[RFC]: Fund Completion of CEX-> DEX Incentive Research

  1. Long-term User Retention:
    Drawing from comments by Darius at Vertex during a recent STIP Detox call, there seems to be a form of “integration lock-in” for larger traders and institutions once they incorporate a protocol into their trading flow. In essence, while the volume and transaction frequency may fluctuate after incentives taper off, these users are technically integrated and likely to continue participating to some extent.

  2. Incentive Allocation Criteria:
    This proposal aims to establish a fair allocation method. A network-wide KPI approach could offer the most equitable distribution, compensating users or protocols proportionally based on their volume, transactions, and other contributions. However, further analysis and consideration are needed to finalize this framework.

  3. Budget
    I referenced the RFC - Fund an Incentives Working Group for budget planning. To clarify, this proposal is currently focused on research, which will inform a formal proposal for a pilot program with an appropriate budget. However, if delegates prefer a combined proposal covering both the research and pilot program budget, I am more than willing to consolidate them into a single proposal.

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