year in frontend development

Asaki-Katsu (Developer)

  • 1 year in smart contract development
  • 1 year in frontend development

In addition to the team members above, we also have 2 business analysts and 6 community managers

Project Links:






Other relevant project links can be found on our Linktree.

Contact Information

TG: @taoree88, @rockman_HMX

Twitter: @HMXorg

Email: contact@hmx.org

Do You Acknowledge That Your Team Will Be Subject to a KYC Requirement?:


Requested Grant Size: 750,000 ARB (Reduced from the original 1.95M ARB)

  • The actual distribution amount will be between 0 - 750,000 ARB, based on the trading volume and new users growth achieved vs. baseline (please note that we kept baseline and the KPIs we need to achieve unchanged)
  • Requested amount is reduced to be more in line with the recommended metrics of being live on Arbitrum for 4 months. Also, given the 2x+ over subscription of the allocated 50Mn by applicants, we think the reduced amount should make our application more appealing and reasonable to delegates.
  • ARB incentives amount distributed in a given week will NOT exceed the protocol revenue generated on the same week.
  • Unused ARB will be returned at the end of the program
  • More details in section3

Grant Matching:
HMX will be providing incentives with its Governance Token ($HMX) alongside the grant incentives from Arbitrum. The $HMX incentives over the same time period will be higher than the requested grant value.

  • HMX allocates 40% of the governance token as community incentives. Currently, 160,000 HMX (~$1.4Mn USD) are being distributed to users on a monthly basis.

  • For the full details of our incentives program, please refer to our Docs.

Grant Breakdown:
We propose a 3-month incentive program from November - January. 100% of the grant will be distributed weekly as incentives to traders (more details in section3.) The rationale for this decision are as follow:

  1. Yields on HMX (and any DEXs, for that matter) are driven by trading volume. Higher trading volume will drive higher protocol revenue which in turn will make staking APR% for HLP (our liquidity pool) and $HMX staking higher. It will also directly increase the transaction volume for the platform and the Arbitrum network.
  2. While we already incentivize traders with $esHMX, having additional ARB incentives would make the rewards program more attractive due to ARB being a well-established token with top-tier reputation, liquidity, and market cap.
  3. We already have sufficient liquidity in the liquidity pool (HLP) to support significant additional trading volume. Thus, there is no need to incentivize the liquidity pool TVL directly. Once the trading volume goes up, the resulting higher fee distribution to the liquidity pool, will result in a natural increase of the TVL.

Funding Address: 0x24d53494dc9e260a6b2ddb0b40c1ed222471779c

Funding Address Characteristics:
This address is a 2 / 3 gnosis safe address with private keys stored in hardware wallets separately by HMX core team members

Contract Address:
The contract address to be used for rewards distribution will be provided at a later stage once it is deployed.

The contract addresses related to incentivization include:

  • Trading Contract: 0x0E7C0d58f2e4a6b28597D51a34C4b7acDA1Ee719
  • TLC Staking Pool: 0x03BaC369E37a78420dDc284ff6e7E94D15571BbA
  • HMX, esHMX, and Dragon Point Staking Pool: 0x92E586B8D4Bf59f4001604209A292621c716539a



Our objectives are:

Leverage the ARB incentives to attract and accelerate new users growth to the HMX platform, and convert them into long-term users.

  • Receiving ARB incentives from trading on HMX would subsidize trading costs for users, making the barrier to try HMX lower, accelerating adoption. We would like to highlight that HMX already offers one of the lowest trading fees amongst PerpDEX. Our fees for BTC and ETH markets are on-par with major CEXs, such as Binance (0.04%) The primary objective here is to grow the size of the PerpDEX ecosystem on Arbitrum (through acquisition of new users) and not to take market shares from existing PerpDEX on Arbitrum. To this effort, we have marketing initiatives lined up to run concurrently during the rewards period to maximize the grant effectiveness (more details below)
  • Being a grant recipient would help increase HMX’ visibility and credibility, acting as another social proof for many new users to give HMX a try.
  • We believe HMX has many unique features and strong value propositions. We hope to turn a significant percentage of these new users into long-term users even after the incentive program ends, creating sustainable value for the Arbitrum network.

Increase the attractiveness to trade on HMX with existing users

  • For existing users on HMX, having the additional ARB incentives would increase the attractiveness of trading on HMX, increasing our wallet share for those traders (i.e., how much they trade on HMX vs. other platforms)

Key Performance Indicators (KPIs):

KPIs that we will be using to measure the success of the program are:

  • Trading Volume
  • Daily Active Users
  • New users acquired (unique wallet addresses)
  • Open Interest

How will receiving a grant enable you to foster growth or innovation within the Arbitrum ecosystem?:
HMX is designed from the ground up with many innovative features such as multi-collateral support and cross margin. Our development approach has been very collaborative with the community and users. For example, we conducted a month-long beta period where we had a dedicated channel for users to provide feedback on our Discord. Through that framework, we have received many valuable suggestions (70+ feedbacks / requests) and have already finished implementing many requested features. With more users joining our community, we look forward to having a more vibrant discussion and feedback which will allow us to come up with more innovative features that meet the users’ needs and foster growth on the Arbitrum network.

Justification for the size of the grant:
HMX has seen rapid adoption by the community with over $3Bn+ in cumulative trading volume since launch. The protocol also sees 200-500 daily active users and 4,100+ unique users (wallet addresses.) Our TVL has also grown quickly to see $26+ Mn TVL. We are grateful for the support of our users and the Arbitrum community and hope to continue contributing to the growth and innovation of the ecosystem.

Note: Screenshots data as of 27 September 2023

Over the past month, HMX consistently ranks in the top 5 by 24hr trading volume according to Defillama.

To see more comprehensive HMX’s stats, please visit our Dune Dashboard

As the grant program is designed to stimulate growth and activities on the Arbitrum network, we believe it only makes sense for the grant to be given in proportion to the demonstrated success as aligned to our objectives. Namely, the size of the grant / the incentives given to the HMX’s users will be subjected to:

  • The growth from the current trading volume baseline
  • New users growth

We would like to note that even with the maximum requested grant amount (1.95 Mn ARB), the current esHMX incentives being distributed by the platform will still make up for more than 60% of the total incentives given over the same time period.

Based on the information above, we believe the requested grant size is appropriate because

  • It is commensurate with the level of activities on HMX and proven by the demonstrated traction of the platform
  • The distribution amount being proportional to the trading volume growth & new users acquired would ensure the Arbitrum foundation is not “over spending” on the grant
  • The max. grant value represents ~30% of the incentives being given out by HMX over the same period. This percentage represents the fact that HMX will still be responsible for providing majority of the incentives to its users

Execution Strategy:

ARB Rewards Amount

ARB rewards amount to be given out each week will be calculated based on the 1.) total platform trading volume that week and 2.) new users acquired that week. Weekly epoch will run from Thursday Midnight UTC through 11.59PM UTC Wednesday.

We are setting a baseline as follow:

  • Weekly trading volume: USD 250,000,000
  • Weekly new users acquired: 100 users (measured by unique wallet addresses growth week over week)

The incentives given each week will be based on performance of both metrics that week relative to the baseline.

Tier Performance vs. Baseline Weekly Volume Range Weekly New Users Weekly ARB Rewards
1 0% - 80% 0 - 200 Mn 0-80 0
2 80% - 100% 200 - 250 Mn 81-100 18,750
3 100% - 125% 250 - 312.5 Mn 101-125 37,500
4 125% - 150% 312.5 - 375 Mn 126-150 43,750
5 150% - 175% 375 - 437.5 Mn 151-175 50,000
6 175% - 200% 437.5 Mn - 500 Mn 176-200 56,250
7 200% + 500 Mn+ 200+ 62,500

In order to be qualified for a tier, BOTH tracked metrics must be satisfied. If only one metric is achieved, we will go down to a lower rewards tier where both metrics are satisfied. For example, if a weekly trading volume was $400 Mn and 130 new users were acquired for the week, 43,750 ARB will be distributed that week.

Note: The max total rewards possible = 62,500 ARB * 12 weeks = 750,000 ARB

Allocation Method

To disincentivize mercenary traders and potential selling pressure on ARB from these users, we will distribute the ARB rewards in the form of escrowed ARB (esARB.) In order to receive ARB, users will need to vest esARB, which will be released linearly over 1 year. Please note that we are not converting ARB into another token, but merely releasing it over time.

To not penalize actual long-term traders, we will allow for accelerated vesting schedule for users who continue to trade on HMX beyond the incentivization period.

  • The maximum accelerated vesting period will be 3 months (i.e., get all rewards out by the end of April 2024)
  • The exact formula for acceleration rate will be finalized at a later date. It will be a function derived from TLC, trader’s trading volume, and trading activities.

Allocation Formula

The amount of ARB each user received will be based on their Rewards Points (RP) vs. the total Rewards Points obtained by all users.

  • ARB received by a user = (User’s Rewards Points) / (Total Rewards Points)

Each week, users will have their Rewards Points (RP) calculated per the formula below:

  • Rewards Points = TLC * ( 1 + min(1, (500* HMXstaked / TLC)) + min(1, (5000 * DP / TLC)))


  • TLC = Trader’s Loyalty Credit. For every $1 of trading volume, HMX’s users will be awarded at least 1 TLC (depending on the asset that they trade) more info here.
  • HMX staked = Staked HMX & esHMX tokens
  • DP = Dragon points more info here.

The distribution formula above is designed to reward traders based on their level of activities and provide extra bonus to loyal platform users by looking at the amount of HMX & esHMX staked and Dragon Points. However, simply having a lot of staked HMX and DP will NOT earn you any Rewards Points. Users will still need to trade to receive the benefits.

We believe this can help create a positive flywheel effect where users who want to earn the extra bonus will have incentives not to vest their esHMX and keep it locked. As they continue to trade on HMX and accumulate more esHMX, their bonus will also grow automatically. At the same time, users who don’t want to bother with the HMX tokenomics can still enjoy the incentives by simply trading on HMX. As HMX still makes up for the majority of the platform incentive, a positive price dynamic on HMX will help create higher APR% and make it more attractive for users to trade, and provide liquidity.

Note: we have the following measures in place to make it fair and discourage wash tradings:

  • TLC is directly proportional to the trading fees paid, so users cannot game the system by choosing to trade in a particular market to earn higher rewards
  • Only trading transactions that increase the position size will be counted towards TLC.

Grant Timeline:

Grant will be distributed equally each week over a 3 months period (12 weeks) from November through January. The week will be synced with our TLC rewards distribution (Thursdays.) Rewards will be distributed based on the activity that week. For example, trading activities from 2 Nov - 8 Nov will be calculated and distributed on 9 Nov.

Period Rewards
2 Nov - 8 Nov Up to 62,500 ARB
9 Nov - 15 Nov Up to 62,500 ARB
16 Nov - 22 Nov Up to 62,500 ARB
23 Nov - 29 Nov Up to 62,500 ARB
30 Nov - 6 Dec Up to 62,500 ARB
7 Dec - 13 Dec Up to 62,500 ARB
14 Dec - 20 Dec Up to 62,500 ARB
21 Dec - 27 Dec Up to 62,500 ARB
28 Dec - 3 Jan Up to 62,500 ARB
4 Jan - 10 Jan Up to 62,500 ARB
11 Jan - 17 Jan Up to 62,500 ARB
18 Jan - 24 Jan Up to 62,500 ARB


If the grant is approved, we will dedicate the necessary resources to carry out the plan above.

  • Develop the necessary smart contracts for rewards distribution
  • Develop the necessary UI for rewards claiming and tracking for users
  • Develop the necessary dashboards for reporting the KPIs and distribution

We have marketing campaigns lined up that we will run concurrently during the incentives period (using our own marketing budget) to achieve the maximum impact for the grant.

  • Ad banners on top token sites such as Coingecko & GeckoTerminal
  • YouTube video and an explainer articles with top content sites such as DeFiant
  • Advertising on top DeFi-focused publications such as The Daily Degen and The DeFi Edge

Do you accept the funding of your grant streamed linearly for the duration of your grant proposal, and that the multisig holds the power to halt your stream?


Is the Protocol Native to Arbitrum?: Yes

On what other networks is the protocol deployed?: No

What date did you deploy on Arbitrum?: Our first contract was deployed on Arbitrum on 29 May 2023

Protocol Performance:

We highlights our key performance metrics below

Activity Stats (as of September 26th 2023)

  • Total trading Volume: $3Bn+
  • Revenue distributed to users: $1Mn+
  • Platform TVL: $26.19M
  • HLP TVL: $23.99M
  • Unique Users: 4,100+
  • Unique Traders: 2,700+
  • Unique HLP Depositors: 2,500+
  • Total number of trades Supported: 40,000+

Community Stats

  • Telegram + Discord members: 9,000+
  • Twitter Followers: 15.5k+
  • HMX token holders: 1,500+
  • No. Tickets Supported: 700+
  • No. of Community UI/UX Suggestions: 75+

For a full detailed statistics, please visit our Dune Dashboard.

Protocol Roadmap:

Since the full-scale launch of HMX, we have already released numerous UX/UI improvements and new features. Some highlights include:

  • Progressive Web App (PWA)
  • Referral program
  • Support yield-bearing token as collateral - i.e., wstETH
  • On-chart trading

Major upcoming features to be released in Q4 2023 are highlighted below:

Python SDK API:

  • Allow quant traders to do programmatic trading on HMX
  • Onboarding this group of users will bring in a lot more volume and enable additional interesting use cases in the future. For example, Social trading where users can follow the signals they subscribe to and get the trade executed automatically.

Variable Trading Fees:

  • We will create a variable trading fee which will be a function of liquidity depth, volatility, and trading size
  • This new logic will be applied to mid-cap and low-cap markets and will help eliminate the oracle price front-running issues, allowing us to offer more trading markets and higher trade size limits to users.

Customized Index market:

  • Create a composite index of assets for users to trade
  • For example, instead of trading an individual FX market, users will be able to trade on a basket of currencies against USD.

Other UX/UI improvements planned include:

  • Rewards auto-compounding
  • Notifications - price, margin level, trade executed, etc.
  • Trade Ladder page
  • Ability to swap between collateral assets directly on HMX
  • Ability to move collateral between subaccounts
  • Gas-less trading

Audit History:

HMX has passed 3 formal audits, with the latest audit completed this month (September 2023). The reports can be found below:

  • Cantina (incubated by SpearbitDAO) Audit Report LINK
  • WatchPug’s Audit Report: LINK
  • 0xfoobar’s Audit Report: LINK

SECTION 5: Data and Reporting

Is your team prepared to create Dune Dashboards for your incentive program?:
Yes, we are committed to create any required dashboards to be transparent with the grant/incentive distribution. This is demonstrated by our already existing Dashboards we have created in the past to be transparent to our community

Does your team agree to provide bi-weekly program updates on the Arbitrum Forum thread?
Yes, we will dedicate resources to do the updates

Does your team acknowledge that failure to comply with any of the above requests can result in the halting of the program’s funding stream?:

Edit Note:

1.) Added a banner graphics for aesthetic
2.) Added a missing parenthesis in the Rewards Points calculation formula
3.) Edited grant amount request and clarified that the unused amount will be return at the end of the program
4.) Reduced grant amount requested to 750k and updated the distribution amount in each performance tier to reflect the reduction


Personally think this is a sound and reasonable proposal by HMX. Their daily volumes are consistently in the top 3 perp DEXs on Arbitrum, and their (volume/TVL) ratio is amongst the highest.

We at Stella worked with them to support the HMX/ETH leveraged strategy on our platform. They were quick to respond, and helpful in working together.

Sorry but this is way too much for a GMX fork that hasn’t been live for that long.

Volumes and TVL can be easily grown when there are aggressive incentives, so the requested size should not be based off of those alone.

The amount should be reduced significantly, i suggest to around 300k.


Hello @HMX thank you for your application! Your submission meets all requirements to be considered for a snapshot vote.

However, please note that funding will be streamed linearly. This means you will receive the same amount of funding every two weeks. If you would like to increase or decrease the incentives you distribute each week we recommend requesting the maximum amount you will need and then returning all ARB you do not use at the end of the program.

HMX is a GMX fork whose business model is to vampire liquidity from GMX. TVL and volume did well simply due to heavy incentives from the protocol token. Hard no.


Hi @meyaf320219

Thanks for the comment. Let us address each of them.

1.) There seems to be some misunderstanding, but HMX is NOT a fork of GMX. Our code base is original and we do have a lot of features that differentiate ourselves from other pool-based PerpDEXs - some of them are mentioned in the proposal here such as cross-margin and multi-collateral support. For a full list of features, I invite you to visit our Docs.

I am also sharing a tweet we did a while back, where we did an infographic on features comparison if you want a quick summary: https://twitter.com/HMXorg/status/1686995314451079168

2.) I am not sure what you mean by “aggressive” incentives, but here are some stats:

  • Our community incentive rewards will run for four years
  • While we do have a decaying emission schedule, we are not overly frontloading the incentives and only shift an additional 9% to the first year incentives. I don’t think that it is atypical of a protocol to do this to drive adoption.

Hey @Matt_StableLab,

Thanks for the prompt review of our proposal, and confirming that it complies with all the requirements. We will make an edit in the post on the amount request as you suggest and mention that any unused fund will be returned at the end of the program.

Thank you,

Hello @MotusCM,

Please see our comments and clarification below.

1.) Similar to the earlier post, there seems to be a misunderstanding. but HMX is not a GMX fork.

2.) While we bootstrap our liquidity pool with GLP, it’s not a “vampire attack.” Users who deposit GLP in our LP pool continue to earn 100% of the yields and exposure they would normally receive LPing on GMX. We DO NOT break down the GLP or move the underlying assets over to our platform. We believe our design builds on top of GLP and offers benefits to users as they get to earn yields from both platforms.

Here is a diagram of how it works:

I also invite you to check out our docs about HLP here for more details.

Not to mention the majority of their TVL is re-hypothecated GLP.


How is HMX applying for up to 1.95m ARB while only being live on Arbitrum for 4 months? They simply don’t qualify for what they’re asking


Hi @Scotty,

Thank you for taking the time to review our proposal. Let me address your comments.

1.) Referring to the Official Incentive program here, The recommended metrics for the Lighthouse Grants (Up to 2M ARB) are as follow

  • Recommendations:
    • Live on Arbitrum for at least 6 months.
    • Meets one of the following criteria:
      • .> $15M Arbitrum Network TVL.
      • .> $100M 30D cumulative Volume.

Our stats over the past 30Days have been

  • ~$1.6 Bn cumulative volume
  • Current TVL $27Mn+ (Our TVL 30 days ago was also around $18Mn+ which is higher than the recommended $15 Mn)

Given we exceed both the recommended metrics by a significant margin, we feel our level of activities is appropriate for this grant tier.

2.) Even then, referring to section 2, and 3 of our proposal, we have designed our asks to be performance driven. Specifically, we would only give out the full 1.95Mn ARB if we are able to achieve 2x growth from the current baseline.

In the worst case where we are not able to achieve any growth, there will be ZERO ARB given out. (Refer to the table below)

These guys have a shady past / background undoxxed team following 0 regulation. They literally paid a ton of influencers to hype them in the short term. They stole most of VELA tokenomics/design and ripped off GMX as well. Most of their TVL comes from GLP this is basically a watered down version of GMX that most likely won’t even exist in a year from now.


Hello @HMX ,

Now that your application has been marked eligible, please be advised of the remaining steps in the application process to be completed prior to the Review Period Deadline:

Please complete the following steps required for your application to proceed to Snapshot:

To change your proposal to final, please tag an Arbitrum Foundation Forum Moderator (@ stonecoldpat @ cliffton.eth @ eli_defi) by the Review Period deadline to notify them of your proposal’s readiness to proceed from [Draft] to [Final] status.

Once notified, the Arbitrum Foundation Forum Moderator will adjust your title from [Draft] to [Final] status. Once marked as [FInal], your application post will be locked by moderators and you will no longer be able to edit your proposal.

Firstly, thank you for your interest and proposal aimed at enhancing the Arbitrum ecosystem.

Introduction and Rationale

HMX’s grant proposal aims to attract new users to their platform by using 100% of the grant for trader incentives. They are requesting 1,950,000 ARB, which is 3.9% of the total program availability. Despite being relatively new since its launch in June 2023, HMX has shown impressive performance, albeit possibly inflated by native token incentives. HMX offers low-fee trading across various markets and is built on GMX’s Liquidity Pool. We appreciate the milestone-based distribution of ARB rewards and the plan to use escrowed ARB to minimize selling pressure. However, we’re a bit skeptical about the proposal’s effectiveness in broader terms.

Major Concerns

Concern Regarding User Incentives

  • Higher rewards for native token holders could discourage new users
  • Grant used exclusively for trader incentives, offering little benefit to other Arbitrum projects
  • Current HMX native incentives exceed the platform’s generated fees
  • Our recommendation for change: Reduce the grant request to a maximum of 750K ARB, offer equitable rewards to all users regardless of staking, and limit total incentives to be less than the total fees generated on HMX.

Minor Concerns

  • Short operational history since only being live for 4 months
  • Limited benefit to the wider Arbitrum ecosystem
  • Our recommendation for change: The proposal would be more compelling if there were components that benefitted other Arbitrum projects, not just HMX.


Castle Capital values the innovative approach HMX brings to the trading arena within the Arbitrum ecosystem. However, in its current form, we do not support the proposal moving forward. Specifically, we have concerns regarding the inequality of reward distribution and the isolation of benefits solely to HMX users.

Our recommendations are as follows:

  • Lower the requested grant amount to 750K ARB
  • Revise the reward distribution to be more equitable among users
  • Ensure that total incentives do not exceed total fees generated by the platform

We trust that our comments are constructive and contribute positively to the discussion for the benefit of the broader ecosystem. Thank you for your initiative and commitment to the Arbitrum community.


@CastleCapital Thank you for taking the time to review our proposal and providing feedback. Let us address them.

  1. We have adjusted the requested grant amount down to 750k ARB to be more in line with the recommended metrics of being live on Arbitrum for 4 months (The baseline performance is kept unchanged.) Also, given the 2x+ over subscription of the allocated 50Mn ARB by applicants, we think the reduced amount should make our application more appealing and reasonable to delegates. Please note that the rewards to be given out in each tier has also been updated accordingly.

  2. We believe our distribution mechanism, as originally proposed, is already well designed. Awarding bonus points to esHMX and DPs stakers are giving extra incentives to loyal traders over mercenary traders which is precisely what we want to achieve. As esHMX are given out to traders, how much esHMX staked acts as a proxy on how much users have traded over time and should be rewarded for their repeated use. In addition, as the rewards will be distributed over a period of 12 weeks, even users who are new to the HMX platform will have the ability to accumulate both esHMX and DPs through trading (as esHMX is awarded through usage of the protocol), allowing them to capture a larger share of the incentives over time.

  3. In terms of the benefits to other protocols on Arbitrum, we have to first appreciate that depending on the segment / functionalities of each protocol, some will naturally be more geared towards integration - e.g. launchpad, aggregator, etc., while others are more geared towards building internal features - e.g. base layer protocols. That being said, our current distribution method will benefit the protocols that build on top of us a trading activity naturally contributes to other aspects of the protocol. Trading generates revenue for the protocol, which is subsequently distributed to HLP depositors and stakers. Consequently, our partner protocols, built on top of HMX, will receive second-order benefits from our grant usage:

  • Pendle: With higher HLP yields, which is a function of trading activities on HMX, our HLP pool on Pendle will be more attractive for users to trade on principle vs. yields, attracting more users to Pendle in the process.

    • Penpie & Equilibria: Both protocols are built on top of Pendle and have listed HLP for staking. Similar to Pendle, these protocols are the natural beneficiaries of the increased HLP yields, attracting more users to them in the process.
  • Stella: As some portion of the protocol revenue goes towards the staked HMX, users can expect more price action on the token as revenue goes up, from an increase in trading vol. This will enhance the appeal of leveraged yield farming through Stella’s farming feature on the HMX-ETH pool, increasing the usage of Stella.

  1. We have added as an additional condition that the ARB incentives amount distributed in a given week will not exceed the protocol revenue earned on the same week.

We have made the adjustment in the original proposal accordingly.

1 Like

Sharing the link to the presentation deck from the pitching session ARB Grant Pitch Presentation - Google Slides

@Matt_StableLab Thanks for the note.

@stonecoldpat @cliffton.eth @eli_defi Our proposal is ready to proceed from [DRAFT] to [FINAL] for voting.

Post has been marked as FINAL and locked.

1 Like

Sharing the recording of our pitch: Short-Term Incentive Grants Pitching Session 2 (2023-10-03 07:04 GMT-4) - Google Drive

Firstly, thank you for the proposal. Although a nice mechanism has been designed to encourage users, we share the concerns shared by @CastleCapital.

Even though you said you are not a fork of GMX, the fact that you are in competition with GMX is real. Unfortunately, we cannot support this proposal.